Condiment Company Haitian Forecasts Net Profit to Rise 13% YoY in 1H2020

Consumer Staples Author: Yue Liu Editor: Luke Sheehan Jul 19, 2020 08:00 AM (GMT+8)

Listed companies in China's condiment industry saw positive revenue and net profit growth.

Image credit: Ashim D’Silva/Unspalsh

In the short term, competition under the epidemic may intensify, as leading companies' market share increases. Listed Chinese condiment companies have recorded both revenue and profit growth in 1H2020. In the long term, with the gradual weakening impact of the epidemic and the gradual recovery of demand in the catering industry, the industry's prosperity is still high, according to the CICC report on the consumer marketplace.

Haitian (603288:SH): saw revenue rise 10% and net profit rise 13%. During the epidemic, the company increased its investment and layout in 2C channels, partially offsetting the loss caused by the suffering 2B channels.

JonjeE (600872:SH): revenue up 5% and net profit up 12%. Benefiting from the decline in packaging material prices, the firm improved profitability.

Hengshun Vinegar (600305:SH): revenue up 7% and net profit up 12%. White vinegar and cooking wine maintained a YoY growth rate of 20% and 25%, respectively. 

Angel Yeast (600298:SH): revenue up 17% and net profit up 60%. The epidemic has accelerated the trend of yeast domestication, resulting in rising sales volume and price. Besides, the company's dry yeast products displaced several overseas competitors' fresh yeast offerings, driving up overseas revenue.