Making Money By FILA, Anta Has Stabilized Its Expected Annual Net Profit Growth Of More Than 45%.

Anta sports recently issued a notice of earnings preannouncement, which was accounted for by the company's initial accounting, which accounted for the loss of MascotJVCo (Amer Sports holding company) of the joint venture company. The net profit of the parent company will be increased by no less than 45% in 19 years. In 2019, the revenue growth exceeded 35%, and the net profit from the parent company (excluding the joint venture company's losses) increased by over 45%, and the net profit from the parent company (including the loss of the joint venture company) increased by more than 30%.

According to Anta sports bulletin, in the same period of 2018, shareholders should make a profit of 4 billion 103 million yuan, with a basic profit of 152.82 points per share. On this basis, Anta's net profit in 2019 is likely to be as high as 6 billion yuan.

For its reasons, Anta said, compared with the 2018 fiscal year, Anta and other brand sales grew strongly, resulting in the company's fiscal year 2019 revenue growth of more than 35%.

According to Anta's three quarter operating performance, the retail sales of Anta brand products increased by 10%~20% compared with the same period in 2018, and the FILA brand grew by 50%~55% over the same period last year.

FILA brand, because of a few retail outlets, will make revenue growth slightly higher than the growth rate of water. In terms of profits, Anta brand benefited from the competition year, advertising spending accounted for a slight decrease compared with the expected year-on-year, while the FILA brand benefited from the rapid growth of the scale and the gradual maturity of new shops, and the profit contribution growth was significant. In the future, with the close proximity of shops, the further expansion of the proportion of cooked stores will help to further improve the operating profit margin. FILA brand continues to grow at a high rate, and annual growth rate is expected to exceed 50%.

According to the current trend of FILA high-speed growth, FILA's annual contribution is expected to exceed Anta brand for the first time.

The three quarter data show that the growth rate of other brands is between 30%~35%. Among them, Desanto showed a bright eye. With the gradual growth of the scale, the profit growth space is larger. It is expected that this year's running water will exceed 1 billion yuan, which is expected to form a new brand relay trend for the company's continuous growth.

At the same time, the company's FILA, DESCENTE and other brands of retail business income increased, gross profit margins upward. Coupled with the increased contribution of retail business, the operating expenses ratio is relatively stable. Anta expects the operating interest rate in 2019 to increase year on year.

According to the interim results of the 2019 fiscal year of Anta group, in the first half of fiscal year 2019, the company's operating income increased by 14 billion 810 million yuan, an increase of 40.3% over the same period last year, and its net profit was 2 billion 480 million yuan, a new growth of 27.7%.

In addition, in the process of Amer Sports integration, the joint venture company JVCO is expected to bring losses to Anta group report not more than 650 million yuan, of which about 200 million are one-time financial expenses, and less than 500 million are part of the amortization of acquisition price sharing expenses (PPA). Most of the company's acquisition premium is included in goodwill, and it is amortized in other subjects such as fixed assets, intangible assets, inventory and so on, including amortization and amortization during the use period.

The estimated Amer Sports will be affected by transaction costs and financial costs. Net profit will decline, but it is still positive. The cost of amortization will gradually decrease in the next 5 years.