Moutai Sees Profit Soaring 58% for 2017 on Higher Liquor Sales
Xu Wei
DATE:  Jan 31 2018
/ SOURCE:  Yicai
Moutai Sees Profit Soaring 58% for 2017 on Higher Liquor Sales Moutai Sees Profit Soaring 58% for 2017 on Higher Liquor Sales

(Yicai Global) Jan. 31 -- Kweichow Moutai Co., the world's most valuable distiller, expects profit surged 58 percent last year because of increased sales of its sorghum-basedwhite spirit 'baijiu,' China's favorite liquor brand.

Full-year net profit was likely CNY26.4 billion (USD4.2 billion), compared with CNY16.7 billion a year earlier, the state-controlled company said. It expects total operating revenue of more than CNY60 billion, as per a statement on last year's production and operation it released last month.

Many in China and beyond favor Moutai's baijiu, which is also known as Chinese vodka. Late Premier Zhou Enlai toasted U.S. President Richard Nixon with a shot glass of the famous spirit at an historic state banquet welcoming him to the country in 1972. Today, a limited edition for Chinese New Year sold out online in seconds. The company expects total sales to have climbed about 34 percent last year.

Shares of Moutai [SHA:600519] gained more than 3 percent today to end trading at CNY764.7 (USD121.62), making it the most valuable stock on China's main bourses.

Based in the mountainous southwestern province of Guizhou, Moutai distilled about 42,700 tons of base spirit in 2017, up 9 percent year-on-year.

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Keywords:   MSCI,Liquor,Baijiu,Revenue,Company