According to the Futu Securities APP, beer stocks collectively fell, as of the time of publication, Tsingtao Brewery (00168) fell 3.66% to HK$42.15; Bud APAC (01876) fell 3.41% to HK$8.22; China Res Beer (00291) fell 3.35% to HK$23.1.

Fangzheng Securities believes that under the influence of factors such as pressure on beer sales due to the consumption in the on-premise channel (dining & nightlife), extreme weather in the southern region, and higher base of some enterprises, beer sales are under pressure and the upgrade trend is slowing down, with differentiated performance in the income of various liquor companies. However, the direction of structural upgrade still has certainty. In terms of profit, the current prices of raw materials such as barley, glass, and corrugated paper are still at a low level. In addition, each company is still cautious in terms of expenses, focusing on profit as the assessment key. There has not been a market concern of vicious competition and price-for-volume exchange phenomena. The bank predicts that the industry's profit side will continue to grow in the second half of the year.

HTSC pointed out that in terms of sales, the overall volume and price environment is expected to continue to be flat, but the weakening base pressure in the second half of the year is expected to drive improvement in the operating performance of leading companies, and the recovery of the consumption environment is expected to support volume and price. In terms of profit, the direct contribution of price increases to the ton price has weakened, and the upgrade has slowed down but is still continuing. Products in the 6-8 yuan price range have shown overall resilience. Imported Australian malt has significantly reduced the procurement price of barley, packaging materials have stabilized with a downward trend, and the cost dividend will last throughout the year, supporting continuous profit growth.