China’s profitability forecast for last year will continue to grow rapidly in the coming years

Wang Zhiqiang, chief financial officer of China Dongxiang (3818.HK), said recently that the company’s 2007 earnings forecast is too conservative and is expected to be exceeded.

Wang Zhiqiang said that as of the end of 2007, the company had 1900 sales outlets in the mainland, 800 more than in 2006, and the growth rate was much faster than expected. The company also expects to add another 400-600 sales points this year, and will maintain rapid growth from 2009-2010.

In October last year, China’s move was listed as a new consumer stock in the Mainland in Hong Kong. The company's main sports apparel design, development, marketing and brand wholesale, has Kappa brand in the Mainland and Macau's full agency benefits.

It is understood that China's net profit growth in 2006 compared with 2005 increased by 200%, the performance of the first 10 months of 2007 increased by more than 90%. According to the prospectus listing at the time of listing, the company’s forecast net profit for 2007 is HK$633 million, and the forecasted basic earnings per share is HK$0.11.

According to Chen Yihong, the president of China Mobile, he said that in the future, it will maintain the company’s ranking among the top three sporting goods companies in the mainland, and guarantee that the growth of sales exceeds the market average by 20%-30%.