Core Viewpoint - Yanghe Co., Ltd. reported a significant decline in net profit for the first half of 2025, with a net profit of 4.344 billion yuan, down 45% year-on-year. The second quarter's net profit was only 700 million yuan, a 63% decrease compared to the previous year, which was much lower than broker predictions of 1.14 billion yuan [1][4]. Financial Performance - The net profit for the first half of 2025 was 4.344 billion yuan, a 45% decrease year-on-year [1][4]. - The second quarter net profit was 700 million yuan, reflecting a 62.66% decline year-on-year [7]. - The first quarter net profit was 3.637 billion yuan, down 39.93% year-on-year [7]. Market Reaction - Despite the poor financial results, Yanghe's stock price increased by 5%, indicating a potential market bottoming out, as the classic theory suggests that "poor performance with rising stock prices" can signal a market bottom [8][10]. Industry Context - Other major players in the liquor industry, such as Kweichow Moutai and Wuliangye, also reported mixed results, with Kweichow Moutai showing a 7% increase in revenue, while Wuliangye's revenue growth was only 1% [2]. - The overall performance of the liquor sector appears under pressure, with many companies struggling to maintain growth amid challenging market conditions [2][4].