TOPSPORTS (06110) has announced its interim results for the six months ended August 31, 2025, reporting revenues of approximately RMB 12.2986 billion, a decrease of 5.79% year-on-year. The profit attributable to shareholders is approximately RMB 789 million, reflecting a 9.69% decline compared to the previous year, with earnings per share of 12.72 cents. The decline in revenue is primarily attributed to fluctuations in the offline retail consumption environment during the review period, which exerted pressure on foot traffic, although some of this was offset by year-on-year growth in online retail operations. During the review period, the group's gross profit margin was 41.0%, a slight decrease of 0.1 percentage points from 41.1% recorded for the six months ending August 31, 2024. The decrease in gross profit margin was mainly due to the increased sales contribution from online retail, which typically has a higher discount rate compared to offline retail, negatively impacting the gross profit margin. However, this was partly offset by an increased contribution from retail operations to overall revenue and support from brand partners. As of August 31, 2025, inventory stood at RMB 58.34 billion, down 4.7% from RMB 61.2 billion as of August 31, 2024. The group was operating 4,688 directly operated stores as of August 31, 2025, a decrease of 19.4% year-on-year, with total gross sales area declining by 14.1%. Compared to February 28, 2025, the total number of stores decreased by 6.6%, and the gross sales area fell by 4.6%.