This week’s topic: regional differentiation of mobile sales during the Spring Festival, and the performance of Hui liquor and Su liquor is brilliant. This year’s Spring Festival sales showed regional differentiation. Some areas such as Henan and Shaanxi were greatly affected by the epidemic, while areas without epidemic such as Anhui and Jiangsu performed better than expected. Among them, Hui liquor and Su liquor are particularly outstanding. The payment collection progress is faster than that in previous years. The channel profit is rich, the market rating is strong, the inventory level of dealers is in a reasonable range, and the overall fundamentals are still good. In recent years, with the strong local liquor, strong channel control and the trend of consumption upgrading, the scale and grade of residents’ consumption have been continuously improved. We are optimistic about the future performance of Hui liquor and Su liquor. On the whole, we believe that the dynamic sales of the Spring Festival is better than the pessimistic expectation in the early stage, and the dynamic sales and payment collection progress of Hui liquor and Su liquor are better than the same period last year. We are optimistic about their future performance.
Industry highlights: 1) gujinggong / Huanghelou / Mingguang joint bidding for the first time. 2) Naixue’s tea revenue is expected to increase by more than 40% in 21 years. 3) Anhui Kouzi Distillery Co.Ltd(603589) use the idle raised funds of 80 million yuan to buy investment and financial products. 4) Yum China’s total revenue in 2021 was US $9.85 billion. 5) Unilever’s annual revenue was 52.4 billion euros.
Rise and fall of secondary market: from February 7 to February 11, the secondary market agriculture + 5.18%, commerce + 3.92%, food and beverage + 0.14%, ranking 12th, 15th and 24th in CITIC 30 industry.
Risk tips: 1. The risk of macroeconomic weakness; 2. The risk of long-term epidemic prevention and control in China; 3. Risks of major food safety incidents; 4. Major agricultural epidemic risk.
During the Spring Festival, the regional differentiation of dynamic sales, Hui liquor and Su liquor performed brilliantly. This year’s Spring Festival sales showed regional differentiation. Some areas such as Henan and Shaanxi were greatly affected by the epidemic, while areas without epidemic such as Anhui and Jiangsu performed better than expected. Among them, Hui liquor and Su liquor are particularly outstanding. The payment collection progress is faster than that in previous years. The channel profit is rich, the market rating is strong, the inventory level of dealers is in a reasonable range, and the overall fundamentals are still good. In recent years, with the strong local liquor, strong channel control and the trend of consumption upgrading, the scale and grade of residents’ consumption have been continuously improved. We are optimistic about the future performance of Hui liquor and Su liquor.
The impact of the epidemic weakened and the demand for Baijiu was tenacious. In recent years, the impact of the epidemic on the Baijiu industry has continued to weaken, and the banquet and business banquet control policies have also tended to moderate. In the Spring Festival of 2022, except for the closed city area, other provinces maintained stable demand. At the same time, with the continuous improvement of consumers’ brand awareness, the sales of famous wines continued to grow, and the industry concentration increased steadily.
On the whole, we believe that the dynamic sales of the Spring Festival is better than the pessimistic expectation in the early stage, and the dynamic sales and payment collection progress of Hui liquor and Su liquor are better than the same period last year. We are optimistic about their future performance.
