HK Stock Market Move | CR BEVERAGE (02460) fell more than 7% to continue hitting a new low, with 90% of its income coming from "Yibao." The bottled water company is facing intense price competition.

CR BEVERAGE (02460) continued to decline by over 7%, hitting a new low at HK$12.64. As of the press time, it fell by 7.01% to HK$12.74, with a turnover of HK$1.18 billion. On the news front, CR BEVERAGE announced that on November 12, some coordinators partially exercised the oversubscription rights, involving a total of 50,370,400 shares, accounting for approximately 14.48% of the total offer. Priced at HK$14.5 per share, the additional net proceeds amounted to HK$719 million. Financial data shows that the company achieved revenues of RMB 11.34 billion, RMB 12.623 billion, and RMB 13.515 billion from 2021 to 2023, with net profits attributable to equity holders of the company reaching RMB 858 million, RMB 990 million, and RMB 1.329 billion. It is worth noting that the revenue of the Yi Bao packaged water product accounts for over 90% of the company's revenue. Data shows that from 2021 to 2023, the revenue of Yi Bao packaged water products was RMB 10.797 billion, RMB 11.887 billion, and RMB 12.405 billion, accounting for 95.21%, 94.17%, and 91.79% of the company's revenue in the same period. CMB International pointed out that there has been fierce price competition among water enterprises since this summer. The bank predicts that the duopoly competition in the water beverage market will remain unchanged; in the short term, major brands lowering prices will continue to lead to a siphon effect among water beverage brands, increasing market penetration for leading brands. With Nongfu Spring persistently promoting its green bottled water, its position will further solidify.