Looking back on 2023, the entire liquor industry is full of turmoil and unrest. As a leading enterprise in the industry, Yanghe shares continue to prove its strength to the market with its outstanding performance, excellent quality and excellent leadership team. It is worth expecting that Yanghe will continue to maintain its steady posture in the future development and inject more confidence and vitality into the entire industry.
Choose Yanghe, choose stability, choose the future.
With destocking, weak consumption, and slow economic recovery, the liquor industry is at a low valuation in 2023. But in this case, there are always a few companies that can reassure the market with stable performance.
As a liquor leader, Yanghe has always been a top student in the industry that makes consumers trust and investors feel at ease. In the first three quarters of 2023, the company still maintained double-digit growth in revenue and net profit, and also made breakthroughs in the fields of high-end and globalization, showing strong development momentum and excellent operating strength.
It is worth mentioning that after Zhang Liandong, the new head of Yanghe Co., Ltd., took office in 2021, the company opened a new era of "second entrepreneurship" and made significant progress under his leadership. Today, Yanghe shares have formed a set of professional and complete leadership team can be predicted, with this excellent management team, Yanghe shares will have broader prospects for future development.
The performance is stable, and the effect of high-end and globalization is remarkable
Yanghe shares continue to maintain an excellent overall operating situation.
It is understood that in 2022, Yanghe's revenue has just exceeded the 30 billion mark, and its third quarter report for 2023 shows that from January to September of that year, the company achieved revenue of 3028.3 billion yuan, a year-on-year increase of 1435%, which is already more than the level for the whole of 2022.
During the same period, the company's net profit attributable to the parent company was 1020.3 billion yuan, a year-on-year increase of 1247%, deducting non-attributable net profit of 1016.5 billion yuan, a year-on-year increase of 1495%, all maintaining double-digit growth.
Under the influence of multiple uncertainties in 2023, the company's performance has risen against the trend, and it is not easy to achieve the above results. This is also due to the company's correct development strategy, and the product structure continues to be optimized.
Yanghe Co., Ltd. adheres to the development strategy of "double famous liquor, multi-brand, multi-category", deepens the transformation and reform of product structure, brand building, technological innovation, channel construction, etc., and continues to move forward in the direction of "younger, internationalized, artistic, high-end, and branded", and maintains a healthy development trend of "seeking progress in stability and excellence in progress" in the increasingly fierce market competition.
Specifically, in the first half of 2023, the total revenue of Yanghe's mid-to-high-end liquor accounted for 88 percent of Yanghe's revenue79%, and the proportion of revenue has further increased. Among them, the revenue of mid-to-high-end liquor such as Ocean Blue, Sky Blue, Dream Blue M6+, and M9 of Yanghe Co., Ltd. was 1905.1 billion yuan, a year-on-year increase of 176%；Ordinary liquor achieved revenue of 240.6 billion yuan, a year-on-year increase of 38%。The gross profit margin of mid-to-high-end liquor was 8077%, an increase of 125%, and the gross profit margin of ordinary liquor is 4706%, an increase of 382%。
To achieve such results, it is inseparable from Yanghe's assessment of the development of the industry, conforming to the high-end trend of the industry, focusing on the company's high-quality resources, focusing on building a model market, optimizing product layout, strengthening brand building, strengthening consumer cultivation, building core terminals, and continuously increasing the share of high-end products.
In 2023, Yanghe's high-end products will focus on Mengjiu and handicraft classes - Mengjiu products will be positioned as the leading products in the thousand-yuan price segment, comprehensively seize sales, and concentrate the company's resources to focus on operation; The handmade class products are positioned as high-end products, cultivated around core consumers, and created a scarce and ultra-high-end product image through long-term brand operation.
In addition, as a leading enterprise in the liquor industry with a revenue of more than 30 billion yuan, high-end nationalization is only the basis for the development of Yanghe shares, and globalization can better show the charm of Chinese liquor. At the same time, the goal of globalization is not only to improve the performance of enterprises, but also to become a link of cultural exchanges between China and foreign countries, and to provide assistance for the fragrance of great countries to go global.
Over the years, Yanghe has actively integrated into the global consumption trend with the link of "dream culture", and constantly explored the global market, and has now realized the export of products to 63 countries and regions, and the products have gradually covered Spain, the United Kingdom, France, Germany, the Netherlands, Portugal, Italy, Hungary, Poland, and major European economies, and set up European warehouses in the Netherlands to create integrated first-chain services at home and abroad, and have built brand experience halls in many countries to let the world share Chinese wine. In 2023, there will be nearly 200 Yanghe brand promotion activities, covering nearly 30 countries on five continents, including Germany, France, and Spain.
The management team escorts, and the victory of the second venture is in sight
Yanghe Co., Ltd. has successfully maintained its leading position in the liquor industry by continuously improving product quality, adhering to technological innovation, and adapting to changes in market demand. And all this is inseparable from the excellent management team of Yanghe Co., Ltd., who have played an important role in promoting and leading the development of the company.
In 2021, after the new head Zhang Liandong took office, Yanghe opened a new era of "second entrepreneurship" and put forward the development strategy of "double famous liquor, multi-brand, and multi-category", and Shuanggou Liquor also ushered in new development opportunities.
As the old saying goes, "To govern the country and secure the country, the emphasis is on winning souls". At the end of 2023, Yanghe's senior management team has also expanded significantly, with Zhong Yu as president, Lu Hongzhen as secretary of the board of directors, Zhou Xinhu as chief engineer and responsible for the third pole of the earth business, and four vice presidents have been promoted at one time: Fan Xiaolu, Zhang Xueqian, Chen Taisong, and Song Zhimin.
It is understood that three of the executives have Shuanggou related work experience, under the leadership of the new leadership team, Yanghe's attention to Shuanggou is self-evident.
Why does Yanghe have high hopes for Shuanggou?
In fact, like the Yanghe brand, Shuanggou is also an old famous liquor, which was inscribed by Sun Yat-sen as early as 1910 at the Nanyang Industry Conference, and then in 1984 and 1989.
4. At the 5th National Wine Appraisal, it was awarded the National Famous Wine twice. In 2010 and 2011, Yanghe invested in the acquisition of Shuanggou Liquor, becoming one of the few enterprises in the industry with two famous liquors. Shuanggou is also related to the overall high-end process of Yanghe.
Just as a ship needs an excellent helmsman to guide the voyage, the management team of Yanghe Co., Ltd. is playing an important role in pointing out the direction and escorting this big ship. With their excellent wisdom and strategy, they lead the company in the right direction and ensure that Yanghe shares have always maintained steady development in the highly competitive market. Their decision-making and leadership skills have given the company a strong impetus to make it a leader in the industry.
Tianfeng ** also said in the research report, "The newly appointed vice presidents have served in the company and the wine industry for a long time and have rich experience, and we believe that they will lead the company to better development." ”
At present, after the new management of Yanghe took office, it took the initiative to reform the organizational structure and launched equity incentives to enhance the enthusiasm of the team. At the same time, the high-end path has achieved remarkable results, and the three series of products of Haitian Dream have been reshaped, and the brand power has been enhanced through the layout of high-end Dream Blue M6+, ultra-high-end Dream 9 and manual classes, as well as more marketing, and the channel profit margin has also been improved.
In addition, the development of liquor enterprises, inseparable from its cooperation with distributors, after the new leadership team took office, Yanghe deepened the dealer model, there are currently more than 8,000 dealers, throughout the country. At the same time, in the case of high inventory in the industry, Yanghe put an end to blindly pressing the goods to the channel dealers, at present, the channel merchants and terminal liquor stores Yanghe series wine inventory is very small, all of them are sold at the same price, and all links of the channel are profitable because of the price difference, so the enthusiasm for promoting Yanghe wine is very high.
Look to the future: the valuation is cost-effective, and the dividend will be realized
As a long-distance runner, Yanghe has always had a big heart that I am calm no matter what the environment is.
According to incomplete statistics, in the first three quarters of 2023, the total inventory of 20 A-share liquor listed companies reached 1,3635.4 billion yuan. In 2020, the total inventory of A-share liquor listed companies was only 9854.6 billion yuan. In 2023, high inventories and upside down have once become a "big stone" hanging in the hearts of the entire industry.
At present, it seems that the future trend of the liquor industry in 2024 is still uncertain, and brokerages have also diverged in the trend of the liquor industry in 2024. The Oriental ** research report pointed out that the market is pessimistic about the liquor sector, the price increase of famous liquor is less than expected, the terminal demand for famous liquor is declining, the channel inventory is high, and the growth space of the banquet scene in 2024 is limited.
Zhongtai ** believes that in 2024, liquor companies will continue to diverge, high-end liquor is expected to maintain stable growth, local liquor in the region continues to upgrade, maintain the growth trend, and recent distilleries frequently release positive signals, in 2024, liquor is expected to achieve recovery growth.
However, in the short term, the Spring Festival is approaching, and liquor is about to enter the peak sales season, which has brought dawn to the industry.
Regardless of the future trend, Yanghe today has the leadership of an outstanding leadership team, coupled with its consistent adherence to quality first, which has great value potential. Looking forward to the market outlook, maintaining the lead is only the basic, and the second half of Yanghe's force is more worth looking forward to.
At the same time, Yanghe has won the favor of many brokerages such as Capital, Tianfeng, Caitong, Bank of China, and Zheshang. Zheshang ** said in the research report that "the company is entering a period of accelerated release of reform dividends, Dream Blue M6+ leads the company's high-quality development, the current bottom recovery potential is strong, and the valuation is cost-effective." Considering that the company's full-year performance is highly certain, the current valuation is cost-effective, and the ** rating is maintained. ”
It should be noted that the competition in the liquor industry is like a long-distance race, and the participants are chasing each other, and there are variables from time to time. In this process, the core of the competition is the company's own hard power, until the last moment it is difficult to distinguish the winner, but Yanghe shares are definitely the "seed player" in this competitionOnly by insisting on holding for a long time can we truly appreciate the surprise and joy brought by success at the moment of acceptance of the results.