Recently, Ni Qiang, the former chairman of Shede Liquor, applied for resignation, which is less than a year after he took the position of chairman. Pu Jizhou, the former co-chairman and president, was promoted to chairman of the company, taking charge of Shede Liquor.
In the first three quarters, Shede Liquor has delivered both revenue and net profit, but the growth rate has slowed down significantly compared with the previous two years
The chairman of the board resigned
On December 16, Shede Liquor disclosed an announcement of major personnel changes.
Due to work reasons, Ni Qiang applied for resignation as chairman of the board of directors and chairman of the strategy committee of the board of directors, and continued to serve as a director after his resignation.
According to the data, Ni Qiang is a veteran of the "Fosun System", and has served as the general manager, assistant to the president, vice president, and senior vice president of the public affairs department of Forte (Group) Co., Ltd.;Vice President and Executive President of Yuyuan Co., Ltd., Chairman of Shanghai Yuyuan Commercial Development Group and Chairman of Dongjia Cultural and Creative GroupVice Chairman of Fosun Hive.
Since March 2022, Ni Qiang has served as the rotating president of Yuyuan Co., Ltd., and was elected as a director of Shede Liquor in January this year, and assumed the position of chairman of the board of directors, with the end date of his term on September 27, 2023.
According to the short and quick interpretation, on September 21 this year, Shede Liquor held a general election, and Ni Qiang continued to be elected as the chairman of the board of directors for a term of three years. Now in less than three months, Ni Qiang resigned as chairman due to work changes, and the changes are more frequent
In the first three quarters of this year, Shede Liquor achieved a double increase in revenue and net profit, of which operating income increased by 13 year-on-year62% to 524.5 billion yuan, and the net profit attributable to the parent increased by 793% to 129.5 billion yuan.
In comparison, from 2020 to 2022, the revenue growth rate of Shede Liquor is as follows. 86%, and the growth rate of net profit attributable to the parent company in the same period was respectively. 31%。Obviously, the company's revenue and net profit growth in the first three quarters are far behind those in the previous two years, or they have slowed down significantly.
Compared with its peers, the year-on-year growth rate of revenue and net profit attributable to the parent company in the first three quarters of Shede Liquor was ranked 14th among the 20 liquors, ranking in the middle and lower reaches, while the revenue growth rates of Shiyuan and Yingjiagong Liquor were respectively. 42%, the growth rate of net profit attributable to the parent company was respectively. 57%, the company's performance growth rate is no longer the same as in the past.
Split quarters, the operating income of Shede Liquor in each quarter was 202.1 billion yuan, 150.8 billion yuan, 171.7 billion yuan, the year-on-year growth rate was respectively. 86%, and the net profit attributable to the parent company was 56.9 billion yuan, 3500 million yuan, 37.5 billion yuan, the year-on-year growth rate was respectively. 01%。
Clearly, the company's performance in the third quarter was relatively mediocre, with nothing outstanding and no signs of returning to the "fast lane".
Also due to job changes, Pu Jizhou applied for resignation as co-chairman and president of the company, but Pu Jizhou was elected chairman and became the helmsman of the company, which was highly regarded.
According to the data, Pu Jizhou is a veteran of Shede Liquor, and has successively served as the director of the first and fourth branches of Shede Liquor Co., Ltd., the deputy director of the administrative center, the general manager of Jilin Tuopai Agricultural Products Development Company, the manager of Tuopai Thermal Power Company, the director of Sichuan Tuopai Shede Group, and the vice president and vice chairman of Shede Liquor Co., Ltd.
In January this year, Pu Jizhou assumed the position of co-chairman of the company until the expiration of the board of directors (i.e., September 27), and has served as president for many years from September 2020 to September 2023. In the general election in September, Pu Jizhou continued to serve as co-chairman and president.
It should be pointed out that in addition to determining the new chairman, Shede Liquor also elected Wu Yifei as the co-chairman and Tang Hui as the president to form a new leadership team.
According to his resume, Wu Yifei has been engaged in industrial investment for a long time, and has rich experience in the field of large consumption and logistics chains, and his work experience is mostly related to the "Fosun System", and he is the vice president of Yuyuan Co., Ltd., the director of Jinhui Liquor, the chairman of Sichuan Tuopai, and the co-chairman of Shede Co., Ltd. Tang Hui previously worked at Procter & Gamble, mainly responsible for marketing, and was also a senior assistant to the president of Yuyuan Co., Ltd., and is currently the president of Shede Liquor.
So what kind of report card will the new senior management team of Shede Liquor, led by Pu Jizhou, hand over in the future?Let the bullets fly for a while.
The growth rate of mid-to-high-end wine revenue slowed down
Although the performance growth rate of Shede Liquor in the first three quarters has slowed down, the company's sales expenses still remain high, with a year-on-year increase of 19 in the first three quarters99% to 98.7 billion yuan, close to 101.6 billion yuan, and the sales expense ratio is as high as 1881%。
According to the report, the bulk of the sales expenses are advertising and market development expenses and employee salaries, which are 300 million yuan and 24.4 billion yuan, of which the latter increased by 35 percent year-on-year54%, which should be caused by the increase in sales employees, and the specific disclosure will be pending in the 2023 annual report.
In the first half of the year, the company continued to enhance its brand influence through the construction of brand IP such as Shede Wisdom Figures, Shede Old Wine Feast, Tuopai Qujiu Story Collection, Tuopai Chaoin Beautiful Night, as well as CCTV, major network platforms, high-speed rail, outdoor, Toutiao, Douyin and other media means.
According to the short and fast interpretation, Shede Liquor is one of the "Six Golden Flowers of Sichuan Liquor", is an important representative of strong aroma liquor, the main brands "Shede", "Tuopai", etc., the products cover high-end liquor and ordinary liquor, and their respective representative brands are Shede, Tuopai Tianqu, Tuopai Daqu.
In terms of products, in the first three quarters, the company's medium and high-end liquor achieved operating income of 41500 million yuan, a year-on-year increase of 1062%, while ordinary liquor achieved an operating income of 69.3 billion yuan, a year-on-year increase of 2294%。Previously, in 2022, the revenue growth rates of medium and high-end liquor and ordinary liquor were respectively. 92%。
As the core income of Shede Liquor, why does the revenue growth rate lag behind that of ordinary liquor, and the future of mid-to-high-end liquor is in the world?
At present, the market concentration of the liquor industry continues to increase, and the Matthew effect intensifies, with CR3 and CR5 respectively in the first half of 2022. 9%, of which Kweichow Moutai and Wuliangye dominate the market, with a market share of %, while Yanghe, Shanxi Fenjiu, and Luzhou Laojia have market shares. 4%。
In terms of high-end products, as early as 2021, Moutai, Wuliangye and Luzhou Laojiao have accounted for 95% of the market share of high-end liquor, and the industry pattern is stable, while some high-end liquor products such as Qinghualang, Drunkard Neisen, Guotai Longjiu, and Yanghe M9 account for less than 5% of the total market share of high-end liquor, which also means that the possibility of other liquor companies wanting to grab the cake is almost zero.
In December 2019, Shede Liquor Industry took an unusual path and launched an ultra-high-end strategic single product "Tianzihu", which was priced at 3,980 yuan bottles, but the market did not seem to buy it.
In Shede Liquor's ultra-high-end product, Tianzi Hu's ** can be described as "amazing", among which Tianzi Hujiu's 53 degrees are as high as 2591915 yuan bottle, the Son of Heaven calls longevity auspicious 53 degrees is also as high as 913207 yuan bottle, but the monthly sales volume of clicking in are 0.
Although the company's revenue growth rate of ordinary liquor exceeds that of high-end liquor, because the market concentration of low-end liquor in China is low, which means that the pressure of competition is high4, and the company wants to grab more market share, the difficulty can be imagined.
In terms of regions, the company's revenue from alcohol products in the first three quarters in the province and outside the province was 137.5 billion yuan, 346.8 billion yuan, a year-on-year increase. 73%, and the revenue growth rate in 2022 is: 12%。
Obviously, in 2023, the company's performance in the base camp is acceptable, but the performance outside the province is not satisfactory and needs to be strengthened.
Wholesale** revenues slowed
In the past two years, the distributors of Shede Liquor have changed frequently.
In 2021, the number of dealers of the company increased by 1,036 and decreased by 545, with a net increase of 491;In 2022, the number of dealers increased by 796, decreased by 890, and decreased by 94.
In the first three quarters, the company added 610 new dealers, exited 215, and 2,553 dealers at the end of the period, an increase of 395 from the beginning of the year, which was better than the previous two years.
According to the interpretation of Short Ping Kuai, as early as 2021, in order to strengthen the relationship between manufacturers and improve the quality and quantity of dealers, Shede Liquor implemented the "3+6+4" marketing strategy of old liquor, actively changed marketing thinking, and reduced the capital occupation of dealers, improved the profitability of dealers, continuously improved dealer satisfaction, and further consolidated the relationship between manufacturers through the establishment of 8 shared warehouses and the reduction of dealers' single payment requirements.
In terms of performance, from 2021 to 2022, the company's wholesale ** revenue was 417.5 billion yuan, 526.1 billion yuan, a year-on-year increase. 02%, compared to 45 in the first three quarters4.5 billion yuan, a year-on-year increase of only 1237%, the slowdown in growth is still very obvious.
While the company's dealers increased, contract liabilities decreased to 32.6 billion yuan, down 9 percent year-on-year91%。In contrast, a total of 11 of the 20 liquor companies achieved a year-on-year increase in contract liabilities, while the decline of Shede Liquor was comparable to that of Shunxin Agriculture and Gujing Gongjiu, which declined respectively. 91%。
The contract liability of Shede Liquor refers to the "goods that have been collected and are to be delivered", which is simply understood as the customer has paid or deposited, and the company needs to deliver the goods later. Generally speaking, this type of revenue is an expectation of future orders, and the higher the amount, the better.
In contrast to the decrease in contractual liabilities, the company's inventory growth cannot be ignored, with a year-on-year increase of 3047% to 419.3 billion yuan, accounting for 52 percent of current assets62%。
In fact, high inventories are a problem faced by most liquor companies.
On November 15, the China Liquor Circulation Association issued the "Notice on the Postponement of the 2023 Hangzhou International Liquor Expo", pointing out that due to the excessive accumulation of distributors and first-class merchants, more than half of the exhibitors requested the postponement of the exhibition. Behind the postponement of the above-mentioned exhibition, the sales of the liquor industry are cold, the dealers' inventory is too much, and there is greater financial pressure, which also means that the overall situation of the liquor industry is not good.
How to speed up dynamic sales and destocking is something that most liquor companies need to think about seriously.
Short and quick interpretation - original work, without permission, please do not **!ps: If the manuscript is infringing or the data is incorrect, please contact us in time to correct it).