The Spring Festival effect improved consumer vitality, and the Winter Olympics catalyzed the enthusiasm for ice and snow sports. From January to February, the total retail sales of social consumer goods increased well, and Wuxi Online Offline Communication Information Technology Co.Ltd(300959) retail sales in the clothing industry recovered. Special step Li Ning’s outstanding performance in 2021, the competitiveness of sports leaders, and the high growth of the sports industry can be expected.
Spring Festival consumption is strong, with the catalyst of Winter Olympic ice and snow sports, driving the growth of clothing retail. From January to February, the total retail sales of social consumer goods reached 7442.6 billion yuan, a year-on-year increase of 6.7%. Among them, from January to February, the retail sales of clothing increased by 4.8% year-on-year, and the online retail sales of clothing increased by 3.9% year-on-year, performing well. From January to February, clothing retail performed well, mainly due to the improvement of consumption vitality during the Spring Festival and the strong shopping demand of consumers; On the other hand, the Winter Olympics promoted the growth of residents’ demand for outdoor consumption related clothing. In March, although retail sales are expected to fluctuate under the influence of the epidemic, the recovery trend of clothing retail demand remains unchanged in the medium and long term.
Special step international Li Ning’s outstanding performance throughout the year shows the leading competitiveness of sports. This week, Tebu international and Li Ning released their annual report for 2021. In 2021, Tebu International’s revenue increased by 22.5% to 10.013 billion yuan, net profit increased by 77.1% to 908 million yuan, main brands increased by 24.5% all year round, and multi brands increased better; In 2021, Li Ning’s revenue increased by 56.13% year-on-year to RMB 22.572 billion, and its net profit increased by 136.15% year-on-year to RMB 4.011 billion, of which offline revenue increased by 55.26%, online revenue increased by 58.39%, and Wuxi Online Offline Communication Information Technology Co.Ltd(300959) all channels grew rapidly. Under the adverse external environment of the consumer industry in the second half of the year, the performance of Tebu international and Li Ning increased rapidly. With the support and promotion of relevant national policies, the consumption enthusiasm of national sporting goods remains unchanged, the performance of leading sports enterprises is expected to further grow, and the high growth of the sports industry can be expected.
Under the current situation, we continue to pay attention to the targets with good performance. Popular casual wear is recommended Hla Group Corp.Ltd(600398) , Zhejiang Semir Garment Co.Ltd(002563) . Middle and high-end clothing recommendations Baoxiniao Holding Co.Ltd(002154) , Biem.L.Fdlkk Garment Co.Ltd(002832) , Shenzhen Ellassay Fashion Co.Ltd(603808) , Bosideng, Dazzle Fashion Co.Ltd(603587) . In terms of sports clothing, under the background of high industry outlook and demand recovery, it is mainly recommended that Hong Kong stocks Anta sports, Li Ning and Tebu international. The home textile industry Wuxi Online Offline Communication Information Technology Co.Ltd(300959) has a good growth. It is recommended to focus on Luolai Lifestyle Technology Co.Ltd(002293) , and it is recommended to pay attention to Shanghai Shuixing Home Textile Co.Ltd(603365) , Shenzhen Fuanna Bedding And Furnishing Co.Ltd(002327) . In terms of upstream textile manufacturing, with the effective control of the epidemic at home and abroad and the stabilization of orders at home and abroad, the integrated footwear ODM manufacturer Huali Industrial Group Company Limited(300979) ; Shenzhou International, a manufacturing leader with perfect production capacity layout, is expected to grow steadily in the future. It is suggested to pay attention to Zhejiang Xinao Textiles Inc(603889) .
Plate review: this week’s GEM (1.81%), Shenzhen Composite Index (- 0.95%), Shanghai and Shenzhen 300 (- 0.94%), and Shanghai Composite Index (- 1.77%). The textile manufacturing sub sector fell by 2.42%, and the clothing and home textile sub sector fell by 2.69%.
Announcement of key companies: Tianhong textile released 21 annual reports, with revenue increasing by 35.5% and net profit attributable to listed shareholders increasing by 419.3% during the reporting period; Special step released the 21st Annual Report. During the reporting period, the revenue increased by 22.5% and the net profit attributable to listed shareholders increased by 77.1%; Li Ning issued a 21 year performance announcement. During the reporting period, the revenue increased by 56.13% and the net profit attributable to listed shareholders increased by 136.15% year-on-year.
List of industry news: from January to February of 22 years, the retail sales of clothing, shoes, hats and knitwear increased by 4.8% at the same time; As of March 11, 2003, the 2021 performance express of 50 textile and garment listed companies in the three cities disclosed that more than 60% of them were expected to be happy; Belle fashion plans to be listed in Hong Kong again, and digitization will help growth.
Risk factors: the epidemic situation is uncertain, and the consumption recovery is less than expected.
