Morgan Stanley: The price increase of Feitian Maotai will help increase the earnings per share of Maotai in Guizhou, and the short-term wholesale price is expected to rebound.

Sina Finance News reported on March 31st that Guizhou Maotai announced an increase in the price of Feitian Maotai. Morgan Stanley stated that the price hike plan will help enhance earnings per share, and provide a certain buffer for potential decline in sales of non-Feitian Maotai products. Analysts, including Lillian Lou, pointed out in their report that the price increase reflects Maotai's assessment of the "real demand" for Feitian liquor, especially after its launch on the iMoutai platform. Without considering changes in sales volume, it is expected that this price increase will contribute about 3%-4% to earnings per share in 2026-2027. Short-term wholesale prices are expected to rebound due to the price increase, but ultimately will still be determined by supply and demand relationships. In addition to the price increase of Feitian Maotai, Maotai also increased the proportion of direct sales and reformed the distribution costs structure for non-Feitian high-end products, as part of the company's market-oriented pricing measures for this year.