Beijing business daily (reporter Zhao Fengrui) on the evening of April 26, Qinghai Huzhu Highland Barley Wine Co., Ltd. (hereinafter referred to as “highland barley wine”) released the first quarterly report of 2021 and the annual report of 2020. The company realized a revenue of 764 million yuan in 2020, a year-on-year decrease of 39.07%, and realized a net profit of 115 million yuan, a year-on-year decrease of 418.66%. In the first quarter of 2021, the company achieved a revenue of 379 million yuan, a year-on-year increase of 86.91%, and a net profit of 71.4327 million yuan, a year-on-year increase of 1630%.
Industry insiders said that the decline in the performance of highland barley wine in 2020 was not unexpected. The impact of the epidemic on qingbaijiu liquor and other regional liquor companies is stronger than other Baijiu brands. The stagnation of the terminal consumer market directly affects the sales volume of regional liquor enterprises. The growth in the first quarter of 2021 is also due to the effective control of the epidemic and the gradual recovery of the end consumer market.
According to the annual report of highland barley wine in 2020, the revenue of all categories of highland barley wine will decline in 2020. Specifically, the revenue of medium and high-grade highland barley wine will reach 498 million yuan in 2020, a year-on-year decline of 42.39%, accounting for 65.25% of the total revenue. The revenue of ordinary highland barley wine was 178 million yuan, a year-on-year decrease of 32.69%, accounting for 23.26% of the total revenue. Low alcohol highland barley wine achieved a revenue of 605100 yuan, a year-on-year decline of 43.3%, accounting for 0.08% of the total revenue. Private brand wine achieved a revenue of 16.2864 million yuan, a year-on-year decline of 42.81%, accounting for 2.13% of the total revenue. Other brands achieved revenue of 55.737 million yuan, a year-on-year decrease of 25.67%, accounting for 7.3% of the total revenue. Through the data, it is not difficult to find that the main revenue source of highland barley wine is still the company’s medium and high-grade highland barley wine. However, under the influence of the epidemic, the revenue of all kinds of products has declined significantly.
At the same time of the decline of product revenue, the revenue of the market inside and outside the province also declined. According to the announcement, in 2020, the revenue of highland barley wine in Qinghai Province will be 497 million yuan, a year-on-year decrease of 43.95%, and that outside Qinghai Province will be 243 million yuan, a year-on-year decrease of 27.73%. From the data, the main sales places of highland barley wine are still concentrated in the provincial market, and the nationalization process is not ideal.
As a regional wine enterprise, highland barley wine has continued to make efforts nationwide in recent years. Qingqingbarley wine told the Beijing daily news reporter that the company continued to implement the mode of city partnership in the new retail business, and actively expanded in Shanghai, Sichuan and Shanxi, and strengthened the supply chain capacity building. Through online official account and member drainage, the company increased its profitability.
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