China Resources Beer H1 profit falls as Baijiu business weakens

China Resources Beer Holdings

19/08/2026 05:34

Overview
China beer maker's interim revenue rose 1.2% yr/yr for six months ended June 2026
Net income attributable to shareholders fell to RMB 5.17 bln compared to prior yr period
Company attributed performance to steady beer business growth and premiumisation strategy

Outlook
Company did not provide specific financial guidance or forecasts for the current quarter or full year

Result Drivers
PREMIUMISATION STRATEGY - Co said its strategy to focus on higher-end beer products drove a 0.5% increase in average selling price and contributed to revenue growth
SUB-PREMIUM SEGMENT GROWTH - Volume growth for sub-premium beer segment and above grew by approximately 15% yr/yr, with new products contributing over 7% of the segment's volume
BAIJIU BUSINESS DECLINE - Baijiu segment turnover fell and recorded a negative EBIT, weighing on overall profitability

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
H1 Revenue
 
RMB 24.24 bln
 
H1 Net Income Attributable
 
RMB 5.17 bln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 31 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the brewers peer group is "buy"
Wall Street's median 12-month price target for China Resources Beer Holdings Co Ltd is HK$34.00, about 53.4% above its August 18 closing price of HK$22.16
The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 12 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)