CITIC Securities: Sports shoes and apparel will continue to be a high-growth and well-defined track for quality consumption.

CITIC Securities research report stated that the sports footwear and apparel industry will continue the trend seen in 2023-2024, with slowing growth but still showing an increase, as more participants enter the market leading to intensified competition. After reviewing the 2025 annual report and 2026 guidelines, CITIC Securities identified three trends: 1) Differentiated guidelines with a conservative overall outlook, destocking becoming the main theme in 2026; 2) Increased investments from various companies focusing on channel upgrades, product optimization, and comprehensive marketing layout; 3) Industry giants and foreign brands expressing a pessimistic tone, possibly relinquishing a large market share and providing opportunities for local brands to rise. Therefore, CITIC Securities believes that from a one-year perspective and a longer-term perspective, the sports footwear and apparel industry will continue to be a high-growth and well-structured high-quality consumer sector.