Li Ning Group's 2025 revenue grew 3.2% year-over-year to 29.598 billion yuan

According to the audited comprehensive performance for the year ending December 31, 2025, Li Ning Group’s full-year operations showed that in 2025, the company continued to enhance product technological performance, optimize channel efficiency, and deepen brand awareness. Revenue for the year reached RMB 29.598 billion, a year-on-year increase of 3.2%; gross profit was RMB 14.489 billion, up 2.4%, with an overall gross profit margin of 49.0%. In terms of profitability, net profit attributable to equity holders was RMB 2.936 billion, with a profit margin of 9.9%; return on equity was 10.9%, and basic earnings per share were 113.91 cents RMB.

For dividend distribution, the board recommends a final annual dividend of 23.36 cents per share RMB. Including the interim dividend of 33.59 cents per share RMB, the total annual dividend amounts to 56.95 cents per share RMB, with a payout ratio of 50%.

Cash flow management remained solid, with net cash from operating activities amounting to RMB 4.852 billion during the year. As of the end of 2025, cash and cash equivalents reached RMB 16.717 billion, an increase of RMB 9.218 billion from the previous year. After adding bank fixed deposits, the cash balance was RMB 19.973 billion, a net increase of RMB 1.833 billion year-over-year. The group stated that the decline in net cash from operating activities was mainly due to increased cash expenses driven by revenue growth and timing differences in e-commerce platform settlements. The significant increase in investment cash flow was due to the maturity and redemption of fixed deposits. The company will continue to focus on cash flow management to ensure long-term stable development.

Strategically, the group continues to deepen the “single brand, multi-product, multi-channel” strategy. While focusing on six core categories, it actively explores emerging segments such as outdoor and tennis. Through technological innovation, the company upgrades products and, leveraging its status as an official partner of the Chinese Olympic Committee, adopts the narrative theme of “Chinese Glory, Li Ning Together.” It opened the world’s first “Long Store” and launched the “Glory Gold Standard” series to strengthen brand professionalism.

In terms of channel layout, the group optimized its channel structure and improved operational efficiency. By year-end, Li Ning (including Li Ning YOUNG) had 7,609 retail outlets, a net increase of 24 stores year-over-year, including 1,518 Li Ning YOUNG stores, a net increase of 50. stores. It also launched an independent outdoor store brand, “COUNTERFLOW,” and promoted online-offline integration. Core IP products performed well during major e-commerce promotions, effectively driving revenue growth.

In supply chain and logistics, the group optimized its supplier matrix and advanced digitalization and automation upgrades. The East China and North China warehouses have adopted RFID full-process management, with all warehouses expected to complete deployment in the first quarter of 2026, continuing to reduce costs and improve efficiency.

In 2026, Li Ning Group will seize opportunities from domestic demand release, adhere to core values, and focus on four main directions: technological-driven product upgrades, Olympic marketing empowering the brand, improving operational quality and efficiency, and consolidating development foundations. The company will deepen its core strategy, optimize the product category matrix, explore emerging segments, and strengthen its product professionalism and technological strength.