Shoe Enterprises Lining Announced First Half Results

August 27th, tonight, Lining Announced the first half of this year's performance. During the reporting period, the company achieved operating income of 4 billion 505 million yuan, an increase of 11.2% over the same period. Net profit of 582 million yuan, an increase of 23.1% over the same period. Lining's brand retail store increased by 229 in the first half to 7478. Li Ning Co's domestic revenue surpass again Adidas Revenue in the Greater China market. Li Ning Co expects to benefit from the Guangzhou Asian Games in the second half of the year, and its growth will exceed the first half of the year.

Li Ning Co has 3 main brands, Lining, red double happiness and lotto. Financial report shows its core brand Lining achieved 4 billion 134 million yuan in revenue, an increase of 10.6% over the same period last year, and 236 million yuan and 47 million 336 thousand yuan respectively in the red double happiness and lotto cards, up 7.8% and 206.7% respectively over the same period last year. The Lining retail store reported a net increase of 229 to 7478 during the reporting period, of which 7004 were licensed retail outlets and 474 were direct retail outlets.

In 2009, Lining's sales in China surpassed Adidas. In the first half of this year, the revenue of Adidas's Greater China market was 403 million euros, or about 3 billion 460 million yuan, while Lining's revenue was 4 billion 505 million yuan in the same period. Lining's domestic revenue surpassed Adidas. This year, Li Ning Co launched a campaign of brand reengineering. Li Ning Co executives have expressed their intention to recreate brand DNA to extract a more distinct brand connotation. In June 30th of this year, Li Ning Co changed LOGO and put forward a brand new slogan of "Make the Change". In addition, Lining also put forward the new slogan "after 90 Lining".

Industry analysts said that Li Ning Co's initiatives are not only facing the current domestic market, but also preparing for the next step to enter the international market. Lining has signed many NBA stars for the brand promotion in the international market. In August 24th, he signed a contract for many years' shoes with the NBA top spot show Ivan Turner (Philadelphia 76 people). However, according to the Li Ning Co's first half year's earnings report, its international market performance still accounts for a relatively low proportion of the company's total revenue. Among them, the revenue of Lining international market is 46 million 830 thousand yuan, which accounts for only 1% of the total revenue of Li Ning Co, and the revenue of the international market of the red double happiness brand is 24 million 630 thousand yuan, which accounts for 0.5% of the total revenue.

In July this year, Lining brand ranked nineteenth in the Forbes 2010 China brand value list, climbing 4 places in the previous ranking.