Investment Rating - The industry investment rating is "Positive" (maintained) [1] Core Views - The performance of the food and beverage index showed a 0.4% increase from March 24 to March 28, ranking third among primary sub-industries, outperforming the CSI 300 by approximately 0.4 percentage points. The leading sub-industries included meat products (+2.9%), dairy products (+2.1%), and beer (+2.0%) [4][11][12] - The fourth quarter of 2024 saw significant performance differentiation among companies, with several reporting improved earnings. For instance, Shuanghui Development experienced comprehensive profit improvement, while Tianwei Foods exceeded previous profit forecasts due to strong demand and reduced raw material costs [4][11] - The outlook for the first quarter of 2025 suggests that the industry is at a bottoming phase, with expectations of gradual performance recovery in subsequent quarters. It is recommended to increase allocations in the liquor, beer, and snack sectors [4][11] Summary by Sections Market Performance - The food and beverage index outperformed the market with a 0.4% increase, ranking third among industries. Key performers included Miaokelando, Guangming Meat, and Jiahe Foods, while Maikui'er, Lianhua Holdings, and Xiwang Foods faced declines [12][13] Upstream Data - Some upstream raw material prices have decreased. For example, the price of fresh milk was 3.1 yuan/kg, down 12.5% year-on-year, while pork prices increased by 2.3% year-on-year to 20.9 yuan/kg [18][21] - The price of imported barley fell by 10.4% year-on-year, which may alleviate cost pressures for beer companies [27][28] Company Recommendations - Recommended stocks include Shanxi Fenjiu, Guizhou Moutai, Ganyuan Foods, and Ximai Foods, with each showing strong growth potential and strategic advantages in their respective markets [5][49]

Market Performance - On March 25, the food and beverage sector declined by 0.2%, underperforming the CSI 300 index by approximately 0.1 percentage points, ranking 17th among 31 sub-industries in the Shenwan classification [1] - Within the food and beverage sector, dairy (+1.5%), beer (+1.3%), and meat products (+0.9%) showed relatively strong performance, with companies like Beiningmei, Huangshi Group, and Western Pastoral leading the gains [2][3] Important Announcements - Yuanzi Co. reported a total operating income of 2.314 billion yuan for 2024, a year-on-year decrease of 12.99%; total profit reached 321 million yuan, down 9.3%; and net profit attributable to shareholders was 249 million yuan, a decline of 9.98% [4] - Xianle Health announced an adjustment to the conversion price of its convertible bonds, changing from 42.13 yuan/share to 41.96 yuan/share [4] - Shuanghui Development reported a total operating income of 59.561 billion yuan for 2024, a decrease of 0.64%; net profit attributable to shareholders was 4.989 billion yuan, down 1.26%; and net profit excluding non-recurring items was 4.813 billion yuan, also down 1.26% [4] Industry News - Luzhou Laojiao launched its Green Bean Daqu X15 on March 22, during a grand event in Luzhou, highlighting the health elements of the product [4] - The first high-end yellow wine forum and the launch of Kuaijishan Lanting·Xu took place on March 23 in Chengdu, gathering industry elites and experts to discuss the future of yellow wine [4] - On March 24, the "Constructing Guotai·Tongzhi Business Road" event was held in Chengdu, where Guotai officially launched several new products, emphasizing differentiation in the market [4]