Analysis of Profit Contribution from Kweichow Moutai's iMoutai Direct Sales Channel

Based on collected data and research reports, I provide you with a systematic analysis of the profit contribution from Kweichow Moutai’s iMoutai direct sales channel.

Based on data from Kweichow Moutai’s 2024 Annual Report and 2025 Semi-Annual Report [0][1]:

Indicator	2024	2023	YoY Change
iMoutai Revenue	RMB 20.024 billion	RMB 22.374 billion	-10.51%
Proportion of Total Revenue	11.72%	15.15%	-3.43pct
Total Direct Sales Channel Revenue	RMB 74.843 billion	RMB 67.233 billion	+11.32%
Proportion of Direct Sales Channels	43.88%	45.16%	-1.28pct

In 2024, iMoutai recorded negative growth for the first time, with revenue declining 10.51% YoY. This was mainly affected by the pressure on the wholesale prices of non-standard products such as Moutai 1935 and zodiac-themed liquors, as the company proactively adjusted its product structure and distribution rhythm [1][2].

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According to financial analysis [0], Moutai’s net profit margin in 2024 was approximately

. Based on this, the profit contribution of each channel is estimated as follows:

Channel	Revenue Contribution	Estimated Profit Contribution	Proportion of Net Profit
iMoutai	RMB 20.024 billion	Approx. RMB 10.1 billion	11.7%
Other Direct Sales Channels	RMB 54.819 billion	Approx. RMB 27.6 billion	32.1%
Wholesale Channels	Approx. RMB 96 billion	Approx. RMB 48.4 billion	56.2%
Total Direct Sales Channels	RMB 74.843 billion	Approx. RMB 37.7 billion	43.8%

Item	Amount	Proportion of Contribution
Net Profit Increment	RMB 11.47 billion	100%
Direct Sales Channel Profit Increment	Approx. RMB 3.84 billion	33.5%
iMoutai Profit Change	-RMB 1.18 billion	-10.3%

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There is a significant

between Moutai’s direct sales channels and wholesale channels, mainly due to:

1. Channel Tier Compression
   : Direct sales channels eliminate multi-level distributor links
2. Pricing Power Control
   : The company directly faces end consumers, enabling more flexible pricing
3. Brand Image Maintenance
   : Direct sales channels are more conducive to price control and brand image

Channel Type	Estimated Gross Margin	Revenue Proportion	Profit Contribution Characteristics
iMoutai Direct Sales	~95%	11.7%	High gross margin, direct consumer access
Traditional Direct Sales (Group Purchases)	~92%	32.1%	Customization for large clients, high average transaction value
Wholesale Distributors	~65%	56.2%	Multi-level distribution, diluted profits

, which is the core source of profit contribution from direct sales channels [3].

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Starting from January 1, 2026, iMoutai will launch

of 500ml 53% ABV Feitian Moutai priced at RMB 1,499 [3]. The significance of this strategic initiative is as follows:

Dimension	Analysis
Profit Margin Room	Based on the ex-factory price of RMB 1,169, the profit margin per bottle is approximately RMB 330
Price Discovery	Grasp real consumer demand through market-oriented distribution
Channel Control	Enhance terminal pricing power and crack down on speculation
Consumer Reach	Directly reach consumers and establish long-term customer relationships

: According to calculations by UBS, if the sales proportion of Feitian Moutai in direct sales channels increases by , Kweichow Moutai’s total operating revenue will grow by approximately [3].

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1. Stable Profit Contribution from iMoutai
   : In 2024, it contributed approximately RMB 10.1 billion in profit, accounting for 11.7% of net profit, making it an important component of Moutai’s profit
2. Direct Sales Channels Are Profit Engines
   : Total direct sales channels contributed approximately RMB 37.7 billion in profit, accounting for 43.8% of net profit, with a significant gross margin advantage
3. Growth Slowdown in 2024
   : iMoutai recorded negative growth (-10.51%) for the first time, mainly affected by industry adjustments and product structure adjustments
4. Strategic Transformation in 2026
   : The launch of direct purchase of Feitian Moutai at RMB 1,499 is expected to reshape the channel profit structure, with an estimated additional profit margin of approximately RMB 330 per bottle
5. Long-Term Strategic Value Outweighs Short-Term Performance
   : The core value of the iMoutai platform lies in terminal control, cracking down on scalping, and establishing direct consumer connections, laying the foundation for Moutai’s long-term channel reform

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[0] Jinling AI Financial Database - Kweichow Moutai Financial Analysis Data (2024-2025)

[1] Huxiu - “Moutai: A Long-Overdue Self-Rescue” (https://m.huxiu.com/article/4825756.html)

[2] Eastmoney - Kweichow Moutai 2024 Annual Report Review (https://pdf.dfcfw.com/pdf/H3_AP202504031650850404_1.pdf)

[3] Sina Finance - “Kweichow Moutai: Only One Core” (https://finance.sina.com.cn/tech/roll/2026-01-14/doc-inhhfrtc4207945.shtml)