January 25, 2008

China's Bright Foods reports 20 percent surge in profits

Bright Foods Group generated RMB45 billion (US$6 billion) in sales income in 2007, rising by 9 percent year-on-year.

The company announced its total profits to reach RMB2.5 billion (US$347 million) and net profits of RMB600 million (US$83 million), surging by 14.7 percent and 20 percent year-on-year respectively.

Furthermore, the company's state-owned net assets turnover rate stood at 5.2 percent in 2007, rising by 0.68 percent over 2006.

The company estimates that its sales income will exceed RMB50 billion (US$6.9 billion) this year.

This year, Bright Food is projected to boost its investment in the main business lines, with the investment in eight key projects, including the Guanshengyuan Food Industrial Park, to reach RMB6.3 billion (US$873 million).

Bright Foods Group's holding of farms include Jinshan dairy cattle farm, which has a stock of some 6,000 heads of dairy cattle, as well as other farms located in Chongming and Haimen districts in Jiangsu province.

Last year, the company invested RMB1.5 billion (US$208 million) in a new dairy cattle farm in Jiangsu province, subject for completion this year.