Core Insights - The company is focusing on building a comprehensive ecosystem centered around its flagship product "Da Zhen. Zhen Jiu" to navigate the challenges in the liquor industry and reshape the competitive landscape [2][12] Group 1: Alliance Merchant Rights Payment Plan - On September 10, the company announced the "Alliance Merchant Rights Payment Plan," allocating up to 169 million shares corresponding to economic benefits to incentivize qualified alliance merchants for sustainable growth [3][5] - This plan aims to deeply bind the interests of alliance merchants with the company, transforming them from mere sellers to partners in business development, enhancing loyalty and stability in the distribution channels [5][7] - The first batch of alliance merchants has received approximately 150,000 yuan in additional equity rewards, attracting quality distributors to promote "Da Zhen. Zhen Jiu" in the market [7] Group 2: Launch of "Da Zhen. Zhen Jiu" - "Da Zhen. Zhen Jiu" was officially launched on September 19, achieving sales of 100,000 boxes and revenue of 370 million yuan during a 100-day trial period [8][10] - The product is developed with the involvement of 32 national and provincial liquor judges, using a blend of 5-year premium base liquor and 20-year rare aged liquor, allowing it to compete with products priced at 3,600 yuan while being priced at 600 yuan [10] Group 3: Innovative Business Model - The "Wan Shang Alliance" model, tailored for "Da Zhen. Zhen Jiu," has become a significant innovation in the liquor industry, ensuring a sustainable channel ecosystem through controlled pricing and continuous dividend mechanisms [12] - As of September 23, over 7,000 participants attended the Wan Shang Alliance forums, with more than 3,000 clients successfully signing up as alliance merchants, leading to nationwide sales across 30 provinces and 212 cities [12] Group 4: Entrepreneurial Branding - The company is leveraging the personal brand of its chairman, Wu Xiangdong, who has been actively engaging with distributors and consumers through various media, enhancing the brand's visibility and credibility [13][14] - Wu's influence has become a new engine for brand communication, significantly increasing awareness and reputation for "Da Zhen. Zhen Jiu" and the Wan Shang Alliance model [14] Group 5: Future Outlook - The combination of equity incentives, flagship product development, innovative business models, and personal branding is expected to create a robust ecosystem centered around "Da Zhen. Zhen Jiu," positioning it as a potential phenomenon in the liquor industry [14]

Core Viewpoint - Zhenjiu Lidu (06979) has seen a stock price increase of over 4%, currently trading at 10.07 HKD, with a transaction volume of 61.3 million HKD, following the announcement of the "Alliance Merchant Rights Payment Plan" aimed at promoting long-term sustainable growth [1][1][1] Group 1 - The "Alliance Merchant Rights Payment Plan" will initially set economic benefits corresponding to no more than 169 million shares, with the board having the authority to increase this based on circumstances [1][1] - As of now, 2,418 customers have signed up to become alliance merchants since the launch of the "Ten Thousand Merchants Alliance Plan" in May [1][1] - The second phase of the "Ten Thousand Merchants Alliance" is set to launch between September and December, with the first grant of the "Alliance Merchant Rights Payment Plan" expected in September [1][1] Group 2 - Zheshang Securities highlights the strategic launch of the major product "Dazhen" in June 2025, which, along with the innovative "Ten Thousand Merchants Alliance" model, could become a new growth driver for the company, with a mid-term target of reaching 6 billion RMB [1][1] - The company is viewed as having turned around from a situation of poor performance, with the "Dazhen product" becoming a phenomenon, leading to expectations of exceeding mid to long-term performance forecasts [1][1]

Core Viewpoint - Zhenjiu Lidu (06979) has seen a stock price increase of over 4%, currently trading at 10.07 HKD with a transaction volume of 61.30 million HKD, following the announcement of the "Alliance Merchant Rights Payment Plan" aimed at promoting long-term sustainable growth [1] Group 1: Company Initiatives - The "Alliance Merchant Rights Payment Plan" is set to allocate economic benefits corresponding to no more than 169 million shares, with the board having the authority to increase this based on circumstances [1] - As of now, 2,418 customers have signed up to become alliance merchants under the "Wanshang Alliance Plan" initiated in May [1] - The second phase of the Wanshang Alliance will commence between September and December, with the first grant of the "Alliance Merchant Rights Payment Plan" expected in September [1] Group 2: Market Analysis - Zheshang Securities (601878) highlights the launch of the strategic flagship product "Dazhen" in June 2025, which, along with the innovative Wanshang Alliance model, is anticipated to become a new growth driver for the company [1] - The mid-term target for "Dazhen" is projected to reach a scale of 6 billion RMB, driven by outstanding team capabilities and three major innovations [1] - The company is viewed as having turned around from a situation of poor performance, with the "Dazhen product" becoming a phenomenon, leading to expectations of exceeding mid-to-long-term performance forecasts [1]

Core Viewpoint - The company's performance in H1 2025 met expectations, with a decline in cash collection and overall stable profitability. New products, models, and marketing strategies are expected to drive growth improvement in the second half of the year [1]. Financial Performance - In H1 2025, the company achieved revenue of 2.5 billion yuan, a year-on-year decline of 40%, and an adjusted net profit of 610 million yuan, also down 40%. The overall gross margin was 59.0%, up 0.2 percentage points year-on-year, while the adjusted net profit margin was 24.6%, down 0.1 percentage points [2]. - The pre-collection of customer payments decreased sequentially, with amounts at the end of H1 2024, H2 2024, and H1 2025 being 1.79 billion yuan, 1.75 billion yuan, and 1.43 billion yuan respectively, indicating current operational pressures in the industry [2]. Brand Performance - Revenue by brand in H1 2025 showed a significant decline: Zhenjiu at 1.49 billion yuan (-45%), Lidu at 610 million yuan (-9%), Xiangjiao at 280 million yuan (-39%), and Kaikouxiao at 80 million yuan (-64%). Lidu's performance was driven by the growth of mid-range products [3]. - Revenue by price segment indicated declines for high-end white liquor (-47%), next-high-end (-42%), and mid-range and below (-31%), with high-end and next-high-end segments experiencing a year-on-year decrease in market share due to weak demand and ongoing drinking policies [3]. Strategic Response - Since H2 2024, the company has faced significant downward pressure in the liquor industry, maintaining a cautious shipping pace to alleviate channel inventory pressure. The company is launching new products and adopting innovative business models, such as the "Wanshang Alliance" model, to enhance marketing and customer engagement [4]. - The introduction of new products and a lower comparative base are expected to lead to improved performance growth in the second half of the year [4].

Core Viewpoint - The report highlights the resilience and strategic adjustments of Zhenjiu Lidu in the face of industry challenges, showcasing its strong performance and potential for future growth [1][4][13]. Financial Performance - In the first half of 2025, Zhenjiu Lidu achieved a revenue of 2.497 billion yuan and an adjusted net profit of 613 million yuan [1][4]. - The gross profit margin increased by 0.2 percentage points to 59%, maintaining growth for three consecutive years [4]. - The adjusted net profit margin remained stable at 24.6% compared to the same period last year, indicating ongoing improvements in operational quality [4]. Market Strategy - Zhenjiu Lidu is implementing proactive adjustments to navigate the industry's challenges, focusing on "bending the curve" to enhance its market position [3][5]. - The company is maintaining a strategy of controlling volume and stabilizing prices, with a ton price of 273,700 yuan, reflecting a commitment to price stability [4][5]. - The introduction of the "Wan Shang Alliance" model aims to create a new ecosystem for distribution channels, attracting over 6,100 potential clients and signing more than 2,000 [10][12]. Product Development - The launch of the "Dazhen" product and the new craft beer "Niu Shi News" reflects Zhenjiu Lidu's strategy to create cultural IPs that resonate with younger consumers [6][12]. - The company is focusing on differentiating its products through unique pricing strategies and cultural narratives, appealing to both traditional and new consumer bases [8][12]. Industry Positioning - Zhenjiu Lidu's performance and innovative practices position it as a model for other companies in the industry, especially during a period of market adjustment [13][15]. - The company's successful listing and performance have instilled confidence in the capital market, potentially encouraging more liquor companies to pursue similar paths [15].

Core Viewpoint - The liquor industry is facing multiple pressures, leading to a "loss of momentum" as a new norm. However,珍酒李渡 (Zhenjiu Lidu) has shown resilience with its performance in the first half of 2025, meeting market expectations and reflecting a stable market foundation [1][2]. Group 1: Financial Performance - In the first half of 2025,珍酒李渡 achieved revenue of 2.497 billion yuan and an adjusted net profit of 613 million yuan, aligning with market expectations [1]. - The company's gross margin increased by 0.2 percentage points year-on-year to 59%, marking three consecutive years of growth. The adjusted net profit margin remained stable at 24.6% [4]. - The average price per ton of liquor was 273,700 yuan, a decrease of 6.6% year-on-year, indicating the effectiveness of the company's price stabilization strategy [4]. Group 2: Market Strategies - The company has focused on four key areas: quality enhancement, channel innovation, brand building, and team development, solidifying its market foundation [3]. - The launch of the "大珍·珍酒" (Da Zhen Zhenjiu) product line has diversified the product portfolio, targeting consumers seeking high quality at a reasonable price, with sales success in major cities [9]. - The "万商联盟" (Wanshang Alliance) model aims to recruit over 10,000 alliance merchants, creating a nationwide distribution network and establishing a profit-sharing relationship with partners [11]. Group 3: Growth Potential - The introduction of the high-end craft beer "牛市News" (Bull Market News) represents a cross-industry innovation, aiming to create a dual business model of liquor and beer, thus enhancing brand influence [14]. - The company's series of transformations have gained recognition from the capital market, with several brokerage firms issuing "buy" ratings, indicating confidence in the company's long-term growth potential [16]. Group 4: Market Reaction - Following the positive performance,珍酒李渡's stock price surged from 6.46 HKD to 10.07 HKD per share, reflecting a cumulative increase of over 50% within a short period [19].