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Sanyuan Group posts 38m yuan loss in first half of 2013

chinadaily.com.cn | Updated: 2013-08-29 08:40

Sanyuan Group suffered a loss of 38 million yuan ($6.21 million) in the first half of the year.

The Beijing-based dairy group's revenue grew by about 1.8 billion yuan in the first half of the year, a year-on-year increase of 9.35 percent. But its net profit shrunk by 72 million, according to a performance report of H1 released by the group.

The loss was caused by market factors, the rise in the cost of raw materials and the decline in investment income, the group said.

Only one of Sanyuan Group's five subsidiaries made a profit. The other four — Shijiazhuang-based Sanlu Group, Hunan-based Taizi Dairy Group, Shanghai Sanyuan Group and Hulun Buir Sanyuan Group — all reported losses.

Sanyuan Group's competitors performed much better. Yashili Group reported net profit increases of 68 percent. Beingmate and Biostime saw increases of 34 percent and 94 percent, according to media reports.

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