TONGLU, CHINA - Media OutReach Newswire - 20 August 2026 - Olympic champion diver Quan Hongchan visited the Chuiyun Tongtian River scenic area in Tonglu, China, in early August — not to dive, but to joke with the "Turtle Immortal," a costumed performer entertaining passengers on boats through the river and its caves.
The "Turtle Immortal," an interactive character at Chuiyun Tongtian River in Tonglu, greets visitors during a cave tour.
The exchange spread quickly on Chinese social media. For visitors, the character has become more than a photo opportunity: people stop to trade lines, ask questions and play along. Some have traveled specifically to meet the performer.
The small scene reflects a larger change underway in Tonglu, a county in Zhejiang province in eastern China. Long known for its scenery along the Fuchun River, Tonglu is adding performers, interactive storylines, water activities and even unexpected roadside attractions to encourage visitors to take part rather than simply look on.
A cave tour with characters
The "Turtle Immortal" is played by Zhang Yunbin, a 26-year-old opera performer who studied in Russia and speaks English and Russian. His setting is not a conventional theater but a river route winding through limestone caves.
At Chuiyun Tongtian River, Zhang is one of a rotating cast inspired by Journey to the West, the classic Chinese novel. Visitors may encounter Zhu Bajie, also known as Pigsy, as well as the Bull Demon King and Taishang Laojun, a Taoist deity.
More than 120 performers take part in the program. Rather than delivering a fixed show from a stage, they improvise with visitors, pose for photos and pull travelers into short scenes along the route.
The approach is part of what tourism marketers call immersive travel, though the experience is fairly straightforward: visitors are invited to respond, joke back and become part of the moment.
Similar experiments are appearing elsewhere in the county. At Yaolin Wonderland and Yan Ziling Fishing Platform in Tonglu, performers appear among caves, riverbanks and mountain paths as characters drawn from folklore, history and local life. A visit might include a brief role-playing exchange, a story about the site or an encounter that changes the pace of an otherwise standard tour.
The goal is to give visitors a reason to linger.
An aquarium at a highway rest stop
Tonglu's most unusual tourism experiment may not be in a scenic area at all.
During China's May Day holiday this year, travelers stopping at the Tonglu service area on the G25 Changchun–Shenzhen Expressway found more than fuel, snacks and restrooms. The rest area featured a large aquarium, mermaid performances and crowds pausing to take photos.
The attraction turned a routine highway break into a destination in its own right. According to figures released by local authorities, the service area received more than 80,000 visitors a day during the holiday.
The idea is to capture some of the spending that would otherwise pass through the county without stopping. A traveler who pulls over for coffee may stay for a show, buy a meal or decide to explore nearby attractions.
County data show that Tonglu received 1.61 million visits during the May Day holiday, up 13.2% from a year earlier.
Tourism revenue reached 958 million yuan, or roughly $132 million, a 12.4% increase, according to authorities.
Those numbers do not prove that a single aquarium or character program drove the growth. But they point to the value Tonglu sees in making travel stops more memorable — and in turning short visits into longer ones.
Scenic Tonglu County. Photo by Huang Qiang
More ways to spend a summer day
In late July, Tonglu launched a summer tourism campaign "Water Play Kingdom: Tonglu Is Wild." The branding is aimed at visitors looking for a mix of rafting, family activities, village stays and outdoor recreation.
The county's tourism offerings now range from river rafting and mountain-stream activities to the family resort, rural walks and evening events. The strategy is less about promoting a single landmark than about creating enough options for visitors to spend a full weekend — or return in another season.
That broader approach matters in a destination with no shortage of natural scenery. Tonglu's rivers, caves and hills remain the foundation of its appeal. But local planners are increasingly treating those landscapes as settings for activities, stories and encounters rather than as backdrops for a quick stop and a photo.
Making travel easier for overseas visitors
Tonglu is also preparing for more international travelers.
The multilingual "Turtle Immortal" has become a lighthearted symbol of that effort. When the performer chats with overseas visitors in English, Chinese social-media users joke that "the Heavenly Palace has opened an international branch."
Behind the joke is a more practical effort to improve the visitor experience. Yaolin township in Tonglu has been selected as a provincial pilot area for inbound-tourism innovation, with work underway on multilingual signs, international payment options and other services for overseas guests.
For international visitors, those details can matter as much as the attractions themselves. A cave performance or rafting trip may be memorable, but clear directions, workable payment systems and accessible information determine whether a trip feels easy or frustrating.
The county's tourism push is still rooted in the things that first drew people there: water, mountains and caves. What is changing is the role of the visitor.
In Tonglu, tourists may still come for the view. But they may also find themselves joking with a cave character, watching mermaids at a highway rest stop or joining an activity that asks them to do more than pose for a photo.
Hashtag: #Tonglu
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Firmly Implementing the "Single Brand, Multi-categories, Diversified Channels" Strategy; Super BOOM Capsule Technology Achieves Full Commercialization; Deepens Global Professional Sports Resources Together with Curry
FINANCIAL HIGHLIGHTS
- In the first half of the year, the Group recorded the following operating results:
- Revenue rose by 2.8% to RMB15,235 million; gross profit margin increased by 0.9 percentage points to 50.9%
- Net operating cash inflow was RMB954 million
- Net profit attributable to equity holders was RMB1,816 million with net profit margin of 11.9%, and EBITDA margin was 22.1%
- Working capital remained at a healthy level:
- The percentage of gross average working capital to revenue was 7.8%
- The cash conversion cycle was 35 days, an increase of 4 days compared with the same period last year
- The Board resolved to declare an interim dividend of RMB35.12 cents per ordinary share of the Company issued or to be issued upon conversion of convertible securities for the six months ended 30 June 2026.
- Revenue rose by 2.8% to RMB15,235 million; gross profit margin increased by 0.9 percentage points to 50.9%
- Net operating cash inflow was RMB954 million
- Net profit attributable to equity holders was RMB1,816 million with net profit margin of 11.9%, and EBITDA margin was 22.1%
- The percentage of gross average working capital to revenue was 7.8%
- The cash conversion cycle was 35 days, an increase of 4 days compared with the same period last year
OPERATIONAL HIGHLIGHTS
- The retail sell-through for the overall platform increased by low-single-digit from last year, including online and offline channels.
- Offline channel new products sell-through accounted for 83% of overall offline channel sell-through, maintaining a healthy and reasonable level.
- Channel inventory-to-sales ratio of 4 months; and inventory level and ageing structure remained at a healthy level.
HONG KONG SAR – Media OutReach Newswire – 20 August 2026 – Li Ning Company Limited ("Li Ning" or the "Company", together with its subsidiaries, collectively the "Group"; Hong Kong Stock Exchange stock codes: 2331 (HKD counter) and 82331 (RMB counter)) today announced the unaudited interim results of the Group for the six months ended 30 June 2026 (the "Reporting Period").
FINANCIAL RESULTS
In the first half of 2026, the Group continued to enhance product technology performance, optimise channel efficiency and deepen its professional brand mindset, maintaining steady operations. During the period, the Group's revenue reached RMB15,235 million, up 2.8% year-on-year (2025: RMB14,817 million). Gross profit was RMB7,751 million, up 4.5% year-on-year (2025: RMB7,415 million), and the Group's overall gross profit margin was 50.9%, up 0.9 percentage points year-on-year (2025: 50.0%).
During the period, profit attributable to equity holders of the Group was RMB1,816 million (2025: RMB1,737 million); the margin of profit attributable to equity holders was 11.9% (2025: 11.7%); and return on equity attributable to equity holders was 6.5% (2025: 6.5%). Basic earnings per share were RMB70.40 cents (2025: RMB67.43 cents). The Board resolved to declare an interim dividend of RMB35.12 cents per ordinary share of the Company issued or to be issued upon conversion of convertible securities for the six months ended 30 June 2026 (2025: RMB33.59 cents).
In terms of cash flow management, net cash generated from operating activities during the period amounted to RMB954 million (2025: RMB2,411 million). As at 30 June 2026, cash and cash equivalents (including cash at banks and in hand, and fixed term deposits with original maturity of not more than three months) amounted to RMB13,003 million, a decrease of RMB3,713 million compared with 31 December 2025. Adding back amounts recorded in bank time deposits, the cash balance was RMB19,389 million, a net decrease of RMB585 million compared with 31 December 2025. During the period, revenue increased year-on-year while cash expenses such as marketing expenses and taxes increased, resulting in a year-on-year decrease in net cash generated from operating activities; an increase in time deposits led to a significant increase in net cash used in investing activities. The Group will continue to prioritise cash flow management to ensure the stable development of the Company in the long term.
BUSINESS OVERVIEW
In the first half of 2026, the Group firmly implemented its core development strategy of "Single Brand, Multi-categories, Diversified Channels". On one hand, it continuously strengthened the core of professional sports technology and product performance, consolidating the brand's professional mindset in niche segments; on the other hand, it continuously deepened its highly efficient operating model, maintaining solid operating fundamentals and a healthy inventory level.
In terms of product upgrades, the Group drove iterative upgrades in the performance of its core category products through technological innovation, and coordinated the synergistic development of the core categories of running, basketball, training, badminton, table tennis and sports casual. The Group launched its "Super BOOM Capsule" technology, applied to racing running shoe series such as Feidian and Red Hare, covering the full-scenario needs of competitive training, elite and mass runners; the LI-NING Aerospace Dynamic Thermal Technology was applied to the award equipment of the Chinese Sports Delegation at the 2026 Milan Winter Olympics. The Group also expanded its outdoor product matrix and accelerated its layout in the outdoor market.
In terms of brand communication, the Group focused on building an all-round sports resource system represented by its cooperation with the Chinese Olympic Committee (the "COC") and top international athlete IPs. During the period, the Group continued to strengthen its strategic partnership with the Chinese Olympic Committee, developing podium wear for the Chinese sports delegation competing at the 2026 Milan Winter Olympics, and establishing a presence at the "China House" in Milan, working alongside the Chinese Olympic Committee to showcase the strength of Chinese sports. In addition, the Group entered into a long-term strategic partnership with NBA superstar Stephen Curry and his brand "Curry Brand", cooperating on the research and development of professional basketball equipment, the promotion of event culture, and the expansion of new-generation consumer groups, enhancing LI-NING's professional sports brand perception and international exposure.
In terms of channels, the Group continued to deepen strategic synergy with leading commercial complexes and orderly carried out the planning and roll-out of innovative store formats. During the period, the standalone outdoor store "COUNTERFLOW" officially opened in Chongqing, laying the foundation for the Group's outdoor category to deepen its presence in the Southwest regional market; the Group's cooperation with quality commercial resources also entered a new stage, creating favourable conditions for the concentrated opening of multiple "Loong Stores" in the second half of the year. At the same time, the Group continued to optimise its rental structures and commercial cooperation models, enhancing the overall operating health of its channels.
In terms of retail operations, the Group promoted dual-driven growth in products and brand by establishing a high-tier market operating model and a distribution business operating model. In high-tier markets, the Group strengthened its brand image around three dimensions, namely channel structure optimisation, refinement of store product mix and upgrading the shopping experience, driving incremental capture of brand elevation and category depth. In terms of distribution business, the Group concurrently established a distribution management model to enhance distribution efficiency and the sustainable operating capability of the channel. In terms of terminal operating capability, the Group continued to drive the implementation of retail standards on a project basis, strengthened coordination efficiency between headquarters and terminals, and enhanced sports advisors' customer reception capability and professional service standards, comprehensively improving consumers' shopping experience in LI-NING stores and laying the foundation for enhanced single-store operating efficiency.
In terms of e-commerce operations, the Group leveraged key promotional opportunities including Tmall Celebration Day, Goddess Festival and 618 to precisely target new-customer acquisition and deeply reach female consumer groups, effectively driving simultaneous growth in sales scale and brand influence. The Group also converted cutting-edge technology into quality product experiences, coordinated Olympic champions and celebrity spokesperson resources, and worked with fashion magazines, trend events and social media platforms to continuously consolidate its professional sports mindset. Flagship products including basketball shoes Gamma 2, LI REN 6V2 and DLO 2, as well as the running shoe matrix of Wushi, Youzhi and Zhui Feng, all achieved notable results in expanding awareness and increasing sales, while the Feeling family remained ranked first in searches in the thin-soled shoe segment.
In terms of new retail business, the Group established a new retail department to focus on mapping out its omni-channel growth business model. Through the O2O model, it connected online and offline merchandise pools, providing consumers with a more consistent and efficient shopping experience. The Group also accelerated its layout on mainstream instant-retail platforms, making concerted efforts across three areas: channel store expansion, merchandise matching and refined single-store operations. On the one hand, it fully leveraged the Group's multi-category advantages, expanding product coverage on the basis of core categories such as running shoes, basketball shoes and lifestyle apparel in combination with sports and lifestyle scenario needs; on the other hand, it strengthened the supply of seasonal categories such as outdoor and sun protection around consumption nodes such as holiday travel, driving stable growth in sales scale for the instant-retail channel.
In terms of product management, to respond to market competition, the Group increased its technology investment in high-end professional running shoes, leveraging the "Feidian" family driven by "Super BOOM Capsule" technology and the brand-new "Red Hare ULTRA" series to consolidate the brand's product mindset and market position among professional runners. While the basketball shoe market faced challenges, the Group relied on core signature models combined with an e-commerce-channel-led promotion strategy to keep basketball shoe sales stable across directly-operated and e-commerce channels. The Group also actively applied flexible supply models such as segmented production and rolling replenishment orders, dynamically adjusting order scale according to actual sales and, in particular, carrying out refined control of the inventory structure for the running shoe category, maintaining healthy inventory levels amid a challenging market environment.
In terms of supply chain and logistics, the Group continued to advance the building of a large supply-chain system across five directions: planning management, quality control, cost management, development management and digital-intelligence transformation. The Group actively advanced the development of its Glory Gold Label series to safeguard the supply of top-tier event equipment, while also promoting the implementation of AI and 3DVR design and development processes for footwear, substantially shortening the R&D cycle. On the logistics front, the Group advanced omni-channel logistics integration, connecting online and offline inventory, and continued to drive warehouse automation and the application of RFID technology, improving the efficiency of goods flow and the precision of inventory management.
OUTLOOK
Looking ahead to the second half of 2026, the Group will continue to seize the development opportunities arising from the ongoing release of domestic demand potential, uphold its core value of " Serve With Sportsmanship ", continuously refine the "LI-NING's experience value", and strive to become the preferred professional sports brand trusted by consumers in the sports consumption sector.
- Technology-driven product upgrades: The Group will continue to adhere to technological innovation as its core driving force, strengthening the core competitiveness of its products through the three major levers of its technology innovation platform, a full-scenario category matrix and Eastern aesthetics, while reinforcing its layout in high-potential tracks such as professional sports and urban outdoor.
- Top-tier resources empowering the brand: The Group will coordinate its domestic and overseas marketing resources. By leveraging core resource deployments such as its partnership with the Chinese Olympic Committee and collaborations with superstar IPs, the Group will build a multi-dimensional, long-term and high-conversion communication system. The Group will continue to deepen its long-term cooperation with the Chinese Olympic Committee, supporting the Chinese sports delegation as it competes in international events such as the 2026 Asian Games, and will deepen its strategic cooperation with Stephen Curry and "Curry Brand".
- Elevating both the quality and efficiency of business operations: The Group will focus on the three core pillars of channel layout, merchandise systems and supply chain integration, accelerating online-offline integration, prioritising the scalable replication of innovative store formats such as "Loong Store", and building a flexible supply chain system that is high-efficiency, low-cost and fast-response.
- Strengthening the foundation to safeguard development: The Group will reinforce its operating foundation across talent, finance and digital intelligence, building out its talent pipeline, maintaining ample cash flow and a rigorous risk control mechanism, and advancing the deep penetration of artificial intelligence and digital technologies across the full scenarios of R&D, production and channels.
Mr. Li Ning, Executive Chairman and Joint Chief Executive Officer of the Group, commented,"The year 2026 marks the opening year of the '15th Five-Year Plan'. Although the external trade landscape was complex and volatile in the first half of the year and structural divergence in the domestic consumer market persisted, consumption in functional niche segments such as professional sports and urban outdoor remained resilient, supported by a series of national policies to expand domestic demand and promote consumption. Facing a challenging external environment, the Group firmly implemented its core development strategy of 'Single Brand, Multi-categories, Diversified Channels', achieving steady growth in both revenue and profit while maintaining healthy inventory and working capital levels, a clear demonstration of the resilience of the Group's operating fundamentals.
Looking ahead to the second half of the year, we will stay rooted locally while looking to the future, seizing the structural opportunities brought by the '15th Five-Year Plan' policies to expand domestic demand and build a leading sports nation, advancing the scalable replication of innovative store formats such as 'Loong Store', deepening the dual drivers of technological innovation and top-tier sports resources, so as to deliver higher-quality and more sustainable steady operations in return for the long-term trust of our consumers and shareholders."
Hashtag: #LiNing
The issuer is solely responsible for the content of this announcement.
About Li Ning Company Limited
Li Ning Company Limited is one of the leading sports brand companies in China, mainly operating professional and leisure footwear, apparel, equipment and accessories under the LI-NING brand. The Group has comprehensive research and development, design, manufacturing, marketing, distribution and retail management capabilities. It has established an extensive retail distribution network and supply chain management system in China. We are committed to be the most prominent, stylish, world-leading sports brand from China.
In addition to its core LI-NING brand, the Group also manufactures, develops, markets, distributes, sells various sports products which are self-owned by or licensed to the Group, including Double Happiness (table tennis), AIGLE (outdoor sports) and Kason (badminton), which are operated through joint venture/associate with third parties of the Group.
** This press release is distributed by Media OutReach Newswire through automated distribution system, for which the client assumes full responsibility. **
