Core Viewpoint - The report on Bairun Co., Ltd. indicates a continued adjustment in the ready-to-drink (RTD) liquor segment, while there are expectations for growth in the whisky category, leading to a "buy" rating for the company [1][4]. Financial Performance - For the first half of 2025, Bairun's revenue was 1.489 billion yuan, a year-on-year decrease of 8.56%, with a net profit attributable to shareholders of 389 million yuan, down 3.32% year-on-year [2]. - In Q2 2025, revenue was 752 million yuan, a decline of 8.98% year-on-year, and the net profit attributable to shareholders was 208 million yuan, down 10.85% year-on-year [2]. - The RTD liquor segment saw revenue of 1.297 billion yuan, down 9.35% year-on-year, while the food flavoring segment generated 169 million yuan, down 3.91% year-on-year [2]. Product and Channel Analysis - The RTD liquor segment continues to face challenges, but new products like "Mikushen" are expected to perform well, while whisky products are gradually contributing to revenue growth [2][4]. - Revenue from offline channels was 1.311 billion yuan, down 9.63% year-on-year, while digital retail channels generated 155 million yuan, a slight decrease of 0.57% [2]. Profitability and Cost Structure - The net profit margin after deducting non-recurring items in Q2 2025 decreased by 4.18 percentage points to 23.71%, primarily due to a decline in gross margin and an increase in expense ratios [3]. - The gross margin fell by 0.79 percentage points to 71.00%, influenced by reduced economies of scale and changes in product mix [3]. Future Outlook - The company is focusing on inventory reduction in the RTD liquor segment and expects new product launches to improve sales performance [4]. - The whisky segment is anticipated to have significant growth potential, with ongoing marketing investments needed to reach a sales turning point [4]. - Profit forecasts for 2025 to 2027 have been updated to 786 million yuan, 902 million yuan, and 1.048 billion yuan, respectively, with corresponding price-to-earnings ratios of 37, 33, and 28 times [4].