Tingyi net profit up 18 percent
Tingyi (Cayman Islands) Holdings, the biggest packaged-food maker in the Mainland, reported a 18 percent year-on-year jump in first-half net profit that was boosted by increased sales and effective cost controls, The Standard reported.
Profit rose to US$66.5 million for the six months ended June 30, with sales climbing 31.3 percent to US$1.1 billion.
The Hong Kong-listed company, which manufactures and sells instant noodles, baked goods and beverages in China, reported its gross margin in the first half increased 1.37 percentage points to 32.93 percent, despite rising prices for raw materials, said the paper.
The improvement in gross margin was mainly due to stable sales growth in its high-end packet noodles and bowl noodles, as well as rising sales of high- margin beverage products, the firm said.
Beverage sales jumped 66 percent to US$552 million, representing 50 percent of the total sales.
In June, the market share for Tingyi's product brand, Master Kong, was 48.6 percent, enabling it to maintain its top position in the ready-to-drink market, according to ACNielsen.