Li Ning Co. Ltd. (02331.HK) aims to break even this year after spending two years consolidating its business.
The sports apparel company, headed by former national athlete Li Ning, saw sales grow 23 percent in the second half of 2014 from a year earlier, the Hong Kong Economic Journal reported Friday.
Net loss for the period narrowed despite a larger full-year loss of 781 million yuan (US$126.3 million).
The company plans to close 500 more loss-making stores, although the total number of outlets is likely to grow again. It closed a net 289 shops last year.
Li said the company will focus on the mass market with online retailing as one of its key strategies.
He expects revenue from online sales to contribute 30 to 35 percent of overall sales in two to three years, from 5 percent at present.
Li Ning will launch smart running shoes with smartphone maker Xiaomi Inc. in the third quarter. The two models will be priced at less than 300 yuan to no more than 500 yuan.
Translation by Vey Wong
[Chinese version 中文版]
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