Core Viewpoint - The financial reports of the Hong Kong stock market reveal significant performance pressures, but the strategic direction and growth logic evolution are more noteworthy. The company Zhenjiu Liduo has delivered a high-quality performance under market pressure and has released new growth expectations, making it a valuable subject for analysis [1] Financial Performance - Zhenjiu Liduo achieved a revenue of 7.07 billion RMB in 2024, reflecting a year-on-year growth of 0.5%. The adjusted net profit reached 1.68 billion RMB, up 3.3%, with key indicators maintaining growth for four consecutive years. Both gross margin and adjusted net profit margin increased by 0.6 percentage points, indicating overall positive performance in profitability [2] - The overall gross margin of Zhenjiu Liduo reached 75.5% when calculated according to A-share accounting standards, significantly higher than its initial listing and on par with the average gross margin of the liquor industry. The operating cash flow net amount surged by 116.3% to 780 million RMB, marking a substantial improvement from a negative figure in 2022 [4] Strategic Adjustments - Zhenjiu Liduo has strategically controlled volume and intentionally slowed the market expansion pace of its Zhen San Shi series, focusing on high-quality products in the mid-to-high-end price range, which saw an 8.8% year-on-year increase in revenue [4] - The company has also reduced low-margin, low-price products in its e-commerce channels and cut several hundred million RMB worth of side products, maintaining long-term growth potential. As a result, distribution revenue grew by 2.1%, demonstrating strong performance [4] Market Position - In terms of industry ranking, Zhenjiu remains the fourth largest sauce liquor company in China and the largest private liquor enterprise in Guizhou. Liduo ranks fifth among blended liquor brands in China and continues to maintain the fastest growth among the top five blended brands [7] Long-term Growth Potential - The current adjustments in the liquor industry are driven by multiple long-term structural factors rather than simple cyclical fluctuations. Companies that transition from extensive expansion to high-quality development are expected to thrive in the long run. Zhenjiu Liduo's strategic choices align with high-quality development and aim to establish new growth points while creating differentiated advantages [8] - The company is actively reducing side products to stabilize its pricing system and enhance brand value, while also deepening its layout in the sauce liquor category, which is expected to capture over 50% of the liquor market share in the next decade [8] Channel and Brand Strategy - Zhenjiu Liduo is implementing a "dual-channel growth strategy," introducing new channels such as corporate group purchases and cross-industry collaborations. In 2024, the high-end liquor division achieved high double-digit growth through these new channels [8] - The company emphasizes the quality of its distributors and has seen double-digit growth in revenue per distributor for both Zhenjiu and Liduo brands in 2024. It also focuses on experiential marketing to enhance brand recognition and customer loyalty [9] Investment Appeal - Multiple factors are catalyzing the revaluation of Zhenjiu Liduo's value in the capital market. With the government prioritizing consumption recovery, market expectations for the consumption sector are rising, making Zhenjiu Liduo an attractive investment opportunity as a rare value stock in the Hong Kong liquor market [12][14]
珍酒李渡(6979.HK)：2024业绩全面提质，长期势能催化价值重估