Kouzijiao(SH:603589) Zhong Jin Zai Xian·2025-10-28 14:44Core Viewpoint - The performance of Kuozi Jiao (603589.SH), known as "Hui Jiu Lao San," has significantly deteriorated in Q3, with revenue nearly halved and net profit plummeting over 90%, marking the worst quarterly performance since its listing [1][2] Financial Performance - In the first three quarters of the year, Kuozi Jiao reported revenue of 3.174 billion yuan, a year-on-year decline of 27.24%, and a net profit of 742 million yuan, down 43.39% [1] - Q3 alone saw revenue of 643 million yuan, a decrease of 46.23%, and a net profit of 26.97 million yuan, down 92.55% [1] - The operating cash flow was negative at -390 million yuan, a decline of 208.91% year-on-year [1] Sales Breakdown - Sales of mid-to-high-end liquor products have declined across the board, with high-end product revenue falling by 28% to 2.961 billion yuan, mid-range products down 15.38% to 41.30 million yuan, while low-end products saw a 25% increase to 114 million yuan [2] - The overall gross margin dropped to approximately 71% due to the significant decline in mid-to-high-end liquor sales [2] Market Performance - Both domestic and external markets experienced revenue declines, with domestic sales at approximately 2.587 billion yuan (down 27.24%) and external sales at 530 million yuan (down about 23.93%) [2] - Despite a net increase of 55 and 47 distributors in domestic and external markets respectively, sales continued to decline [2] Shareholder Activity - In Q3, the company's actual controller, Liu Ansheng, reduced his holdings by 10 million shares, while the China Securities White Wine Index Fund increased its holdings [3] - As of the end of September, the total shares held by the top ten shareholders slightly decreased compared to the end of June [3]