Clear brand strategy to drive growth
■ We attended Luzhou Laojiao’s shareholders’ meeting in Luzhou, Sichuan Province.
■ The Company will continue its dual-brand strategy of increasing the market share of Laojiao 1573 and Luzhou Laojiao in the super premium and premium sectors.
■ Management aims to reach total revenue of Rmb50bn in 2025 and to become the No. 3 baijiu player in terms of total revenue.
■ The Company launched the Gogoon brand with lower alcohol content to attract the younger generation.
■ Reiterate Add with an unchanged DCF-based TP of Rmb291.