Pathfinder outdoor shoes, brand actively pursue expansion strategy

In 2010, Pathfinder outdoor Nike Air Max 2009 brands achieved revenues of 434 million yuan, an increase of 48% and net profit of 53.9 million yuan, an increase of 22.40%, to achieve EPS 0.40 million, in line with expectations. Distribution plan is to send 1 per 10 turns 10.

    Of scale and brand to enhance gross profit margin of 1.07 points premium to 49%

    With the rapid expansion of company size and R & D investment continues to increase, the company enhanced brand influence the company's products to improve pricing power. R & D expenses in 2010 the company invested 14.48 million yuan, investment intensity of R & D continued to improve, access to five utility model patents and two design patents, the end has 17 patents. In addition to clothing gross margin was essentially flat, the company footwear and equipment categories are to some extent increase in gross margin. Consider the company's continued investment and industry-leading brand strategy, the company leading product gross margins will remain, steadily.

    Drive rapid channel development, market share will continue to improve

    2006-2010 of outdoor sports apparel and equipment market growth of 44.2% compounded annually, the company's product development and actively promote the company's market share of channel development continued to increase, we estimate the company in 2010 was 11% domestic market share, increased by 0.1 points, sales continue to maintain the first. The company in 2011 and the autumn and winter, spring and summer orders were up 52% ??will be 72% of the basic lock and 2011 high-growth pattern. The new 185 in 2010 and 2011 the company plans a net increase of 300 stores will improve the performance of the company in 2012 with high growth.

    The fair value of the company -46.48 42.05 yuan yuan / share, maintaining "cautious recommendation" rating

    Channel development company active, the full cost of the release, we increased the pace of expansion of the Nike Air Max 24-7 company channels, is expected EPS of 0.72 in 2011-13 yuan, 1.10 yuan and 1.58 yuan, integrated valuation of PEG relative and absolute valuations, we estimate the fair value of the company 42.05 Yuan -46.48 yuan / share, to maintain "prudent recommended" rating.