Shen Wan Ho, Long-Term Investors Concerned About Anta Sports

Shenyang Wanguo published the latest research report after attending the Anta analyst's sports meeting and the 2008 winter order meeting. It is believed that Anta's sports can still maintain healthy growth in the coming years thanks to the steady growth of GDP, the steady expansion and the improvement of learning ability; therefore, it is suggested that long-term investors take an active interest in the company. Shen Wan points out that Anta is able to face the threat of industrial saturation after the Olympic Games, because the growth of the company is no longer mainly dependent on the expansion of the outlets. It is estimated that the 08 year sales of the company will increase by 50% over the same period, and only 12.7% of them will come from the increase of retail stores, which means that more sales revenue growth comes from the growth of single store sales and the improvement of management efficiency. Shen Wan also said that the two level distribution mode of Anta, combined with strong regional distributors, will help Anta to ensure steady growth in bargaining power compared with international brands and Lining, which are still weak. After taking part in the 2008 winter ordering conference, Shen Wan expects Anta's sales revenue to increase by 50% in the 4 quarter of this year, thus ensuring that the annual sales can also reach this growth rate. It is proved that the company is still in the fast growing period.