Xinjiang Yilite Industry Co Ltd

Yilite released its 2026 interim report. Total operating revenue was 726 million yuan, down 32.13% year-on-year. Net profit attributable to the parent company was 81.8629 million yuan, down 49.64% year-on-year. Net cash flow from operating activities was negative 283 million yuan, a decrease of 70.5745 million yuan compared with the same period last year. The company's asset-liability ratio was 30.28%, gross margin was 51.53%, ROE was 2.07%, and diluted earnings per share was 0.17 yuan. The number of shareholders was 54,700, and the top ten shareholders held 48.13% of the total share capital.

Yili Te released its 2026 interim report. First-half operating revenue was 726 million yuan, down 32.1% year on year, and net profit attributable to the parent was 81.86 million yuan, down 49.6%. Second-quarter revenue was 120 million yuan, down 56.3% year on year, with a net loss attributable to the parent of 23.02 million yuan. The company is continuing to restructure its marketing system, setting up a national expansion strategy team and shifting toward consumer operations to cope with the deep adjustment in the baijiu industry. Within the sales segment, the Yili King and e-commerce units performed relatively well, while the Xiaolaojiao platform faced inventory and channel profit challenges. The company is also establishing a sales company and industrial park in southern Xinjiang to boost local economic development.

Yilite has overhauled its major distributor model amid the deep adjustment in the baijiu industry, reclaiming the distribution rights for its core product, the 46-proof Yilite Old Cellar. In November 2025, the company terminated its cooperation with the original general distributor, Xinjiang Baijiuyuan Supply Chain Management, and shifted the product, commonly known as Little Old Cellar, into an integrated manufacturer-distributor model. The newly established Xinjiang Yijiao Liquor took over operations that same month and contributed 145 million yuan in sales revenue within just two months. Yilite began piloting the integrated model in September 2024, primarily for high-end core products such as Little Old Cellar and the Yilite King Liquor series. Under this model, the manufacturer is responsible for product standards, brand building, and price management, while distributors form local marketing teams and jointly invest in market promotion expenses. In 2025, revenue from the major distributor model fell 40.64 percent year on year, with its share dropping to 54.3 percent, while revenue from the integrated model rose 29.74 percent, with its share increasing to 37.84 percent. However, excluding the impact of Little Old Cellar, revenue from the integrated model was roughly flat compared with the previous year. In the first quarter of this year, sales revenue from the integrated model grew 42.87 percent year on year, while revenue from major distributors was halved. For the full year 2025, Yilite reported operating revenue of 1.722 billion yuan, down 21.82 percent year on year, and net profit attributable to shareholders of 216 million yuan, down 24.29 percent. The decline was driven by both changes in industry demand and the company's proactive channel adjustments, including the termination of two major distributors.

Yili Group's controlling shareholder, Xinjiang Yili Group Co., Ltd., purchased a cumulative 385,800 shares of the company during the nearly three-month first-phase window, with a total purchase amount of 3.9967 million yuan. This represents less than 4% of the lower limit of its share purchase plan, which ranges from no less than 100 million yuan to no more than 200 million yuan, averaging about 45,000 yuan per day. The share purchase plan was disclosed on April 24, 2026, and was originally scheduled to be implemented over the next 12 months, but the execution intensity in the first phase was perceived by some investors as lacking urgency. Meanwhile, Yili Group's stock price has continued to weaken, falling 26% since the beginning of 2026, closing at 10.20 yuan on July 23, with its total market value shrinking to approximately 4.826 billion yuan. The company's first-quarter results continued the downward trend, with operating revenue down 23.79% year-on-year and net profit down 27.26% year-on-year.