Sales at China’s Kweichow Moutai slow to 5-year low
July 30, 2020
Sales at China’s Kweichow Moutai, the world’s most valuable distiller, grew at their slowest pace in five years in the second quarter as the company came under pressure from accusations it is reaping the benefits of corruption, reported the Financial Times.
The premium liquor maker said revenue rose 8.8% to RMB 20.3 billion ($2.9 billion) in the three months to the end of June, the slowest since 2015.
That followed a 12.5% jump in the first quarter as Moutai, the country’s most expensive firewater defied a coronavirus-driven industry downturn thanks to its popularity among China’s wealthy population.
Profit was also hit, with net income attributable to shareholders rising 8.9% year over year in the second quarter to RMB 9.5 billion, down from 16.7% the previous three months.