Luzhou Laojiao (000568) H2 2024 earnings summary

Executive summary

• Operating revenue reached CNY 31.20 billion in 2024, up 3.19% year-over-year; net profit attributable to shareholders was CNY 13.47 billion, up 1.71% year-over-year.

• The company maintained a strong market position in the baijiu industry, with high brand value and continued investment in innovation and digital transformation.

• Major product lines include mid- and high-end baijiu, with National Cellar 1573 and Luzhou Laojiao Tequ as flagship brands.

• The company celebrated the 700th anniversary of its strong aromatic baijiu, emphasizing cultural branding and international expansion.

Financial highlights

• Operating revenue: CNY 31.20 billion, up 3.19% year-over-year.

• Net profit attributable to shareholders: CNY 13.47 billion, up 1.71% year-over-year.

• Net cash flows from operating activities: CNY 19.18 billion, up 80.14% year-over-year.

• Basic and diluted EPS: CNY 9.18, up 1.77% year-over-year.

• Weighted average ROE: 30.44%, down 4.63 percentage points year-over-year.

• Total assets: CNY 68.33 billion, up 7.96% year-over-year.

• Net assets attributable to shareholders: CNY 47.39 billion, up 14.49% year-over-year.

Outlook and guidance

• The company did not meet its initial target of at least 15% revenue growth, citing industry headwinds and a shift to a stock-driven market.

• 2025 is the final year of the 14th Five-Year Plan, with a focus on stable growth, digital transformation, and high-quality development.

• Plans include expanding market coverage, enhancing brand value, and driving innovation in product and marketing.