KWEICHOW MOUTAI(SH:600519) 2 1 Shi Ji Jing Ji Bao Dao·2025-10-29 12:16Core Viewpoint - Guizhou Moutai's third-quarter performance shows modest growth in revenue and net profit, indicating resilience in a challenging industry environment, although it falls short of previous growth targets [2][8]. Financial Performance - In the third quarter, Guizhou Moutai achieved revenue of 39.064 billion yuan, a year-on-year increase of 0.56%, and a net profit of 19.224 billion yuan, up 0.48% [8]. - For the first three quarters, the company reported total revenue of 128.454 billion yuan, reflecting a growth of 6.36%, and a net profit attributable to shareholders of 64.627 billion yuan, which is a 6.25% increase [8]. Industry Comparison - Compared to other liquor companies, Guizhou Moutai is one of the few that maintained positive growth, while peers like Kweichow Moutai, Laobaigan, and Yilite reported significant declines in revenue, with drops of 30% to 40% [4]. - The strong cyclicality of the liquor industry is evident, with Moutai's current performance being better than during the last downturn in 2014, when it experienced declines in revenue and net profit [5]. Management Insights - Moutai's management emphasizes the company's ability to navigate through industry cycles, supported by recent market research indicating a stable and positive development trend for Moutai liquor [6]. - The management's assessment post-research suggests that Moutai's sales channels are showing resilience, with a notable decrease in the inventory-to-sales ratio, indicating a healthy market position [6]. Investment Sentiment - Long-term investors, such as fund manager Zhang Kun, have increased their holdings in Guizhou Moutai, citing the long-term potential of China's consumer market and the current low valuation as providing a safety margin [7].