Chinese traditional spirits maker ZJLD Group Inc (6979.HK) said on Wednesday that its revenue rose 2% year-on-year to 2.55 billion yuan ($378 million) in the first half of 2026, while its net profit increased 1% to 581 million yuan. Its gross profit margin increased to 59.7% from 59%, while its net profit margin edged down to 22.8% from 23%.
The company’s product mix remained sharply divided during the period. Revenue from deluxe spirits, known locally as baijiu, plunged 43% year-on-year to 328 million yuan, while revenue from premium baijiu products jumped 39.1% to 1.37 billion yuan, making them the main growth driver. The company’s signature Zhen Jiu liquor accounted for 52.7% of its revenue, while its Li Du brand contributed 30.9%.
The company said its business began to stabilize in the first half of the year after two years of contraction amid a downturn in China’s baijiu industry. Li Du’s revenue rose 28.9% year-on-year, while Xiang Jiao and Kai Kou Xiao also recorded modest growth.
ZJLD said it continued to advance channel initiatives, including its Premier Retailers Alliance and monthly profit-sharing models, and plans to extend similar mechanisms to core products including Zhen 30 in the second half of the year to drive growth in the deluxe and mid-range and below segments.
The company’s shares opened higher on Thursday and were trading at HK$8.005 by the midday break, up 1.59%.
By Lee Shih Ta
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