JGJC(SZ:000799) Xin Lang Zheng Quan·2025-06-03 06:18Core Viewpoint - The company is facing a significant decline in performance, with a 49.7% drop in revenue and a 97.72% decrease in net profit for 2024, primarily due to the poor performance of its high-end product line, "Neican Series" [1][5] Group 1: Financial Performance - In 2024, the company's revenue fell to 1.423 billion yuan, and net profit dropped to 12.49 million yuan, marking the lowest levels since 2015 [1] - The "Neican Series" revenue plummeted from 1.157 billion yuan in 2022 to 235 million yuan in 2024, a decline of 67.06%, with gross margin decreasing from 91.63% to 87.71% [1] Group 2: Inventory Issues - Despite claims of over 100% distribution and sales rates, investors are skeptical about the actual inventory reduction, which is reported to be less than 5% [2] - The company maintains high finished goods inventory levels to ensure "reasonable stocking" for sales, reflecting a lack of confidence in the distribution channels [2] Group 3: Distributor Reduction - The number of distributors decreased from 1,774 to 1,336 in 2024, as the company aims to improve distributor quality by eliminating inefficient clients [3] - This strategy has caused short-term channel disruptions but is intended to optimize the distribution structure and focus on core markets [3] Group 4: Strategic Focus - The company is shifting from aggressive national expansion to a "focus strategy," pausing production capacity expansion and reducing SKU by 50% to streamline operations [4] - The focus will be on the Hunan market and select external markets, abandoning low-return areas like Beijing and Shanghai [4] Group 5: Industry Context - The company's challenges reflect broader issues faced by regional liquor companies during a period of industry adjustment, including high-end market difficulties and channel instability [5] - The management's focus strategy aims to establish a stronghold in the Hunan market, where the current market share is approximately 15% [5]