In the first half of 2026, China's domestic sportswear brands left behind the era of universal growth. Anta solidified its leading position with projected revenue of 41-43 billion yuan, while 361° emerged as the biggest variable with strong growth across all segments. Public industry data shows that growth rates for all four major brands slowed in Q2, but the gap between them has shifted from pace to direction—some are growing, others declining.
Revenue Tiers Solidified, Growth Engines Diverge
Anta maintained its dominant lead, with its namesake brand and FILA posting mid-single-digit growth, while high-end outdoor labels Descente and Kolon surged 35-40%, driving group revenue to an estimated 41-43 billion yuan. Li-Ning's main brand saw low-single-digit decline in Q2, with overall flat growth only supported by its Li-Ning YOUNG kids' wear line, resulting in projected revenue of 14.5-14.8 billion yuan. Xtep and 361° are close in scale, with estimates of 6.7-6.9 billion and 6.1-6.3 billion yuan respectively, but their growth trajectories are opposite.
Common pressures include weak consumer confidence, extreme weather impacting foot traffic, and intensified price competition. All brands experienced Q2 slowdown, but Anta and 361° maintained positive growth, while Li-Ning and Xtep saw declines in their main brands, indicating that brand structure differences are translating into real performance gaps.
Niche Segment Dividends: Outdoor, Kids' Wear, Professional Running
Anta's outdoor portfolio became its biggest growth driver. Descente and Kolon saw 35-40% revenue growth in H1, maintaining 25-30% in Q2 despite the sluggish environment, with Kolon's single-quarter growth exceeding 40%. As mass-market sportswear peaks, the high-end outdoor segment has successfully taken over, validating the multi-brand strategy's value in cyclical downturns.
361° was the only brand to achieve strong growth across all lines. Its main brand and kids' wear saw mid-to-high single-digit growth offline, with e-commerce posting high single-digit gains, all built on a high base from 2025. The brand accelerated superstore expansion, reaching 187 stores by June with a net addition of 45 in Q2. The appointment of a former Nike Greater China executive signals accelerated brand operations and globalization.
Li-Ning's offline direct and wholesale channels were weak, with only e-commerce achieving mid-single-digit growth. The group's flat performance relied entirely on Li-Ning YOUNG kids' wear. Xtep's main brand retail declined slightly, with the drop widening in Q2, but its Saucony professional running brand was the sole growth driver, posting low-double-digit growth in H1 and over 20% in Q1. Overseas cross-border e-commerce doubled, opening new space.
Channel Refinement: From Quantity to Quality
The era of indiscriminate store expansion is over. Li-Ning closed 28 stores in H1, reducing its main brand count to 6,063, while adding 52 kids' wear stores, focusing on eliminating underperforming outlets. Xtep accelerated its DTC channel reform, reclaiming over 200 stores in H1 and planning another 400 in H2, aiming to improve terminal profitability. Anta strictly controlled inventory and discounts, with FILA's inventory-to-sales ratio below 5 months and uniform 7.3% discount, leading in operational quality. 361° achieved high growth through superstore expansion, adding 45 stores in Q2, but with emphasis on per-store profitability rather than sheer numbers.
For suppliers and factories, this means a fundamental shift in order structure. Brands are moving away from bulk orders toward small-batch, high-frequency, fast-replenishment models, demanding greater supply chain flexibility. Meanwhile, the growth of high-end outdoor and kids' wear segments will create structural opportunities for related fabric and accessory suppliers.