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Li Ning announces 3Q11 and the National Day Holidays same-store sales growth for the Li-Ning brand

Chinese sports company Li Ning on Friday announced that the Li-Ning brand’s same-store sales growth for the third quarter of 2011, from July to September, continued to grow at low single digit pace compared with that of the same period last year. During the National Day Golden Week holidays, between 1-7 October, same-store sales growth maintained at low single digit year on year, but better than that of the previous quarter. The group maintained its same-store sales growth guidance for the full year at low single digit.

Zhang Zhi Yong, CEO of the group, commented, "As at the end of September, the number outlet stores and discount stores for the Li-Ning brand reached 218 and 285, respectively. The group has completed the consolidation of 300 low-efficiency, single store sub-distributors. The distribution channel reform, in general, has been progressing in line with the group’s expectation. As the group opens more outlet stores and discount stores and intensifies its efforts in clearing inventory at the retail level, the average retail discount rose slightly from the first half of the year. At the moment, inventory at the retail level has retreated from a peak seen in the middle of the year. It is worth noting that a brand new model of high-technology, anti-shock running shoes that the group launched recently, featuring a cutting-edge design, comfortable wearer experience and reasonable price point, has emerged as a major hit amongst consumers. Sales surpassed 3,000 pairs a day in less than a month since it hit the shelves in September. Such performance gave us a strong boost, and reinforced our belief in continuing our product innovation efforts."