Jiangsu Yanghe Distillery ( 002304) Q3 2025 earnings summary

Executive summary

• Revenue for Q3 2025 was ¥3.29 billion, down 29.01% year-over-year; year-to-date revenue was ¥18.09 billion, down 34.26% year-over-year.

• Net loss attributable to shareholders in Q3 was ¥368.65 million, a decrease of 158.38% compared to the same quarter last year; year-to-date net profit was ¥3.98 billion, down 53.66% year-over-year.

• Cash flow from operating activities for Q3 was ¥966.24 million, down 72.06% year-over-year.

Financial highlights

• Gross margin for the first nine months was 71.1%, with operating costs of ¥5.23 billion against revenue of ¥18.09 billion.

• Basic and diluted EPS for Q3 was -¥0.2447, down 158.37% year-over-year; year-to-date EPS was ¥2.6387, down 53.66%.

• Total assets at quarter-end were ¥59.50 billion, down 11.64% from the previous year-end.

• Owner's equity attributable to shareholders was ¥48.56 billion, down 5.86% from year-end.

• Non-recurring gains for the first nine months totaled ¥218.12 million, mainly from fair value changes and government grants.

Outlook and guidance

• Revenue and profit declines attributed to a challenging liquor market, with lower sales volume and income.

• R&D expenses increased 77.92% year-over-year due to more projects.

• Financial expenses rose 62.25% year-over-year, mainly from lower interest income.