Sichuan Swellfun forecasts 57% profit drop amid baijiu slump

Sichuan Swellfun expects net profit to fall 56.52% to 105.41 million yuan in the first half of 2025, with revenue dropping 12.84% to 1.498 billion yuan.

The baijiu maker attributed the decline to ongoing industry adjustment, with second quarter pressure on traditional consumption scenarios like business banquets and gatherings.

Despite the profit slump, sales volume is forecast to rise 14.54% to 543 kiloliters, driven by mid-to-high-end spirits. Higher than expected channel inventory levels after Chinese New Year impacted shipping volumes.