GUIYANG: China’s high-end liquor producer Kweichow Moutai Friday said its net profits rose 9.1 percent year on year to 7.9 billion yuan (1.2 billion U.S. dollars) in the first half of the year.
In a filing to the Shanghai Stock Exchange, Moutai said its revenue rose 10.2 percent to 15.8 billion yuan. The leading Moutai brand contributed to 15.3 billion yuan, or 97 percent.
In the six months, liquor output reached 24,487 tonnes.
The company said it will strive to maintain the steady growth momentum against the backdrop of a gloomy industry following the country’s frugality campaign.
Dubbed China’s “national liquor” and dominating the top-end liquor market, Moutai has prevailed over other competitors for decades. Its sales were affected over the past three years after the frugality campaign curbed government receptions and gift exchanges.
The earnings disappointed investors. Its shares slid 2.24 percent to close at 192.65 yuan on Friday, compared with a rally of 4.82 percent of the benchmark Shanghai Composite Index.
