Want Want China (151) H1 2026 earnings summary

Executive summary

• Revenue for the first half of 2025FY rose 2.1% year-over-year to RMB11,107.8 million, with sales volume up nearly double digits and strong growth in emerging channels and new products.

• Profit attributable to equity holders fell 7.8% year-over-year to RMB1,717.4 million, with margin down 1.6 percentage points to 15.5%.

• Gross profit margin declined by 1.1 percentage points to 46.2% due to higher costs for imported whole milk powder and palm oil, despite lower costs for other materials.

• Operating profit dropped 11.0% year-over-year to RMB2,260.7 million, with operating margin at 20.4%.

• New products launched in the past five years contributed a mid-teen percentage of total revenue, becoming a key growth driver.

Financial highlights

• Revenue: RMB11,107.8 million (+2.1% YoY); Gross profit: RMB5,131.7 million (-0.2% YoY).

• Operating profit: RMB2,260.7 million (-11.0% YoY); Net profit: RMB1,717.4 million (-7.8% YoY).

• Basic and diluted EPS: RMB14.55 cents (-7.8% YoY).

• Gross profit margin: 46.2% (-1.1ppt YoY); Operating margin: 20.4% (-3.0ppt YoY); Net margin: 15.5% (-1.6ppt YoY).

• Net cash as of 30 September 2025: RMB10,320.5 million; total borrowings: RMB4,666.4 million.

Outlook and guidance

• Focus on internal optimisation, diversification, and synergy between domestic and overseas operations.

• Continued investment in product R&D, channel structure optimisation, and creative marketing to drive sustainable growth.

• Plans to further expand overseas, especially in Vietnam, and accelerate e-commerce and new retail deployment.