SCSF(SH:600779) Guan Cha Zhe Wang·2025-07-16 13:50Core Viewpoint - Sichuan Shui Jing Fang Co., Ltd. is experiencing a paradox of "selling more but earning less," as indicated by its financial performance in the first half of 2025, with significant declines in revenue and net profit [1][4]. Financial Performance - The company expects a revenue of 1.498 billion yuan for the first half of 2025, a year-on-year decrease of 12.84% [1]. - The net profit attributable to shareholders is projected to be 105 million yuan, down 56.52% year-on-year [1]. - In Q2, the company anticipates a net loss of 85 million yuan, a staggering decline of 251.24% year-on-year, with revenue of 539 million yuan, down 31.37% year-on-year [1]. Sales Volume and Market Dynamics - Despite the revenue decline, Shui Jing Fang expects a sales volume increase of 543,000 liters, a year-on-year rise of 14.54%, all from mid-to-high-end liquor [4]. - The increase in sales volume is attributed to strategic adjustments rather than merely price-driven volume growth, as the company focuses on channel management and consumer experience [4]. Industry Context - The overall liquor industry is undergoing a deep adjustment phase, with traditional consumption scenarios like business banquets facing ongoing pressure, leading to reduced revenue [4]. - The company's proactive measures to address market issues, such as controlling low-price dumping and streamlining distribution, reflect its commitment to maintaining brand integrity [5]. Future Outlook - Analysts suggest that with the easing of national policies and a potential recovery in consumption, Shui Jing Fang may see a gradual release of market potential in the second half of the year, possibly leading to a rebound and structural growth in the following year [5].