Shuijingfang s performance was stable, buybacks boosted confidence, and Q4 growth was eye catching

Mondo Gastronomy Updated on 2024-02-16

Shuijingfang recently released the announcement of the main operating data for 2023, with stable performance, positive growth in revenue and profit for the whole year, and the successful completion of the business goals set at the beginning of the year. In the case of a slightly weak external environment, the company has achieved light travel by actively controlling the pace of delivery and actively digesting channel inventory, and the revenue side of Q2 has returned to growth. Q4 achieved beautiful growth, with revenue increasing by 51% year-on-year3%, an increase of about 13% over Q4 '21, and revenue and profit exceeded market expectations.

From the product side, Shuijingfang's core product Zhenzhuo No. 8 maintained strong growth, while the performance of the collection and the well platform was relatively weak. However, thanks to the good performance of Zhenzhuo No. 8 and Tianhao Chenxin, the company's revenue and profit achieved positive growth for the whole year. In terms of channels, the company has continuously expanded its channel coverage and effectively mobilized the enthusiasm of terminals and consumers by expanding its marketing team and making efforts to develop first-class channels. At the same time, the company pays attention to the healthy and sustainable channel value chain, maintains a healthy level of channel inventory, and ensures the channel thrust advantage.

It is worth mentioning that Fan Xiangfu, chairman of Shuijingfang, proposed that the company repurchase shares, with a total of 075-1.500 million yuan for employee stock ownership plans or equity incentives. This proposal helps to boost market confidence and demonstrate the company's confidence and determination for future growth.

In addition, based on the company's payment collection**, the first quarter is expected to perform better. Factors such as the low base last year and the optimism of payment collection catalyzed by product price increases, as well as the staggered peak with other wine companies in the new fiscal year, the relatively small pressure of the Spring Festival and the small base in the same period, all provided strong support for Shuijingfang's performance in the first quarter.

Overall, Shuijingfang has achieved solid operating performance in 2023, with outstanding growth in Q4. The company actively responds to market changes and continuously improves its competitiveness by adjusting strategies, optimizing product structure and expanding channels. At the same time, the chairman's proposal to repurchase shares and the optimism of the payment situation have injected confidence into the company's future development.

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