Consumer Staples Author: Yue Liu Editor: Luke Sheehan Oct 30, 2020 06:36 AM (GMT+8)

Wuliangye claimed that the company's performance in the first three quarters of 2020 was in line with expectations, laying the foundation for realizing a double-digit growth target for the year.

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On October 29, Wuliangye released its third-quarter report for 2020, showing that from January to September, the company achieved revenue of approximately CNY 42.49 billion, a year-on-year increase of 14.53%; net profit attributable to shareholders of listed companies was CNY 14.55 billion, a year-on-year increase of 15.96%. In the third quarter, the company achieved an operating income of CNY 11.73 billion, a year-on-year increase of 17.83%; net profit was CNY 3.69 billion, a year-on-year increase 15.03%.

Wuliangye has become the only listed liquor company that has achieved double-digit growth in operating income for 19 consecutive quarters since 2016. For 15 consecutive quarters, the growth rate of net profit has exceeded the growth rate of revenue.

The continuous improvement of profitability is closely related to Wuliangye's optimization of product structure. Since Wuliangye cut off many sub-brands and focused on high-end liquor, Moutai's gap is gradually narrowing. In the future, it may also benefit from a shortage of high-end Moutai liquor.