September 4, 2013

Chinese dairy companies report rising revenues in H1 2013

In the first half of 2013, China Mengniu Dairy Co Ltd's total revenue reached RMB20.67 billion (US$3.4 billion), registering on-year growth of 13.3% while Yili Industrial Group reported half-year revenues of RMB24.02 billion (US$3.9 billion), up 13.41% on-year.

Yili's net profit during the period reached RMB1.75 billion (US$286 million), up 125.06% on-year while Mengniu generated RMB750 million (US$123 million) in net profit, increasing 16.3% compared to a year earlier.

The third company in the industry Bright Dairy & Food Co Ltd grossed RMB7.44 billion (US$1.2 billion) in revenue.

However, the statistics also showed that the gap between Yili and Mengniu is widening both in revenue and net profit.

Yili Industrial Group said that its high-end products contributed to its rosy performance, and will continue to be an important potential growth engine in the future.