Outdoor and Chip Dual Engine Resonance: How Toread Captures the 7 Trillion Sports Industry Policy Dividend

The '15th Five-Year Plan for Building a Sports Powerhouse', issued by the General Administration of Sport on July 22, and the '15th Five-Year Plan for Expanding Consumption', issued by the State Council on July 13, have clearly defined growth paths for the outdoor sports and smart equipment industries. The former targets a total sports industry scale exceeding 7 trillion yuan by 2030, while the latter lists sports fitness and smart wearables as core directions for domestic demand expansion. The overlap of these two plans means that upstream textile fabrics, functional apparel, and smart wearable devices in the outdoor industry will face systematic demand expansion.

Dual Business Drive: The Logic Behind the Strong Performance

Toread's first-half 2026 performance forecast shows net profit attributable to shareholders is expected to reach 46 million to 56 million yuan, a year-on-year increase of 128.92% to 178.69%; the growth rate of non-recurring net profit is even higher, at 166.58% to 211.01%. The key growth driver comes from the chip business: first-quarter chip revenue was 179 million yuan, up 206.92% year-on-year, accounting for 36.09% of total revenue, and the single-quarter chip revenue is already close to the full-year chip revenue of 230 million yuan in 2025. The consolidation of subsidiaries Shanghai Tongtu and Shenzhen Betterlife contributed key profit increments.

Synergy Between Outdoor and Chip

Toread's uniqueness lies not in simply stacking the two businesses but in embedding chip capabilities directly into outdoor equipment. Its self-developed smart exoskeleton Crest C3 weighs only 1.8 kg, has a thrust-to-weight ratio of 10:1, and is equipped with an AI gait algorithm that can recognize over 10 outdoor movement postures, with a single charge lasting 4 hours. During the 618 pre-sale period, daily sales exceeded 100 units. This product fills a gap in the domestic consumer-grade smart powered equipment market, signaling that outdoor apparel and equipment are upgrading from 'passive protection' to 'active assistance'.

Extreme Environment Tech to Mass Market

Toread has provided cabin equipment for astronauts from Shenzhou-12 to Shenzhou-23, and has been supplying equipment for Antarctic and Arctic scientific expeditions since 2009. These extreme environment validations are now being converted into reliability guarantees for mass-market products. In January 2026, the company partnered with Beijing Transporter Manned Space Technology Co., Ltd. to expand the 'aerospace + outdoor' industry system. For the textile industry, this technology downflow means the cost of high-performance functional fabrics will decrease with scale, benefiting the broader consumer market.

Practical Advice for Buyers and Factories

For Buyers - Monitor procurement needs from Toread and similar companies: smart exoskeletons and wearables are driving demand for lightweight fabrics, conductive fibers, and waterproof breathable membranes; consider connecting with relevant suppliers in advance. - Track policy implementation rhythm: the construction of 100 high-quality outdoor sports destinations will lead to centralized procurement of tents, sleeping bags, and functional apparel; it is advisable to complete supply chain preparation before 2027.

For Factories - Invest in flexible electronics and fabric integration capacity: smart clothing requires seamless integration of sensors, wires, and fabrics; factories with such processes will command order premiums. - Focus on the cost-reduction path of aerospace-grade materials: as polar and aerospace protection technologies transition to civilian use, the opportunity for domestic substitution of high-performance fibers (e.g., aramid, UHMWPE) is worth tracking.