A recent survey on alcoholic beverages in China provides positive indications for the country's beer industry outlook in 2026. CHINA RES BEER (00291) remains one of the top "Buy" selections in the Chinese consumer sector, with a target price of HK$38. The industry preference order is unchanged, with CHINA RES BEER as the first choice, followed by Budweiser Brewing Company APAC (01876), and then Tsingtao Brewery (00168). CHINA RES BEER announced an impairment loss on goodwill for its white spirits business ranging from RMB 2.79 billion to RMB 2.97 billion, significantly exceeding the expected RMB 300 million. Considering the company's estimated reported net profit for 2025 and an estimated one-time gain from land sales, the core net profit for CHINA RES BEER in 2025 is projected to be between RMB 5.1 billion and RMB 5.3 billion, which is 0% to 6% higher than previous forecasts. Referencing the case of China Mengniu Dairy Company (02319), whose share price reacted positively after announcing an impairment provision of RMB 2.2 billion to RMB 2.4 billion for 2025, it is expected that CHINA RES BEER's share price will show a positive performance. As end consumption of beer in China tends to favor casual dining restaurants, beer consumption is anticipated to follow the recovery in sales within China's casual dining industry.