In the context of the liquor industry entering a &#34;squeezed stock competition&#34; and increasingly rational consumption, Sichuan liquor company Shede Spirits, which returned to the capital stage with its &#34;old liquor strategy,&#34; is facing multiple challenges including performance pressure, channel fluctuations, and management turnover.
The financial report recently disclosed by Shede Spirits shows that in 2025, it achieved operating revenue of 4.419 billion yuan, a year-on-year decrease of 17.51%; the net profit attributable to shareholders was only 223 million yuan, a significant decrease of 35.51% year-on-year.
The performance shows a clear trend of &#34;cooling down quarter by quarter.&#34;
In the first quarter, the net profit attributable to shareholders was still 346 million yuan, but by the third quarter, it had dropped to only 28.73 million yuan, and in the fourth quarter, there was even a net loss of 249 million yuan.
In terms of product structure, the revenue from mid-to-high-end liquor (such as Zhihui Shede and Pinwei Shede) was 3.12 billion yuan for the whole year, a year-on-year decrease of 23.83%; the revenue from ordinary liquor (such as Tuo Pai Te Ji T68) was 733 million yuan, a year-on-year increase of 5.75%.
The combination of declining high-end products and limited gross profit from ordinary liquor makes it difficult to bridge the profitability gap.
According to the equity incentive assessment targets disclosed by Shede Spirits at the beginning of the year, revenue in 2025 needs to grow by 20% year-on-year, and net profit attributable to shareholders needs to grow by 164% year-on-year, with corresponding targets of 6.428 billion yuan and 913 million yuan. The final completion rates were only 68.7% and 24.4%, showing a significant gap between operational expectations and market reality.
The channel side is also turbulent. Wholesale agency revenue was 3.249 billion yuan, a year-on-year decrease of 25.19%; the number of dealers exited was 516, with a net decrease of 138 to 2,525.
The company's e-commerce channel achieved sales revenue of 603.593 million yuan in 2025, a year-on-year increase of 35.46%, becoming one of the few highlights in the financial report. However, in a market where liquor consumption is still primarily offline at banquets, the online growth is not enough to reverse the overall situation.
Shortly before the financial report was disclosed, the company announced the resignation of Vice President Wang Yong.
In the five years since the entry of the Fosun Group, the core executive team of Shede Spirits has undergone frequent changes, and Wang Yong's resignation further exacerbates market concerns about its execution stability.
Despite facing multiple challenges, the board of directors still insists on sending positive signals to shareholders.
According to the profit distribution plan for 2025, the company intends to distribute a cash dividend of 3.1 yuan (including tax) for every 10 shares, with an expected total cash distribution of about 102 million yuan, accounting for 45.67% of the annual net profit attributable to shareholders.
On the strategic level, Shede Spirits continues to maintain the narrative direction of the &#34;old liquor strategy.&#34;
The company clearly stated in its annual report that it will focus on traditional advantageous markets such as Sichuan, Hebei, Shandong, Henan, and Northeast China, gradually promoting the national layout of the brand. The company has built a dual-brand matrix centered on &#34;Shede&#34; and &#34;Tuo Pai,&#34; planning to make &#34;Shede&#34; the number one brand in the old liquor category while promoting &#34;Tuo Pai&#34; as the most cost-effective popular liquor brand.
However, this strategy of &#34;wanting both high-end premiums and mass volume&#34; faces enormous resource allocation challenges in the era of stock competition.
From a regional distribution perspective, in 2025, revenue in the provincial market decreased by 20.19% year-on-year, while revenue in the out-of-province market decreased by 19.25% year-on-year.
During the industry's destocking cycle, Shede Spirits stands at a crossroads of &#34;giving up&#34; and &#34;gaining&#34; between sticking to its home base and expanding outward

Wanting both? The performance pressure and expansion dilemma of Shede Spirits