Dongwu Securities: 361 DEGREES Super Stores Accelerate Opening, Maintain "Buy" Rating
Soochow Securities Co., Ltd. released a research report, maintaining a "Buy" rating on 361 DEGREES, and expects to open 20 new large-format super stores in Q4 2025. In Q3 2025, the main brand's offline sales, children's clothing offline sales, and e-commerce revenue are expected to grow approximately 10%, 10%, and 20% year-on-year, respectively. As of Q3 2025, the number of super stores reached 93, with an addition of 44 stores, and the opening progress is faster than expected. The company launched a new product series and continues to enhance market competitiveness through technological innovation. During the National Day holiday, the ONEWAY brand added 6 stores in the Chinese market, anticipating strong sales performance in the autumn and winter skiing peak season
According to the Zhitong Finance APP, Soochow Securities released a research report stating that 361 Degrees (01361) saw a year-on-year growth of approximately 10% in its main brand offline, approximately 10% in children's clothing offline, and approximately 20% in e-commerce revenue for Q3 2025, continuing the performance from Q2. Discounts are close to 70%, remaining relatively stable. The forecast for net profit attributable to the parent company for 2025-2027 is 1.3 billion, 1.46 billion, and 1.62 billion yuan, corresponding to PE ratios of 8, 8, and 7X, indicating a low valuation, and maintaining a "buy" rating.
The report states that as of Q3 2025, there are 93 super stores (80 large apparel and 13 children's clothing), with an increase of 44 stores compared to Q2, and the opening progress is faster than expected. The company expects to open an additional 20 large apparel super stores in Q4. The store area and location of super stores are superior to the original traditional store types, effectively driving overall store efficiency improvement. In online channels, Q3 2025 saw the addition of Meituan Flash Delivery and Meituan Group Purchase services, providing consumers with a 30-minute rapid delivery service.
In terms of products, Q3 2025 saw the launch of the "Rain Shield 9th Generation" running shoes, professional marathon racing shoes "Fei Ran 4.5", basketball shoes "DVD4", running shoes "Kuang Biao 2PRO", and the new outdoor product series "Light Wild", as well as women's fitness series "New Muscle PRO" and "New Movement", continuously expanding market competitiveness through product technological innovation. In terms of branding, Q3 2025 collaborated with NBA star Nikola Jokic for a China tour and Aaron Gordon for an Asia tour, deeply interacting with fans, consolidating the brand's professional image while driving category sales.
During the National Day holiday, the outdoor brand ONEWAY opened six stores simultaneously, and sales performance during the autumn and winter skiing peak season is expected to be promising. In 2013, the company acquired the operation rights of the Finnish outdoor brand ONEWAY in Greater China, which underwent adjustments and contractions during the pandemic over nearly a decade of development. With the rising enthusiasm for outdoor consumption, the brand underwent a renewal and upgrade in 2024. During the National Day holiday in 2025, ONEWAY added six new stores in the Chinese market (located in Zhengzhou, Jinan, Xi'an, Beijing, Daqing, and Lhasa in six northern cities), with store areas of 100-120 square meters and approximately 120 SKUs, including three product lines: NUUKSIO, SISU, and LUXE, covering professional skiing, professional outdoor, and urban outdoor style outfits, primarily focusing on clothing, with the potential to enrich the product line in the future
