Want Want China (151) H1 2025 earnings summary

Executive summary

• Revenue for the first half declined by 3.5% year-over-year to RMB10,876.6 million, mainly due to lower popsicle sales in snack foods, but overseas and emerging channels saw double-digit growth.

• Gross profit margin rose to 47.3% (+2.1 pts) due to lower raw material costs and effective expense control.

• Net profit attributable to equity holders increased by 7.6% to RMB1,863.4 million.

• Organizational restructuring was implemented to enhance agility and resource allocation for sustainable growth.

• Channel diversification and growth in emerging channels (vending machines, OEM, e-commerce) and overseas markets supported performance.

Financial highlights

• Revenue: RMB10,876.6 million, down 3.5% year-over-year.

• Gross profit: RMB5,141.3 million, up 0.8% year-over-year.

• Operating profit: RMB2,540.7 million, up 2.6% year-over-year; margin improved to 23.4%.

• Net profit attributable to equity holders: RMB1,863.4 million, up 7.6% year-over-year.

• Basic and diluted EPS: RMB15.78 cents, up 8.2% year-over-year.

Outlook and guidance

• Management expects continued benefit from lower raw material costs in the second half.

• Focus remains on channel and product diversification, with new product launches and overseas expansion as key growth drivers.