Hong Kong Sports Goods Concept Stocks Soar Afternoon High, Xtep International Rises Over 3%
August 19, 2025 news, Hong Kong sports goods concept stocks soared in the afternoon, Xtep International rose over 3%, Li Ning and Anta Sports rose over 2%.
The Office of the Government Spokesperson held a press conference on the theme of "High-Quality Completion of the '14th Five-Year Plan'" at 10 am today, introducing the achievements in building a strong sports country during the '14th Five-Year Plan' period. According to reports, the sports industry has become a new highlight for economic development. Policies such as ice and snow economy and outdoor sports have been introduced, driving the growth of the sports industry, with the total scale increasing by over 10% per year on average in the past five years.
On August 18, Xtep International released its interim results for 2025. During the reporting period, the group's continued operation revenue reached RMB 68.38 billion, up by 7.1% year-on-year; and the net profit attributable to ordinary shareholders reached RMB 9.14 billion, up by 21.5% year-on-year.
Goldman Sachs published a report stating that Xtep International (01368.HK) exceeded its expected profit in the first half of this year by 12%, mainly due to other income and higher-than-expected revenue, while core business revenue met expectations, with gross margin and recurring operating profit margin slightly higher than Goldman's forecast. Xtep International reiterated its guidance, expecting net profit per share to increase more than 10% year-on-year in 2025, taking a cautious but optimistic stance on the consumption environment for the second half of this year.
Goldman Sachs set a new target price for Xtep International at HKD 7.1 (previously HKD 7), based on its forecasted P/E ratio of 13 times in 2025. Considering that Goldman believes the risk-return profile remains attractive, it maintained its "Buy" rating for the company. The firm forecasts Xtep International's net profit per share to increase by 14% year-on-year in 2025, with a forecasted P/E ratio of 11 times.