Want Want China (151) H2 2025 earnings summary

Executive summary

• Revenue for the year ended 31 March 2025 was RMB23,510.7 million, down 0.3% year-over-year due to weak market conditions and weather impacts on certain product categories.

• Profit attributable to equity holders rose 8.6% to RMB4,335.6 million, with margin up 1.5 percentage points to 18.4%.

• Gross profit margin improved by 1.0 percentage point to 47.6%, driven by lower raw material and packaging costs.

• The company restructured business units by product category, driving growth in the second half, especially in dairy and overseas markets.

Financial highlights

• Operating profit increased 4.1% year-over-year to RMB5,837.4 million.

• Net cash position rose to RMB11,282.8 million, up RMB627.6 million from the prior year.

• Inventory turnover days improved to 74 from 81, reflecting better supply chain efficiency.

• Capital expenditure rose 56.4% to RMB634.6 million, mainly for plant upgrades and capacity expansion.

• Final dividend proposed at US2.04 cents per share, down from US3.30 cents last year.

Outlook and guidance

• Plans to deepen organizational agility, expand market share, and accelerate new product development.

• Focus on mitigating raw material cost risks through diversified sourcing.

• Continued investment in automation, supply chain optimization, and overseas expansion.