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China's top liquor brand Moutai reports strong profit growth in Q1

Xinhua | Updated: 2019-04-07 16:15
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Workers oversee baijiu bottling at China Kweichow Moutai Distillery Co's plant in Guizhou province. [Photo/Agencies]

GUIYANG -- China's leading liquor brand Kweichow Moutai reported a net profit rise of 31 percent year-on-year from January to March.

Moutai's net profits in the first quarter of 2019 rose to 11 billion yuan (about $1.63 billion). Its sales revenues during the period reached 25.7 billion yuan, up 21 percent year-on-year, according to the company Friday.

In 2018, Moutai saw its output reach around 70,200 tonnes, with sales revenues reaching 73.6 billion yuan and net profits 35.2 billion yuan, up 26.49 percent and 30 percent respectively, year-on-year.

Moutai is a sorghum-based spirit produced by Kweichow Moutai and is China's top brand of white alcohol. The liquor, often served on official occasions and at state banquets, is considered a luxury item and has long been a popular gift.

Despite its high price, domestic demand for Moutai has always exceeded supply.

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