Tsingtao Brewery(SH:600600) EBSCN·2024-09-01 06:12Investment Rating - The report maintains a "Buy" rating for Qingdao Beer [5] Core Views - The company reported a decline in revenue for H1 2024, with a total of 20.07 billion yuan, down 7.1% year-on-year, while net profit increased by 6.3% to 3.64 billion yuan [2] - The report indicates that the company is facing pressure on both volume and price due to weak demand, but cost relief is improving profitability [2][3] - New product launches in the high-end segment are expected to gradually alleviate the pressure from high base effects, leading to improved performance in the second half of the year [3] Summary by Sections Financial Performance - For H1 2024, the company achieved a revenue of 20.07 billion yuan, a decrease of 7.1% year-on-year, while net profit reached 3.64 billion yuan, an increase of 6.3% [2] - In Q2 2024, revenue was 9.92 billion yuan, down 8.9% year-on-year, with net profit at 2.04 billion yuan, up 3.5% [2] - Sales volume for H1 2024 was 4.63 million kiloliters, down 7.8% year-on-year, with a sales price of 4,334 yuan per kiloliter, up 0.8% [2] Cost and Profitability - The gross margin for H1 2024 was 41.6%, an increase of 2.4 percentage points year-on-year, attributed to a decline in raw material prices [2] - The net profit margin for H1 2024 reached 18.54%, up 2.42 percentage points year-on-year [2] Future Outlook - The report forecasts a gradual easing of base pressure, with expectations for improved performance in the second half of 2024 due to ongoing cost benefits and new product introductions [3] - The projected net profit for 2024-2026 has been adjusted to 4.61 billion, 4.95 billion, and 5.25 billion yuan respectively, reflecting a downward revision of 8%, 14%, and 17% [3]