361 Degrees International Ltd. · HKEX:1361

361 Degrees International — FY2024 Earnings Presentation

39 slides from 361 Degrees International's earnings presentation, March 2025

  1. Slide 1: Annual Results

    Annual Results 361 Degrees International Limited Stock Code: 1361.HK March 2025

  2. Slide 2: Content

    Content Financial Brand Business Appendix Q&A Review Building Review

  3. Slide 3: Disclaimer

    Disclaimer These presentation slides have been prepared by 361 Degrees International Limited (the “Company”) solely for us during its presentation held in connection with its annual results for the year ended 31 December 2024 and may not be reproduced or redistributed. In particular, these presentat

  4. Slide 4: President’s Speech

    President’s Speech Synchronising with Market and Policies: Navigating Challenges and Seizing Opportunities Innovation-Driven Breakthroughs: Achieving Development Milestones Partnering with Shareholders: Building a Brighter Future Together 4

  5. Slide 5: Investment Highlights

    Investment Highlights​ A 20-year leading brand in China’s sportswear industry, 1 maintaining its dedication to quality growth since its IPO 15 years ago Leveraging both kids' and e-commerce as dual growth 2 drivers, harnessing the synergies between online and offline channels to fuel new business mo

  6. Slide 6: Financial Review

    「Flying Flame 4」 Professional Marathon Racing Shoes Financial Review

  7. Slide 7: Financial Highlights

    Financial Highlights Total Revenue Revenue Revenue from 361º Kids from E-commerce Increased by 19.6% Increased by 19.5% Increased by 12.2% to RMB10.07 Billion to RMB2.34 Billion to RMB2.61 Billion Profit Attributable to Dividend Equity Shareholders Increased by 19.5% Full-year dividend payout ratio:

  8. Slide 8: Financial Overview

    Financial Overview For the Year ended 31 December RMB mn 2024 2023 Change Revenue 10,073.5 8,423.3 +19.6% Gross profit 4,183.3 3,462.2 +20.8% Operating profit 1,576.2 1,383.5 +13.9% Profit attributable to equity shareholders 1,148.6 961.4 +19.5% Basic EPS (RMB cents) 55.6 46.5 +19.5% Profitability R

  9. Slide 9: Revenue Analysis

    Revenue Analysis Revenue Breakdown 10,073.5 (100%) Amount: RMB mn / (% of Total Revenue) Accessories and Shoe Soles: 8,423.3 (100%) 1,211.3 383.3 (3.8%) (12.0%) Accessories and Shoe Soles: Apparel: 6,960.8 (100%) 988.3 302.3 (3.6%) 4,304.5 (42.7%) (11.7%) Accessories and 3,093.2 Shoe Soles: (30.7%)

  10. Slide 10: Gross Profit and Gross Profit Margin Analysis

    Gross Profit and Gross Profit Margin Analysis Gross Profit and Gross Profit Margin GPM of Adults Products Amount: RMB mn / % % 41.5% 45.0% 42.4% 42.9% 40.5% 41.1% 5,000.0 42.0%43.0% 41.2% 41.0% 4,500.0 41.0%39.0% 41.6% 4,183.3 40.5% 41.3% 103.2 4,000.0 40.0%37.0% 3,462.2 508.1 35.0% 3,500.0 39.0% 20

  11. Slide 11: Major Operating Expenses Analysis

    Major Operating Expenses Analysis % of Total Revenue 12.7% 12.8% 11.4% 9.8% 9.2% Advertising & promotion expenses 8.5% 3.8% Staff Cost (including those related to 3.7% 3.4% manufacturing and R&D) R&D 2022 2023 2024 2024年 Selling and Distribution Expenses Administrative Expenses For the Year ended 31

  12. Slide 12: Operating Profit and Net Profit Analysis

    Operating Profit and Net Profit Analysis Net Profit & Margin of Profit Attributable to Dividend Payout Ratio Equity Shareholders Amount: RMB mn / % % 1,700.0 20.0% 1,500.0 15.0% 11.4% 11.4% 10.7% 1,300.0 1,148.6 10.0% 45.0% 1,100.0 961.4 5.0% 45.0% 40.2% 900.0 40.0% Didn’t declare 747.1 0.0% 35.0% D

  13. Slide 13: Balance Sheet Overview

    Balance Sheet Overview RMB mn As at 31 December 2024 As at 31 December 2023 Change Current assets 12,058.0 11,617.3 +3.8% Current liabilities 3,362.7 3,088.0 +8.9% Net current assets 8,695.3 8,529.3 +1.9% Equity attributable to owners of the Company 9,375.2 9,082.4 +3.2% RMB 4.8 RMB 4.7 RMB +0.1 Net

  14. Slide 14: Working Capital Cycle Analysis; Ageing Analysis

    Working Capital Cycle Analysis Working Capital Turnover Days 168 149 147 149 Inventories 132 121 Trade and bills receivables 117 107 110 Trade and bills payables 91 93 88 Overall 2022 2023 2024 2024 Trade and Bills Receivables Ageing Analysis As at 31 December As at 31 December RMB ‘000 RMB ‘000 202

  15. Slide 15: Liquidity Analysis

    Liquidity Analysis Cash Flow For the Year ended 31 December RMB mn 2024 2023 Profit before tax 1,562.8 1,363.4 Adjustment of non-cash profit and loss and items from non-operating activities 90.6 (13.8) Change in inventories (759.9) (172.7) Change in trade and bills receivables (598.4) (761.6) Change

  16. Slide 16: Capital Strength and Resilience

    Capital Strength and Resilience Financial Resources As at 31 December RMB '000 2024 2023 Pledged bank deposits 8,705 12,415 Bank deposits with maturities over 3 months - 1,600,000 Cash and cash equivalents 4,254,236 3,596,489 Total cash 4,262,941 5,208,904 Total borrowings (Bank loans) 261,220 292,4

  17. Slide 17: Brand Building

    Brand Building Aaron GORDON International Basketball Player

  18. Slide 18: 361° Brand Overview

    361° Brand Overview Technology-Driven Leveraging technology as the key driver for continuous growth, 361° provides consumers with high-value, professional sports products that meet their evolving demands Brand-Focused Embraces the brand spirit of “ONE DEGREE BEYOND” and positions as “Professional, Y

  19. Slide 19: 361° Kids Overview

    361° Kids Overview​ Technology-Driven Leverage technological innovation to strengthen product offerings that combine professional functionality, health technology, and kids’ fashion, creating a differentiated competitive advantage Brand-Focused Embraces the brand statement of “CHASING YOUR LOVE!”, a

  20. Slide 20: 361° Milestone

    361° Milestone 2024 • Celebrating 15 years of being listed on the 2018 Hong Kong Stock Exchange • Official sports apparel supplier for the World 2014 • Became an official partner of 2022 Aquatics the 2018 Asian Games in • Official partner of the Olympic Council of Asia • Became an official partner o

  21. Slide 21: International Sports Events Strengthen Global Brand Influence

    International Sports Events Strengthen Global Brand Influence Partnering with the Asian Games for five consecutive times Seamlessly integrating international sports event resources highlights the brand's long-term vision and commitment to fully unlock the brand-building potential As a pioneer in spo

  22. Slide 22: Diversified Brand Portfolio Continues to Unlock Potential

    Diversified Brand Portfolio Continues to Unlock Potential In 2024, A&P expenses accounted for 12.8% of the Group’s total revenue Global strategic resource allocation: strengthening brand power through various initiatives Large-scale sports events Top tier athletes and celebrities as spokespersons •

  23. Slide 23: Business Review

    Business Review Jiang Wenwen Jiang Tingting World Artistic Swimming Champions

  24. Slide 24: 361° Product - Running

    361° Product - Running Accelerating on the path to our dreams: empowering millions of runners to achieve their goals • The running category accelerates the transformation process of technology into products, building a professional running matrix consisting of four major categories: Top Speed, Profe

  25. Slide 25: 361° Product - Basketball

    361° Product - Basketball Accelerating global expansion: fueling progress with the passion of on-field heroes • The basketball category boasts a powerful lineup of resources, with endorsements from Nikola JOKIĆ, Aaron GORDON. Nikola JOKIĆ was recognized as the NBA's Most Valuable Player for the thir

  26. Slide 26: 361° Product - Training and Lifestyle

    361° Product - Training and Lifestyle Exploring trends and expanding trendy offerings to attract younger audiences • The outdoor series demonstrates deep technological expertise and captures market trends in real time. Key initiatives include the launch of the “Lightweight Adventure Series”, promoti

  27. Slide 27: 361° Kids Product

    361° Kids Product Establish a leading position in kids' sportswear through strategic planning and product innovation to drive sustainable growth Diverse resources and comprehensive strategies • As the official sponsor of the 2024 Asian Rope Skipping Championships, we partnered with the China Nationa

  28. Slide 28: 361° - Sales Overview

    361° - Sales Overview Sales Network​ • The group has 7,115 points-of-sale worldwide, of which 5,750 are located in mainland China 67.3% 32.7% • The average store size has reached 149㎡, reflecting an 11㎡ increase from Mall & department stores: 1,878 the end of 2023 Channel Mix Street level stores: 3,

  29. Slide 29: 361° Kids - Sales Overview

    361° Kids - Sales Overview In 2024, revenue of 361° Kids business reached RMB2,339.3 million, and accounted for 23.2% of the Group’s total revenue​ Sales Network​ 39.5% • The Group has 2,548 points-of-sale for 361º Kids business 60.5% Mall & department stores: 1,541 Channel • Average size of the sto

  30. Slide 30: 361° E-commerce Competitive Advantage

    361° E-commerce Competitive Advantage Business Positioning • Leveraging e-commerce channels as a strategic front, 361° promptly responds to consumer trends by offering high-appeal, high-tech and high-value products • By using e-commerce as a platform for consumer interaction, we gain deep insights i

  31. Slide 31: 361° E-commerce Operations Overview

    361° E-commerce Operations Overview In 2024, revenue from sales of online exclusive products amounted to RMB2,609.4 million, and accounted for 25.9% of the Group’s total revenue E-commerce Product Portfolio Outstanding Sales Performance • In March, 361° collaborated with Tmall Brand Annual Member Da

  32. Slide 32: Appendix

    Appendix 「Rain-block 2.0」 High-performance Windproof Jacket

  33. Slide 33: Excellent Research and Development Capability

    Excellent Research and Development Capability​ In 2024, R&D expenditure accounted for 3.4% of the Group’s total revenue​ • As of 31 December 2024, the Group had obtained 633 patents and employed 836 R&D personnel​ • The research and innovation center of the Group, located in the Wuli Industrial Park

  34. Slide 34: Advanced Supply Chain System

    Advanced Supply Chain System​ Efficient supply chain collaboration drives the future of intelligent manufacturing Optimized production capacity • The group’s in-house production ratio for footwear and apparel stands at 30.3%, prioritizing high-performance, high-tech, and fast- turnaround products to

  35. Slide 35: Group Recognition

    Group Recognition​ • The 7th&8th China Annual IR Award Brand Marketing • 2023 Elite Race of the Year Award by SPORTS MONEY Capital Market​ - Best Capital Market Communication Award • 2023 Sports Marketing Award by SPORTS MONEY - Best IR Director Award • 2023 Best Marketing Brand IN THE SPORTS INDUST

  36. Slide 36: Sustainable Development

    Sustainable Development Environment Society Governance • Actively aligning with the latest Hong Kong Stock • We are actively advancing the upgrade of our • The Group is continuously enhancing its Exchange regulations, we precisely assess climate supplier management system, implementing a governance

  37. Slide 37: Shareholding Structure

    Shareholding Structure​ 361 Degrees International Limited Total Number of Issued Shares (As of December 31, 2024): 2,067,682,000​ 17.03% 16.29% 15.67% 8.16% 8.16% 34.69% Mr. Ding​ Mr. Ding​ Mr. Ding​ Mr. Wang​ Mr. Wang Public Wuhao Huihuang Huirong Jiabi Jiachen Shareholders​ 37

  38. Slide 38: Industry Outlook

    Industry Outlook​ 1 3 5 Policy benefits release: 2 Boundless potential in 4 Evolving market landscape: nationwide fitness boosts children’s wear: driving niche categories set future economic growth global expansion competitive direction • A series of policies, including • Benefiting from economic th

  39. Slide 39: Q&A

    Q&A GUAN Yousheng /LI Bo etc Marathon Champion

361 Degrees International — FY2024 Earnings Presentation on 6ix