Shoe Enterprises Lining Speeds Up Shop In Two Or Three Line Cities

Under the reduction of publicity and expenditure, Lining (02331) net profit increased by 31% yuan to 945 million yuan last year (RMB, the same below), which is lower than that of rival Anta sports (02020), which is about 24% yuan, but if the number of branches is calculated, Lining has the largest Sportswear distribution network in the mainland, with 7249 sales outlets.

Lining revealed in the performance report that in the first, second quarter of this year, the order of Lining brand showed that the total sales volume increased by 11.6% and 15.4% respectively, believing that the growth of sports goods this year was higher than that of last year.

Lining will continue to implement the strategic goals from 2009 to 2013 this year. One of the priorities this year is to promote growth in the same store and promote strategic business expansion, including badminton and leisure business.

Lining's turnover increased by 25.4% to 8 billion 387 million yuan last year, and the basic earnings per share increased by 30.3% to 90.75 points.

Lining's dividend at the end of the year was 22.54 points per share, 1 times higher than that of last year, but in 2009, no special dividend was paid as in 2008, so the annual dividend per share fell by 27%.

The cash on hand increased by 477 million yuan to 1 billion 264 million yuan last year.

Lining's gross profit margin dropped 0.8 percentage points to 47.3% last year, and advertising and marketing expenses fell 2.1 percentage points to 15.4%, and the R & D expenditure rate remained at 2.7% level.

Last year, the average stock turnover period dropped from 61 days to 53 days, and accounts receivable fell 2.6% to 1 billion 28 million yuan.

Lining reached 7249 stores last year, a net increase of 1004, and 6854 and 395 franchises and direct businesses, respectively, with annual growth of 15.5% and 27.4% respectively.

Lining set up shop in two or three line cities last year, and last year 80% new stores were opened in these cities.

By the end of last year, Anta and 31st degree (01361) national sales outlets were 6600 and 6693 respectively, and two companies planned to increase to 8100 and 7500 distribution points this year.

Lining brand accounted for 91.7% of total revenue, and red double happiness and Lotto (Le Tu) accounted for 5.1% and 0.9% respectively.

Lining's brand footwear and clothing revenue increased by 19.1% and 22.3% respectively, less than the overall revenue growth.