Kweichow Moutai Reports Strong Financial Performance in 2023

Chinese liquor giant, Kweichow Moutai, exceeded expectations with its operating income in 2023, indicating robust sales in the fourth quarter. The company, known as China’s most valuable liquor brand, announced on its official website that its operating income increased by 20.5% from the previous year to reach 164.48 billion yuan ($22.97 billion). This figure surpassed the company’s guidance of CNY149.5 billion provided in late December.

Based in Renhuai, Moutai primarily generates its sales within the world’s second-largest economy. The company reported a total profit of CNY108.35 billion, marking a 19% increase in 2023. While the company did not disclose any other specific metrics, a more comprehensive overview of its annual earnings will be released in late March or early April. Moutai typically revises its preliminary figures during this reporting period.

As of Wednesday, Moutai’s shares on the Shanghai stock exchange closed 0.5% lower at CNY1,604.91, resulting in a year-to-date loss of 7.0%.

The positive sales performance of Moutai is encouraging news for market observers who are seeking insights into China’s consumption trends, which serve as a key driver for the country’s economy. Despite experiencing slower growth rates in recent years, China’s economy remains a pivotal global force.