Li Ning Company Limited · HKEX:2331
Li Ning — FY2025 Earnings Presentation
39 slides from Li Ning's earnings presentation, Mar 19, 2026
Slide 1: 2025 Annual Results
2025 ANNUAL RESULTS LI NING COMPANY LIMITED (INCORPORATED IN THE CAYMAN ISLANDS WITH LIMITED LIABILITY) STOCK CODES：2331 (HKD counter) and 82331 (RMB counter)
Slide 2: Disclaimer
DISCLAIMER This presentation incorporates information contained in the annual results announcement (the “Results Announcement”) for the year ended 31 免責聲明 December 2025 of Li Ning Company Limited (the “Company”). This presentation should be read in conjunction with the Results Announcement and is qu
Slide 3: Table of Contents
TA B L E O F C O N T E N T S 01 RESULTS HIGHLIGHTS 02 FINANCIAL REVIEW 03 STRATEGIC DIRECTION 04 OPERATIONAL PROGRESS 05 APPENDIX
Slide 4: Results Highlights
RESULTS HIGHLIGHTS
Slide 5: 2025 annual results highlights: Deepening expertise, strengthening foundations
2025 annual results highlights: Deepening expertise, strengthening foundations Financial highlights (in RMB) Operational highlights Omni-channel retail sell- Revenue Gross margin through3 29,598 ↑ 3.2% 49.0% 0.4 p.p. ↑ Flat YoY million YoY YoY Offline channel new Net profit1 Net operating cash inflo
Slide 6: Financial Review
FINANCIAL REVIEW
Slide 7: Revenue: Product expertise driving business growth
Revenue: Product expertise driving business growth (RMB million) Footwear Apparel Equipment & accessories YoY +3.2% 27,598 28,676 29,598 25,803 2,325 2,621 1,799 22,572 1,616 1,242 12,410 12,050 12,327 10,708 11,824 13,479 13,389 14,301 14,650 9,506 2021 2022 2023 2024 2025 Revenue: group total L I
Slide 8: Revenue and sell-through mix: Balanced channel mix and healthy product efficiency
Revenue and sell-through mix: Balanced channel mix and healthy product efficiency Channel revenue mix Sell-through mix (incl. direct retail and wholesale） E-commerce Direct retail Wholesale New product (current and last season) Old product 100% 100% 47% 48% 45% 45% 46% 86% 87% 85% 83% 89% 23% 21% 26
Slide 9: Online and offline: E-commerce slowed and offline faced pressure
Online and offline: E-commerce slowed and offline faced pressure No. of POS (year end) Sell-through growth, YoY% (excl. LN YOUNG) LN Brand LN Young Offline channel Online (e-commerce) and offline channels 7,603 7,668 7,585 7,609 7,137 1,308 1,428 1,468 1,518 1,202 5,935 6,295 6,240 6,117 6,091 Onlin
Slide 10: Wholesale business: Specialty stores driving wholesale growth
Wholesale business: Specialty stores driving wholesale growth Wholesale performance (RMB million) Sell-through and revenue, YoY% Revenue No. of POS (year end) Wholesale Wholesale revenue Sell-through revenue (excl. sell-in to (excl. specialty specialty stores) stores) 4,865 4,820 4,853 4,770 4,742 H
Slide 11: Direct retail business: Ongoing store network optimisation
Direct retail business: Ongoing store network optimisation driving channel efficiency gains Direct retail business performance Revenue change analysis (RMB million) Revenue No. of POS (year end) 1,430 1,498 1,165 1,297 1,238 6,633 +258 -449 -98 6,355 +11 YoY -4% ↑ ↑ ↑ ↑ 6,693 6,633 6,355 5,191 4,915
Slide 12: GP margin analysis
GP margin analysis: Weak demand and channel mix pressured gross margin 2024 Direct retail Wholesale 2025 Channel Reported gross gross Others Reported mix GP margin margin margin GP margin 49.4% -0.3p.p. +0.2p.p. -0.2p.p. -0.1p.p. 49.0% ↑ ↑ ↑ ↑ Gross profit margin: Net change of major P&L items L I N
Slide 13: Profitability analysis
Profitability analysis: Focused allocation of strategic resources to drive long-term returns (RMB million) 2024 Gross Platform operation Other 2025 Reported Sales related variable costs Income# Tax Reported net profit profit costs & Interests net profit Direct E-commerce Logistics Advertising Other
Slide 14: Channel inventory
Channel inventory: Healthy inventory turnover and inventory mix Inventory level (tag price) Over 12 months 7–12 months Turnover months (offline, e-commerce and 6 months or less (new products) warehouse) 2% 3% 4% 100% 4.2 6% 6% 6% 3.9 4.0 4.0 9% 9% 9% 9% 3.6 92% 88% 87% 85% 85% 2021 Dec 2022 Dec 2023
Slide 15: Company inventory
Company inventory: Healthy and well-controlled inventory level and ageing profile At cost, before provision (RMB million) Over 12 months 7–12 months 6 months or less (new products) 100% 6% 5% 6% 6% 7% YoY +3% 12% 15% 14% 14% 14% 2,765 2,852 2,549 2,628 1,866 82% 80% 80% 80% 79% 2021 Dec 2022 Dec 202
Slide 16: Trade receivables
Trade receivables: At a healthy level At gross amount, before provision (RMB million) 90 days or less 91–180 days Over 180 days 1% 3% 2% 100% YoY +36% 10% 1% 2% 15% 13% 6% 1,427 2% 1,244 1,173 1,111 96% 96% 1,046 83% 84% 86% 2021 Dec 2022 Dec 2023 Dec 2024 Dec 2025 Dec 2021 Dec 2022 Dec 2023 Dec 202
Slide 17: Working capital efficiency
Working capital efficiency: Healthy operational capital efficiency drove long-term sustainable growth (RMB million) Payables^ Receivables^ Inventory^ Working capital~ Working capital~ as % of revenue 4500 3500 2,109 2,134 2,282 2500 1,758 1,275 7.7% 1500 7.6% 7.4% 6.8% 500 5.6% -500 -1500 -2500 2021
Slide 18: Balance sheet summary
Balance sheet summary: Strong operating cash flow Net cash position^ (RMB million) 19,050 19,974 18,482 17,976 18,164 2021 Dec 2022 Dec 2023 Dec 2024 Dec 2025 Dec Cash conversion cycle (days) 20 30 35 35 37 Net operating cash inflow 6,525 3,914 4,688 5,268 4,852 Dividends* 1,203 1,219 1,434 1,506 1,
Slide 19: Strategic Direction
STRATEGIC DIRECTION
Slide 20: Elevating LI-NING experience through professional innovation
Elevating LI-NING experience through professional innovation Shopping Sports LI-NING’s experience experience experiential value Product experience New momentum from New engine of sports New impact from nationwide fitness consumption Olympic momentum Rising public sports participation Upgraded consum
Slide 21: Advancing "single brand, multi-categories, diversified channels" strategy
Advancing “single brand, multi-categories, diversified channels” strategy Diversified Multi-categories channels sports & fashion Basketball Pickleball Running Tennis Training Outdoor Badminton Table tennis Sports casual China LI-NING LI-NING 1990 Loong Store LI-NING Super Outlets LI-NING Omni-catego
Slide 22: Leveraging expertise to expand into sub-segments and drive growth
Leveraging expertise to expand into sub-segments and drive growth Retail sell-through* - YoY change （FY2025） Total value Flat Running 31% 10% Training Retail sell- 16% 5% through mix Basketball 17% 19% Sports casual 28% 9% Others (including outdoor） 8% *Including online and offline L I N I N G 2 0 2
Slide 23: Running: powered by technology, performance beyond limits
Running: powered by technology, performance beyond limits Powering ahead with a supercharged engine Leading the way with outstanding performance Expanded event presence, Red Hare 9 Ultra Full-Palm Total Empowered sponsored athletes Top Super Boom professional 26 achieved the following results suppor
Slide 24: Basketball: tech-driven, culture-empowered, shaping a comprehensive ecosystem
Basketball: tech-driven, culture-empowered, shaping a comprehensive ecosystem • The all-new Yushuai 20 accompanied Yang Hansen in • In 2025, LI-NING's "BADFIVE" Streetball League spanned 5 months across 16 his first NBA regular season game, with the Palace provinces and 54 cities, crafting a unique
Slide 25: Training: empowered by aerospace technology
Training: empowered by aerospace technology, redefining professional training and urban light exercise • Men's training adhered to the product philosophy of "professional function + sports gene" to deepen multi-scenario training experiences • Annual sales of the core IP for men's functional pants su
Slide 26: Sports casual: rooted in heritage, reimagined for modernization
Sports casual: rooted in heritage, reimagined for modernization Unveiling New Chapter with the LI-NING Palace Museum Rich Everyday Series Square Seal – Retro Sports Series co-branded products Partnering with Chinese table tennis athlete Fortune favours those who train for it. This New Year, In a lan
Slide 27: Outdoor: four core IPs, powered by tech, adapted for every terrain
Outdoor: four core IPs, powered by tech, adapted for every terrain Wanlongjia Counter rainstorm-proof series light-outdoor hiking shoes Featuring exclusive dual-vent nanotechnology for rainstorm protection, the water- Launched all-terrain hiking shoes "Counter Flow" and "Counter Mist" as well as the
Slide 28: Brand marketing: China's Glory, Together with LI-NING
Brand marketing: China's Glory, Together with LI-NING LI-NING and the Chinese Olympic LI-NING opened the world's first The Chinese Sports Delegation made a Committee jointly unveiled the award "Loong Store" and officially launched striking appearance at the 2026 Milan uniforms for the Chinese Sports
Slide 29: Brand marketing: China LI-NING 2026 A/W Milan fashion week
Brand marketing: China LI-NING 2026 A/W Milan fashion week under the theme "THE ATHLETE IN ALL OF US" ▲ Jackie Chan and Ma Long, LI-NING brand ambassador, Olympic table tennis champion, graced the Milan runway to celebrate the fusion of fashion and athletic excellence LI-NING Brand DNA Global Sports
Slide 30: Operational Progress
OPERATIONAL PROGRESS
Slide 31: Stable business performance with the results in line with expectation
Stable business performance with the results in line with expectation Revenue in 2025 E-commerce Channel 29,598 Product merchandising million Up 3.2% YoY BUSINESS Business PERFORMANCE development strategy Net profit margin Retail in 2025 Kidswear operation Supply 9.9% chain In line with expectations
Slide 32: Product operations: professional product lines gaining traction
Product operations: professional product lines gaining traction; healthy inventory with solid turnover efficiency Product operations Product inventory Channel Professional Inventory Ageing Product sales inventory to product matrix cost structure sales ratio New product New product Professional Profe
Slide 33: Retail operations: offline operations faced challenges
Retail operations: offline operations faced challenges Retail KPIs* Offline retail Offline footfall sell-through Offline retail Average daily footfall sell-through declined by declined by mid-single-digit low-single-digit Discount rate Average selling price Offline Average selling discount rate pric
Slide 34: Channels: ongoing channel mix optimization
Channels: ongoing channel mix optimization Store performance Sell-through structure Big store* penetration 9th generation stores upgrade Total selling square footage Sell-through contribution of The number of 9th Number of big stores Unchanged high-tier market# generation stores Nearly 60% 1,455 1,8
Slide 35: E-commerce: operating metrics largely in line with expectations
E-commerce: operating metrics largely in line with expectations E-commerce Retail Online Conversion sell-through traffic rate Online direct retail sell-through Online traffic Conversion rate increased by increased by remained flat mid-single-digit 2% Retail Inventory discount turnover Average discou
Slide 36: Kidswear business: overall in line with expectations
Kidswear business: overall in line with expectations, with stable operating metrics Retail efficiency Channel efficiency Retail sell-through* increased No. of stores by low-teens 1,518 Offline discount rate improved by 0.8p.p. Average monthly store productivity at Average selling price 140,000 RMB i
Slide 37: Appendix
APPENDIX
Slide 38: Appendix 1 — summary of income statement and balance sheet
Appendix 1 — summary of income statement and balance sheet 2025 2024 Better/ 2025 2024 Better/ (RMB million) (Worse) (RMB million) (Worse) Year ended 31 December Year ended 31 December Revenue 29,598 28,676 3.2% Cash and Cash 16,717 7,499 122.9% Equivalents Gross Profit 14,489 14,156 2.4% Time Depos
Slide 39: Appendix 2 — profit margins and key operating indicators
Appendix 2 — profit margins and key operating indicators 2025 2024 Better/ 2025 2024 Better/ Year ended 31 December (Worse) Year ended 31 December (Worse) Gross Profit Margin 49.0% 49.4% （0.4p.p.） Inventory Turnover (Days) 64 64 — Trade Receivables Turnover Operating Profit Margin 13.2% 12.8% 0.4p.p