Tingyi Holdings saw earnings increase in the first half of 2014 although profits from its two key food divisions fell.
The company booked a 37.7% rise in net profit to US$337m, with EBIT growing 24.8% to $450m. A jump in the profitability from Tingyi’s drinks arm helped the company’s earnings.
Go deeper with GlobalData
However, the Hong Kong-listed group said EBIT from its instant noodle arm, its second-largest by sales, slid 2.5% to $188.9m.
Tingyi’s instant food division, which sells products including biscuits, made an operating loss of $11.3m, up from $6.9m a year earlier.
The group’s instant noodle sales rose 2.1% to $2.03bn. Tingyi said it outperformed the sector. However, raw material prices weighed on the unit’s profits.
The company’s instant food sales fell 9.5% to $89.7m amid what it called “persistent depression” in China’s biscuit sector. Tingyi said the division’s loss was in “our expected range”. It added a focus for the unit would be on improved cakes and crackers sales.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataTingyi’s total turnover was up 1.5% to $5.5bn.
