Jinwu Financial News | According to the First Shanghai Development Research Report, Anta Sports (02020) recorded revenue of 62.36 billion yuan (same) for the full year of 2023, an increase of 16.2% over the previous year; gross margin increased 2.4 pcts to 62.6%. Final net profit to mother increased 34.9% year over year to 10.24 billion yuan. The overall performance was outstanding. Free cash flow was 17.8 billion yuan, and the number of inventory turnover days was reduced from 15 to 123 days. The balance and liability situation was also very strong, and net cash holdings increased sharply to 33.57 billion yuan.
According to the bank, the performance for the whole year was excellent, superior to the industry. Despite the fluctuating performance of the mainland consumer industry, the Group was able to achieve high-quality growth; showing the advantages of the Group's “single-focus, multi-brand, and omni-channel” development strategy. The bank continues to be optimistic about the Group's future development. The bank maintained its buying rating. The target price was HK$119.1 (previously HK$74.85), which is equivalent to 25 times PE in 2024.