On December 26, Changyu announced that it intends to sign a "Compensation Agreement" with the People's Government of Zhuqiao Town, Laizhou City, and the government will transfer the Zhangyu Zhuqiao Grape Base with an estimated value of 221 million yuan as the consideration (compensation payment).

Changyu said that at present, the supply of high-quality grape raw materials in Yantai area is sufficient, which can provide reliable raw material guarantee for the company's production and operation. This transaction will not adversely affect the normal production and operation of the company, which is conducive to further optimizing the layout of the grape base, and the company will continue to orderly develop the high-quality grape base in Yantai to better meet the market needs for middle and high-end products.

Since the beginning of this year, the wine industry has been under pressure, as a domestic wine leader, Changyu has maintained its profit in the first three quarters, but it has also endured a certain degree of decline. Financial statements show that in the first three quarters, Changyu's total revenue was 2.197 billion yuan, down 21.56% year-on-year; Net profit was 224 million yuan, down 47.25% year-on-year.

Previously, Changyu said that the company's revenue decline was mainly caused by a decline in product sales. In recent years, under the common influence of various factors, the domestic wine market competition is very fierce, coupled with the increasingly serious squeeze by other advantageous wine varieties, wine consumption continues to decline, a large number of wine production and operation enterprises further increase losses, and even some wine enterprises are eliminated by the market, there is no obvious sign of industry reversal.

At present, the A-share wine sector listed companies A total of Changyu, Weilong shares, CITIC Niya, ST Tongpu, Mogao shares 5. In the first three quarters, only Changyu and Citic Nianya made profits, while the other three suffered losses to varying degrees.

Data from the National Bureau of Statistics show that in the first November of this year, China's wine cumulative production of 10.3 million liters, down 14.2%, of which November production of 10 million liters, down 33.3%. Industry insiders believe that in March this year, the Ministry of Commerce announced to stop the imposition of anti-dumping duties and countervailing duties on imported Australian wine, Australian wine imports and imports have increased significantly year-on-year growth, Australian wine re-entry into the Chinese market has an impact on domestic wine. The domestic wine market needs to be strengthened in terms of industry chain, service system, customer stickiness and consumer cultivation. Brokerage research reports also believe that domestic wine is still in the adjustment period and has not seen significant signs of improvement in the short term.