Peak Sport, the Chinese sports brand, lifted its sales by 9.4 percent to nearly 4,647 million renminbi (€556.1m-$734.0m) last year, as it continued to expand in second- and third-tier cities around China. The brand had 7,806 stores operated by retail partners at the end of last year, up by 582 compared with the previous year. Its gross margin inched up by 1.4 percentage points to 39.4 percent for the year, but its net profit declined by 5.4 percent to RMB 777.7 million (€93.1m-$122.8m). This year the company will strive to optimize its distribution by opening larger retail outlets. Furthermore, it will invest about RMB 150 million (€18.0m-$23.7m) to complete the construction of two existing production plants in the Fujian and Jiangxi provinces, while also starting the construction of a new apparel plant in Shandong province, to escape higher wages in the coastal regions of China.

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