In the liquor circulation industry with relatively scattered competition pattern, the leading liquor circulation merchants with certain scale advantages, brand effect and strong bargaining power to the upstream show a high growth trend. The revenue and net profit of Vats Liquor Chain Store Management Joint Stock Co.Ltd(300755) (300755. SZ) increased significantly in 2021. In this regard, people in the industry told the financial associated press that the strong growth of Vats Liquor Chain Store Management Joint Stock Co.Ltd(300755) mainly lies in the large expansion of new stores, the brand effect and scale effect of selling famous wines.
On January 10, Vats Liquor Chain Store Management Joint Stock Co.Ltd(300755) disclosed the performance forecast. It is expected to achieve a revenue of RMB 7.43 billion-7.6 billion in 2021, a year-on-year increase of 50.36% – 53.8%; It is estimated that the company’s profit in 2021 will be 674-691 million yuan, with a significant year-on-year increase of 80.16% – 85.16%. It is estimated that the impact of non recurring profit and loss on net profit in 2021 will be about 17.9 million yuan.
” Vats Liquor Chain Store Management Joint Stock Co.Ltd(300755) as a representative circulation enterprise of China’s high-end liquor brands, it has a wide range of famous liquor resources. With the further enhancement of famous liquor potential in recent years and the continuous expansion of medium and high-end and high-end liquor consumption market, Vats Liquor Chain Store Management Joint Stock Co.Ltd(300755) has scale and brand endorsement, which is a direct beneficiary. The expansion of consumption structure and sales scope has improved the scale and profitability of the enterprise.” Turning to the reasons for the sharp increase in Vats Liquor Chain Store Management Joint Stock Co.Ltd(300755) performance, Cai Xuefei, a wine analyst, made the above analysis to the financial associated press.
The company also said that the main reasons for the performance growth are the continuous expansion of brand effect, the continuous expansion of the company’s marketing team, the improvement of the quantity and quality of direct supply terminal stores and Huazhi chain stores, and the significant improvement of distribution capacity; And Huazhi’s global famous wine supply chain has been expanded, and the sales of customized fine wine and famous wine have increased significantly, which has made a great contribution to sales and profits.
According to the annual report, by the end of 2020, the company had 36 warehouses in China, covering 23 provinces and 3 municipalities directly under the central government. According to Wu Xiangdong, chairman of the company, in April this year, the sales revenue of Maotai and Wuliangye Yibin Co.Ltd(000858) accounts for about 70% of the revenue. In the public information, the company has repeatedly stressed that Vats Liquor Chain Store Management Joint Stock Co.Ltd(300755) has established long-term and stable cooperative relations with famous upstream liquor enterprises such as Feitian Maotai and ordinary Wuliangye Yibin Co.Ltd(000858) .
In addition to the distribution of Feitian Maotai, ordinary Wuliangye Yibin Co.Ltd(000858) and other well-known liquor products, the company has cooperated with Chinese liquor enterprises to develop a variety of liquor products such as ” Wuliangye Yibin Co.Ltd(000858) vintage wine”, ” Kweichow Moutai Co.Ltd(600519) wine (gold)”, “Lotus wine” and “Diaoyutai boutique wine (iron cover)”, which is the general distribution of the above products. Among them, the sales volume of “Lotus wine” is good. In 2020, the sales volume of lotus wine was 163 million yuan, a year-on-year increase of 29%. In terms of marketing network, the reporter learned that the company has established an omni-channel marketing network system including Vats Liquor Chain Store Management Joint Stock Co.Ltd(300755) , Huazhi famous wine shop, Huazhi wine warehouse, Huazhi famous wine warehouse, retail outlets, Ka stores, group buying, e-commerce and terminal suppliers.
In terms of the industry, since liquor enterprises have absolute channel voice, and most of them implement flattening and strengthen market sales management, liquor circulation enterprises are more channel sellers. In addition to individual local circulation enterprises in small areas, the concentration of the whole industry is low.
Zhang Haoran, Secretary General of the shishuijia Wine Industry Research Institute, told the financial Associated Press: “personally, I think the wine circulation industry is concentrating on \’big business\’, and there is great pressure on the operation of small-scale tobacco hotels.” It is reported that the large-scale liquor circulation enterprises in the industry mainly include Vats Liquor Chain Store Management Joint Stock Co.Ltd(300755) , Yinji group (00886. HK), 1919 (830993. OC), famous product family (835961. OC) and jiuxian.com.
On the future development trend of the liquor circulation industry, Cai Xuefei told reporters: “major liquor merchants have undergone significant changes in recent years, gradually began to transform, and began to expand in many fields such as new retail and upstream and downstream by using their own channel advantages.” Zhang Haoran believes that the selection ability, channel price control ability and consumer education ability of major liquor distributors in the future are the key.
(source: financial Associated Press)
