Jiangsu Yanghe Distillery ( 002304) H2 2024 earnings summary

Executive summary

• Operating revenue for 2024 was CNY 28.88 billion, down 12.83% year-over-year; net profit attributable to shareholders was CNY 6.67 billion, down 33.37% year-over-year.

• The company faced intensified competition in the liquor industry, with a shift toward leading enterprises and rational consumption trends.

• Strategic focus included quality improvement, brand enhancement, digital transformation, and sustainable development.

Financial highlights

• Operating revenue decreased 12.83% year-over-year; net profit attributable to shareholders fell 33.37%.

• Gross margin was 74.06%, down 2.05 percentage points year-over-year.

• Basic and diluted EPS were CNY 4.43, down 33.37% year-over-year.

• Net cash flow from operating activities was CNY 4.63 billion, down 24.49% year-over-year.

• Total assets at year-end were CNY 67.35 billion, down 3.51% from the previous year.

Outlook and guidance

• The company plans to focus on long-termism, quality, and brand reputation in 2025.

• Marketing will emphasize core products and key markets, especially Jiangsu and surrounding regions.

• Continued investment in digitalization, ESG, and safety management is planned.