As a leading domestic professional sports brand, 361 DEGREES (01361) has adhered to a long-term strategy, achieving stable operations in 2025 through a dual-drive approach focusing on both products and channels. The company reported annual revenue of 11.146 billion yuan, a year-on-year increase of 10.64%, and a net profit attributable to shareholders of 1.309 billion yuan, up 13.95% year-on-year, demonstrating synchronized improvements in operational quality and profitability. Through continuous innovation in research and development and channel upgrades, the company has strengthened its core competitiveness, delivering a solid annual performance to the capital markets.
With steady operations and sustained value creation, the company has maintained a dividend yield exceeding 5% for three consecutive years, with revenue growth ranking first in the industry over the same period. Additionally, its Return on Equity (ROE) has increased for five consecutive years, highlighting its dual advantage of high growth and stable dividends. Furthermore, the company's current market capitalization stands at just over 11 billion yuan, with its Price-to-Earnings (PE) ratio remaining at a historically low level. The potential resonance between earnings growth and valuation re-rating positions the company for significant Davis Double potential, making it a rare high-quality asset in the sportswear sector characterized by both high dividends and high growth.
**Superstore Initiative: Reconstructing Offline Channels to Drive Growth** In 2025, 361 DEGREES accelerated the rollout of its "Superstore" format, positioning these outlets as "National Sports Equipment Stations" to overcome the limitations of traditional retail stores and redefine the offline shopping experience. According to official disclosures, the company had established 127 Superstores globally by December 31, 2025, demonstrating significant progress in its scaled channel strategy. In terms of operational efficiency, these Superstores, with their scenario-based product displays and one-stop shopping experience, have achieved significantly higher sales per square foot compared to traditional stores, validating the commercial viability of the new format. More importantly, the proportion of customers purchasing full-category products—including footwear, apparel, and accessories—in a single transaction has substantially increased, effectively breaking the growth constraints of single categories and providing a solid foundation for enhanced store profitability.
In its international channel expansion, 361 DEGREES made a pioneering move with the opening of its first overseas Superstore in Cambodia, marking a critical step in the brand's global market strategy. The ongoing internationalization and localization of its retail network are expected to further deepen, unlocking long-term growth potential in overseas markets.
**E-commerce Upgrade: Omnichannel Strategy to Expand Growth Boundaries** While innovating offline channels, 361 DEGREES has also accelerated its e-commerce business, building an omnichannel system that covers traditional e-commerce and instant retail platforms. In 2025, the company's e-commerce segment experienced rapid growth, with a 25.9% year-on-year increase, further elevating the contribution of online channels to overall performance. The company has taken the lead in forming deep partnerships with top-tier platforms for instant retail services, effectively capturing new demand in local lifestyle consumption scenarios.
Leveraging its nationwide network of thousands of offline stores, 361 DEGREES has fully integrated with major instant retail platforms such as Taobao Quick Purchase, Meituan Instant Delivery, and JD.com Express. This integration enables online orders to be fulfilled through rapid delivery from the nearest store, effectively addressing the challenge of instant fulfillment. This creates an efficient closed-loop system where online traffic drives offline transactions, significantly enhancing omnichannel synergies.
Simultaneously, the company continues to refine its operations on traditional e-commerce platforms through deep user engagement, targeted new product launches, and scenario-based marketing. These efforts have steadily improved customer repurchase rates and average transaction values, complementing the instant retail channels and broadly expanding the boundaries of online growth.
**Value-for-Money Strategy: Strengthening the Foundation for Long-Term Growth** Grounded in its brand positioning centered on professionalism, youthfulness, and internationalization, 361 DEGREES focuses on core categories such as running, basketball, comprehensive training, and sports lifestyle. By driving product and channel competitiveness through technological innovation and efficient operations, the company accurately meets the demand for professional yet accessible sportswear. This strategy allows it to navigate a differentiated path between intense industry competition and the high-end segment, building a unique competitive edge.
On the product front, the company insists on innovation-driven upgrades, continuously increasing R&D investment. Relying on its proprietary technology platform and patent achievements, it consistently enhances product performance and quality standards, enriching its core category matrix to provide solid support for group development. On the channel front, through the development of online and offline systems and the innovation of the Superstore format, the company has further optimized supply chain efficiency and retail operations. This improves end-to-end delivery capabilities and consumer experience, driving simultaneous enhancement of brand value and operational quality, and fostering synergistic development between the brand, channels, and consumers.
**Value Outlook: High Growth and High Dividends Highlight Long-Term Investment Appeal** From an investment perspective, the company's growth trajectory is clear, with continuously improving profitability and strong operational resilience maintained over the years. Key financial metrics, including dividend yield, revenue growth, and ROE, have all delivered impressive performances. Particularly noteworthy is the company's achievement of steady growth in both revenue and profit against the backdrop of macroeconomic pressures and industry-wide challenges in 2025, showcasing remarkable operational resilience and risk resistance.
Multiple securities research reports have pointed out that the company's valuation is significantly below reasonable industry levels, providing ample margin of safety. Looking ahead, the dividends from the company's omnichannel innovations are set to be fully realized. As overseas markets gradually open up new long-term growth avenues, and amid the ongoing upgrade of the sportswear industry and the rising tide of national sports consumption, 361 DEGREES is on a path of high-quality development. With its standout advantages—stable earnings, high dividends, low valuation, and significant potential—the company is well-positioned to deliver stable and substantial long-term returns to investors, driven by the combined effect of earnings growth and valuation re-rating.