September 6, 2007
New Hope Dairy's H1 revenue growth weaker than expected
For the first half of 2007, revenue from New Hope Dairy's core business had increased at a slower-than-expected pace of 4.42 percent on-year to RMB536.7 million.
Another major player in China's dairy industry, the Yili Group, had recently reported a 17.6 percent jump in its H1 revenue to RMB9.3 billion, which was significantly higher compared with New Hope Dairy's.
Meanwhile, H1 revenue reported by Bright Dairy Group and Mengniu Group were also higher, at RMB39.6 billion and RMB9 billion respectively.
In the near future, competition among players for a bigger share of China's growing dairy market will continue to intensify. With the emergence of more players, companies may face greater challenges in maintaining a steady pace of growth.
RMB1=US$0.1325 (Sep 6)