KWEICHOW MOUTAI(SH:600519) HTSC·2025-04-03 04:31Investment Rating - The investment rating for the company is "Buy" with a target price of RMB 1,928.42 [7][8]. Core Insights - The company achieved a total revenue of RMB 1,741.4 billion and a net profit attributable to the parent company of RMB 862.3 billion for 2024, reflecting year-on-year growth of 15.7% and 15.4% respectively, slightly exceeding previous performance forecasts [1][2]. - The company continues to solidify its position as a globally recognized liquor brand, with a well-rounded product matrix and a focus on refined market operations, laying a solid foundation for future growth [1][4]. - The company aims for a revenue growth of approximately 9% in 2025 and plans to invest RMB 4.711 billion in fixed assets [1][4]. Revenue and Profitability - In 2024, revenue from Moutai liquor reached RMB 1,459 billion, while series liquor revenue was RMB 247 billion, representing year-on-year increases of 15% and 20% respectively [2]. - The company reported a gross margin of 92.1% for 2024, remaining stable compared to the previous year, with a slight increase in the fourth quarter [3]. - The net profit margin for 2024 was recorded at 49.5%, indicating stable profitability [3]. Market Performance and Strategy - The company has diversified its product offerings and established a dual-channel system for distribution, enhancing its market presence [2]. - The "i Moutai" digital marketing platform generated RMB 200.2 billion in revenue, although it experienced a decline compared to the previous year [2]. - The company is expected to maintain high-quality growth driven by its brand strength, refined pricing strategies, and ongoing expansion into overseas markets [4]. Financial Projections - The company forecasts revenues of RMB 189.8 billion and net profits of RMB 93.2 billion for 2025, with an expected EPS of RMB 74.17 [6][18]. - The projected PE ratio for 2025 is set at 26x, reflecting the company's strong brand positioning [4][6].