Shares of ZJLD (06979) are rising close to 4%. At the time of writing, the stock is up 3.82% to HK$7.88, with a turnover of HK$17.04 million.
Revised Performance Forecast
The company recently held its 2025 Annual General Meeting, where it formally raised its performance guidance for 2026. The full-year revenue growth target was increased from 10% to 15%, and the adjusted net profit forecast was lifted from RMB 600 million to RMB 800 million.
Analyst Commentary on Marketing Strategy
Analysts noted that the one-year anniversary of the Wu Xiangdong IP operation has successfully engaged over a thousand alliance merchants and corporate employees in short video content, creating a matrix communication strategy where the main IP builds brand awareness and vertical IPs drive deeper market penetration. The view is that IP-generated content, with its inherent traffic appeal, could reduce reliance on traditional advertising for brand promotion, thereby enhancing the overall efficiency of marketing expenditure. Future monitoring will focus on the expansion pace of this IP matrix and its tangible impact on reducing the sales expense ratio.
Fundamental Recovery and Product Performance
Analysts further pointed out that entering 2026, the company's fundamentals are recovering from a low point, supported by channel inventory returning to healthy levels, the sustained volume growth of the 'Da Zhen' product, and the successful generational update to the fifth iteration of Zhen Fifteen. To date, collections for the 'Da Zhen' product have surpassed RMB 1.3 billion, with over 4,300 alliance merchants signed up. Against an industry backdrop where price inversion is common, the wholesale price for 'Da Zhen' has remained stable around RMB 600, making it one of the few baijiu products achieving sales above the suggested retail price during the industry's adjustment phase.
Strategic Product Positioning
The company has clearly articulated a product strategy where 'Da Zhen' elevates the brand's premium positioning and drives incremental growth, while 'Zhen Fifteen' broadens the market reach and solidifies the core business. This signifies the emerging synergistic effect of this dual-engine approach in the mid-tier segment, with each product line playing a distinct and complementary role.
Comments