The Zhitong Finance App learned that Guoxin Securities released a research report saying that the overall retail performance of 361 degrees (01361) in the third quarter of 2026 was steady, with the number of units in the year-on-year increase in offline retail sales of major brands, the number of units in the year-on-year increase in children's clothing brand offline retail sales, and the core brand and children's business continued to grow well; the overall turnover of e-commerce platforms recorded positive growth in medium to high units year-on-year, and online channels continued to expand rapidly; discounts fell slightly to 30% off, and inventory remained stable. The bank maintains its profit forecast. The company's net profit for 2026-2028 is expected to be 1,48/16.2/1.74 billion yuan respectively, up 12.9%/9.8%/7.3% year-on-year, maintaining the “superior to the market” rating.
Guoxin Securities's main views are as follows:
Third quarter retail performance
On October 14, the company announced retail performance for the third quarter of 2026. The number of units recorded positive growth in offline retail sales of 361 degrees, children's clothing brands recorded a positive increase in offline retail sales, and e-commerce platforms recorded positive growth in medium to high units.
Overall retail performance was steady in the third quarter
In the third quarter of 2026, the company's overall retail performance was steady. The number of units of offline retail sales of main brands increased year-on-year, the number of units in offline retail sales of children's clothing brands, and the core brand and children's business continued to grow well; at the same time, the overall turnover of e-commerce platforms recorded positive year-on-year growth, and online channels continued to expand rapidly and continue to play a role as a growth engine; discounts fell slightly to 30% off, and inventory remained stable.
The number of units increased in turnover in the third quarter, and supermarket stores completed the annual opening guidelines ahead of schedule
In the third quarter, under the adverse effects of weather and fluctuations in the industry's consumption environment, the number of units in the company's turnover growth maintained good operating resilience, and sales ratio remained stable, and discounts declined slightly month-on-month in an environment of fierce price competition in the industry; the new store format continued to expand, and the number of domestic supermarket stores further expanded to 208, completing the annual store opening guidelines ahead of schedule. The bank is optimistic about the company's growth resilience and maintains profit forecasts.
Risk Alerts
The recovery in consumer demand fell short of expectations; channel expansion fell short of expectations; brand image was damaged; and the systemic risk of the market.