Guosen Securities: Bullish on textile and apparel consumption, quality brands expected to rebound in H2

(1) In terms of sports brands: with the winter Olympic fever gradually faded, most brands' heat YoY and QoQ are down, including June international brands decline better than domestic brands, Anta June heat decline fell 50% YoY to 2844, Li Ning June heat fell 14.1% YoY to 4145. FILA June YoY fell 13.8% to 3995; Nike June YoY fell 9% to 8534; Tebok was down 8.7% YoY to 1121.

(2) In terms of casual brands: Bosideng and Jiangnan Cloth rose by 11% to 762 and 30% to 2972 respectively in June, while the rest of the brands saw a drop in popularity compared to May.

(1) Among the sports brands, Anta launched a variety of new sports and casual shoes and interacted with joint spokesperson Wang Yibo, while FILA launched a new series in conjunction with Zhang Yixing, resulting in considerable growth in the number of followers and re-views of Anta, FILA, and TBU. Among the casual brands, except for Bosideng and Cotton Times, which saw growth, all other brands saw a flat or declining number of followers or reviews.

(2) Most brands' Little Red Booklittle marketing efforts or discussion heat waned in June, except Nike, Adidas, and lululemon, which each added about 1,000 new notes, while the remaining brands saw no new or reduced number of notes. In terms of interaction, Li Ning launched Wade's Way 10 and Lululemon launched a yoga community course, which saw good growth in the number of new interactions. For casual brands, Cotton Time and Barabara performed better in terms of growth.

(1) In terms of Hoop: Li Ning maintained its leading position in the number of discussion posts in the past month, Nike's discussion heat picked up and approached Li Ning's level, while Anta was overtaken by Adi.

(2) In terms of Shihuo: in the 618 promotion heat, the top three products of each brand combined sales in May have doubled type growth, Nike (5.8 times), Adi (11.5 times), Li Ning (1.3 times), Anta (2.6 times), TBU (3.3 times), the international brand's growth trend is better.

Head sports brands continued to increase their Weibo and Little RedBooklittlemarketing in June to expand their influence. In addition, casual brands such as cotton times, Bosideng, and Balabala also perform better. June in the epidemic recovery and 618 promotion heat, brand consumption fundamentals have rebounded, with the second half of the base pressure to reduce, bullish brand consumption fundamentals and valuation of further recovery.