CICC: Maintain Guizhou Moutai's "Outperform Industry" rating; the potential space for future volume growth should not be underestimated.

According to a research report by CICC, it is believed that Kweichow Moutai is expected to experience a three-fold improvement resonance in terms of demand cycles, operational adjustments, and price-performance characteristics. Under the current circumstances where a new supply-demand equilibrium has been established for Moutai liquor, there are promising expectations for future price elasticity and market share growth. 1) From a cyclical perspective: The current consumption volume and price in the liquor industry have fallen to low-level ranges, and we believe that the structural shock resulting from the transformation of liquor consumption scenarios may have come to an end. 2) From an operational perspective: The company's current systematic transformation and adjustments will help continuously strengthen precise adaptations across different dimensions such as region, channel, customer base, and timing to achieve optimal sales solutions. 3) From a product attribute perspective: Moutai liquor exhibits leading cross-cycle growth elasticity, with its sales penetration potential and upward price elasticity outperforming most leading consumer brands, indicating that future potential for volume expansion should not be underestimated. Maintain the "outperform industry" rating.