The Chinese running brand returned to growth in the first half of 2018 after last year’s restructuring, reporting a 32% increase in comprehensive net income to RMB444.3 million ($69.6 mm) from RMB337.1 million on 18% higher sales of RMB2,729.0 million ($427.7 mm) vs. RMB2,310.8 million. Excluding a foreign exchange benefit and other comprehensive items, net income was up 12% to RMB375.6 million. Gross margin narrowed 20 basis points to 43.7%, while SG&A increased 90 b.p., or RMB95 million on higher advertising and promotion spending.

Following a drastic realignment of its retail platform last year, comps at its 6,035 retail outlets rebounded ... Log in to view full article.