On July 26, Shanxi Xinghuacun Fen Wine Factory Co., Ltd. (600809.SH) announced that its 2025 annual profit distribution plan had been approved by shareholders. The distribution is based on a total share capital of 1.22 billion shares, with a cash dividend of 6.56 yuan per share (including tax), totaling approximately 8.003 billion yuan in cash dividends. This amount sets a new historical record for the company.
According to company filings, Shanxi Xinghuacun Fen Wine Factory Co., Ltd. was restructured and established in December 1993, listing on the Shanghai Stock Exchange in January 1994. It is recognized as the first Chinese baijiu stock and the first stock from Shanxi Province. The company's main business includes the production and sale of Fenjiu, Zhuyeqing liquor, and other series of liquors. It is one of the standard-setters for the light-aroma baijiu category in China. Its core product, Fenjiu, is a typical representative of light-aroma baijiu, while Zhuyeqing is a well-known health liquor, both enjoying significant reputations domestically and internationally.
For years, Shanxi Xinghuacun Fen Wine Factory Co., Ltd. has consistently deepened its channel development, building a nationwide distribution network. The company's expansion into markets outside its home province has been notably successful. Its brand influence is penetrating from the core North China region across the country, allowing it to continuously capture market share in the mass baijiu consumption segment and solidify its fundamental business base.
This substantial dividend payout is underpinned by the company's solid financial performance and robust cash flow. In 2025, Shanxi Xinghuacun Fen Wine Factory Co., Ltd. achieved revenue of 38.718 billion yuan, a year-on-year increase of 7.52%, and a net profit attributable to shareholders of 12.246 billion yuan, a slight increase of 0.03% year-on-year. This made it one of the few leading baijiu companies listed on the A-share market to achieve growth in both revenue and net profit in 2025.
By product segment, the core Fenjiu category generated annual revenue of 37.441 billion yuan, up 7.72% year-on-year, with a gross margin of 75.67%. The status of multi-billion yuan products like Qinghua 20 and Bofen was further consolidated. Other liquor products achieved revenue of 1.151 billion yuan, up 3.09% year-on-year, with a gross margin of 51.62%.
Geographically, markets outside Shanxi Province served as the growth engine, generating annual revenue of 25.202 billion yuan, an increase of 12.64% year-on-year, accounting for over 65% of total revenue. While the provincial market saw a slight decline of 0.81% year-on-year, it still contributed 13.391 billion yuan in revenue.
Alongside steady earnings growth, Shanxi Xinghuacun Fen Wine Factory Co., Ltd. has maintained its generous dividend policy. In 2023, total dividends reached 5.331 billion yuan. In 2024, the company distributed a combined total of 7.393 billion yuan through interim and annual dividends. The 2025 distribution plan was further upgraded, totaling 8.003 billion yuan, which represents over 65% of the 2025 net profit attributable to shareholders. The cumulative cash dividends over the past three years have exceeded 20.7 billion yuan, firmly placing the company among the top tier of the baijiu industry.
Notably, on April 23, the company announced a shareholder dividend return plan, committing that for the three years from 2025 to 2027, the annual total cash dividend will be no less than 65% of the net profit attributable to the parent company for that year, as a way to reward investors. The 8 billion yuan dividend is the implementation of this commitment.
Currently, the baijiu industry is in a period of structural adjustment, with industry concentration increasingly shifting towards leading companies. The competitive advantages of top-tier baijiu companies, which possess strong brand moats, stable cash flows, and clear growth logic, continue to amplify. Shanxi Xinghuacun Fen Wine Factory Co., Ltd. has successfully navigated this cycle, leveraging the differentiated characteristics of the light-aroma category, its comprehensive product matrix spanning price points, and the momentum of its nationwide channel network. In its annual report, the company stated that 2026 is a critical period for the full-force revitalization of the Fenjiu brand. It will continue to adhere to a business strategy where "stability is paramount" to solidify its position in the first tier of China's liquor industry. Looking ahead, with increasing market penetration of light-aroma baijiu and further deepening of its nationwide distribution channels, Shanxi Xinghuacun Fen Wine Factory Co., Ltd. is expected to maintain a stable operating trajectory, creating consistent returns for its investors.
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