Yili's first quarter net profit soars 148 percent
Domestic dairy giant Yili Group records a total operating revenue of 96.89 billion yuan and a net profit of 7.08 billion yuan in 2020. [Photo provided to chinadaily.com.cn]
Inner Mongolia Yili Industrial Group Co (Yili Group) – based in Hohhot, capital of North China's Inner Mongolia autonomous region – reported total first quarter operating income of 27.36 billion yuan ($4.23 billion) on April 28, an increase of 32.49 percent year-on-year and net profit of 2.83 billion yuan, which soared 147.69 percent.
The group on the same day posted total 2020 full-year operating income of 96.89 billion yuan and net profit of 7.08 billion yuan, despite the impact of the COVID-19 pandemic, according to the group's 2020 annual report.
Analysts pointed out that Yili's performance, against the negative global economic impact of COVID, reflected China's rapid economic recovery and structural upgrading of its market demand. They said it was also a manifestation of Yili's long-term stable development, with its industry's competitive advantages and anti-risk capabilities.
Analysts added that it was worth noting that against the background of epidemic prevention and control normalization, Yili has launched an intensive series of major investment projects in Inner Mongolia, to further expand and improve its production and supply chain layout.
The sales revenue of key products, such as Satine, Ambrosial and Jinlingguan, continues to show growth in 2020 and in the first quarter of 2021. [Photo provided to chinadaily.com.cn]
In terms of products, the company continued to promote their optimization and upgrading. Sales revenue of key products – such as Satine, Ambrosial and Jinlingguan – increased by 9.6 percent in the first quarter over the same period last year.
While ensuring the safety of its dairy products, the company is known to also conduct in-depth research into consumer preferences, to provide customers with many innovative products.
In 2020, the sales volume of new products accounted for 16 percent of the company's total sales volume.
A selection of the dairy products of Yili Group [Photo provided to chinadaily.com.cn]