Wuliangye (000858) investor relations material

Executive summary

• Operating revenue for H1 2026 reached RMB28.42 billion, up 20.87% year-over-year, with net profit attributable to shareholders at RMB8.75 billion, an 89.3% increase year-over-year, driven by a low base last year and strong core product sales during peak seasons.

• Gross profit margin for liquor products was 84.61%, with Wuliangye-branded Baijiu products achieving 87.91% margin and 72.84% revenue growth year-over-year.

• The company continued to invest in brand building, digital transformation, and channel optimization, expanding its presence among younger and international consumers.

Financial highlights

• Net cash from operating activities was negative RMB2.15 billion, compared to positive RMB31.14 billion in H1 2025, mainly due to policy adjustments and lower cash receipts.

• Basic and diluted EPS both rose to RMB2.2551, up 89.31% year-over-year.

• Total assets as of June 30, 2026, were RMB185.0 billion, down 2.62% from year-end 2025; equity attributable to shareholders was RMB118.48 billion, down 1.21%.

• Selling expenses increased 80.65% year-over-year, reflecting higher market investment.

• Dividend payout for 2025 was approximately RMB10 billion; share repurchase plan underway with RMB1 billion spent as of July 2026.

Outlook and guidance

• The company will maintain its strategic focus, emphasizing scenario innovation, customer group transformation, and service upgrades to enhance supply-demand matching and market share.

• Largest shareholder continues to increase holdings, signaling confidence in long-term value.