TOPSPORTS (06110) released its interim results announcement for the 2026/27 fiscal year on the evening of October 28. For the six months ended August 31, 2026, the company reported operating revenue of RMB 10.91 billion and net profit of RMB 660 million. Inventory value declined by 15.7% year-on-year, keeping inventory levels within a healthy range. Net cash generated from operating activities reached RMB 1.84 billion, with bank balances and cash totaling RMB 3.09 billion, reflecting a solid cash flow position. The interim dividend payout ratio stood at 102.9%, with cumulative dividends since listing reaching RMB 16.25 billion, demonstrating a continued commitment to shareholder returns.
Strengthening the Omnichannel Operating Foundation and Continuously Forging Endogenous Momentum
On the retail operations front, TOPSPORTS continues to closely track shifting market trends, repositioning and dynamically adjusting the roles of each channel from an omnichannel perspective. With its physical store network as the business foundation, the company connects multidimensional online channel capabilities around diverse consumer scenarios, driving overall operational quality and efficiency improvements.
At the same time, TOPSPORTS maintains close, long-term partnerships with its partner brands. Leveraging the omnichannel network, consumer recognition, and operational synergy built through years of collaboration, TOPSPORTS continues to play a vital role as a retail touchpoint for brand showcase, consumer experience, and product sales, supporting partner brands' long-term development in the Chinese market.
Offline, TOPSPORTS uses sales per square meter and per-capita efficiency as core levers, continuously iterating store role positioning and driving channel structure optimization. Stores are transformed into composite nodes integrating brand experience, omnichannel fulfillment, and user operations, continually unlocking the store's omnichannel hub value. Online, TOPSPORTS further optimizes and refines consumer touchpoints, leveraging local lifestyle services, instant retail, and private domain channels to respond to consumer needs across multiple dimensions, forming deep synergies with offline stores. Meanwhile, TOPSPORTS dynamically optimizes omnichannel resource allocation based on the differentiated positioning and development stages of various partner brands, better supporting brand development needs at different stages.
Additionally, TOPSPORTS focuses on three dimensions—demand matching, scenario penetration, and experiential value—to deepen refined user operations. Through rich sports scenarios and diverse user activities, the company continues to strengthen consumer connections, constantly unlocking and activating user value. As of the end of August 2026, TOPSPORTS had accumulated 95 million users. Members contributed over 90% of total retail sales across offline stores and WeChat mini-programs. Repeat-purchase members accounted for approximately 60% of member consumption, with high-value members contributing approximately 35%. Furthermore, TOPSPORTS continues to deepen its digital and intelligent applications, integrating AI and other technologies throughout merchandise and supply chain management, omnichannel retail operations, user marketing, business management, and organizational management, driving high-quality business development through technological empowerment.
Continuing to Increase Investment in Sports Niche Tracks and Accelerating the Accumulation of Full-Chain Operating Capabilities
In response to increasingly diversified and specialized sports consumption demand, TOPSPORTS continues to increase investment in niche tracks such as running and outdoor, continuously expanding its brand partnership matrix to better meet consumer needs.
In exclusive operational partnerships, TOPSPORTS leverages full-chain operating capabilities spanning brand communication, market promotion, omnichannel sales, and consumer operations to advance the domestic market rollout of top outdoor brand Norrøna and professional running brands norda®, Soar, and Ciele, with brand operating capabilities consistently delivering results. During the period, Norrøna entered Chengdu SKP, further improving its premium retail channel layout and continuing to connect with high-net-worth outdoor consumers. norda® launched a pop-up experience space at Beijing SKP, creating a gathering place for runners. Ciele's Tmall official flagship store officially launched, and the brand appeared at popular Shanghai running landmarks through a mobile experience space and at the Moganshan Trail Race, deeply reaching core running communities.
In August of this year, TOPSPORTS added another piece to its outdoor portfolio by securing exclusive operating rights for professional outdoor brand Sierra Designs in the Chinese market. Founded in 1965, Sierra Designs combines professional outdoor heritage with pioneering aesthetic design. With Sierra Designs joining, TOPSPORTS' outdoor footprint further expands, covering a broader range of scenarios and consumer groups.
While continuously introducing professional sports brands, TOPSPORTS actively explores innovative formats, deepening connections with younger consumer groups through running ecosystem brand ektos. Guided by the philosophy of "co-creation with runners," ektos brings together more than 20 top professional running brands, covering diverse scenarios including urban road running, trail running, and marathons. During the period, ektos opened its second store in Aranya, Qinhuangdao, and continued to unite and accompany the running community through diverse formats such as store experience creation, participation in professional races, and community event organization.
Moreover, TOPSPORTS consistently upholds a long-term development philosophy, integrating sustainable development into all aspects of business management and value creation, continuously enhancing its ESG governance standards. With outstanding performance in comprehensive ESG governance, TOPSPORTS continues to earn recognition from internationally authoritative rating agencies, maintaining an MSCI ESG rating of AA, leading the industry.
Looking ahead, TOPSPORTS will anchor itself to its omnichannel retail foundation and niche track layout, continuously honing brand operating capabilities, expanding the boundaries of sports retail value, and achieving steady, sustainable long-term development.
Comments