Shanghai Guijiu (SH:600696) Xin Lang Cai Jing·2026-01-15 00:22Core Viewpoint - *ST Rock (600696.SH) is facing imminent delisting due to a significant decline in financial performance, with projected revenue for 2025 expected to fall below 300 million yuan and at least one profit metric anticipated to be negative [4][6]. Financial Performance - The company reported a revenue of only 34.76 million yuan for the first three quarters of 2025, with a net loss of 112 million yuan attributed to shareholders [6]. - Revenue plummeted by 82.54% in 2024, down to 285 million yuan, with a net loss of 217 million yuan, marking a stark contrast to previous years when revenue surged from 600 million yuan to over 1.6 billion yuan between 2021 and 2023 [6]. - The core sauce-flavored liquor business saw a revenue decline of over 84% in 2024, with sales volume dropping by 78%, while the strong-flavored liquor segment experienced a nearly 65% revenue decrease and a 44% drop in sales volume [6]. Business Operations - The company’s distribution network collapsed, with the number of distributors decreasing from 3,693 in 2024 to only 772, severely impacting sales and brand reputation [6]. - The company has been embroiled in multiple lawsuits due to unpaid project funds, further complicating its operational stability [7]. Management and Governance - Since 2024, there has been significant turnover in the management team, including the departure of the general manager and other key executives, leading to instability [7]. - The actual controller, Han Xiao, was implicated in an illegal fundraising case, which has further destabilized the company’s leadership [7]. Market Reaction - Following the announcement of the financial outlook, the stock price hit the daily limit down for two consecutive trading days, closing at 2.89 yuan per share on January 14 [4]. - Despite the financial turmoil, the number of shareholders increased from approximately 23,800 at the beginning of the year to 46,000 by year-end, indicating speculative interest in potential recovery or shell value [10]. Legal Issues - The company lost a trademark dispute regarding the "Gui Jiu" brand, resulting in a court ruling that requires it to cease using the trademark and pay over 4.18 million yuan in damages [11]. - Ongoing legal disputes and regulatory penalties have further drained the company’s resources, complicating its financial recovery efforts [11]. Company History - *ST Rock has undergone multiple name changes and business focus shifts since its inception in 1993, reflecting a history of strategic pivots in response to market trends [12].