Strength list of Chinas dairy industry: total revenue of 21 dairy enterprises exceeds 350 billion

 Strength list of Chinas dairy industry: total revenue of 21 dairy enterprises exceeds 350 billion

Looking through the financial reports over the years, NetEase Finance and economics found that 2011 is the watershed of the battle between Mengniu and Yili Dairy empire. Before 2011, Mengnius total revenue has been higher than Yilis, and since then, Yilis total revenue has surpassed Mengniu, and the gap has widened year by year. Among them, 2015 is the biggest revenue gap from 2010 to 2018, reaching 10 billion yuan.

From the perspective of liquid milk market share, from 2012 to 2018, Yili surpassed Mengniu in the liquid milk market share in 2017. It is worth noting that when the revenue gap between the two enterprises reached 10 billion for the first time in 2015, the market share gap was only 1%. Thus, the market share is a key point affecting the revenue of dairy enterprises, and Yili has gradually leveled off or even surpassed it by continuously increasing its market share Mengnius revenue.

At present, Yili has become the first dairy enterprise in China to be listed in A-share market in 1996. After 24 years, Yili has been the first group of dairy industry in the world, and has been the first dairy enterprise in Asia for many years. In 2019, Yili has achieved the best performance of Asian dairy enterprises with more than 90 billion yuan of revenue.

As a rising star in the dairy industry, Mengnius sales performance has gone from 37 million yuan in 1999 to 4 billion yuan in 2003, with an average annual growth rate of 323%. It has leapt from 1116 to the second throne in Chinas dairy enterprises, creating a marketing miracle that surpasses one dairy enterprise every day in more than 1000 days since its birth, and is called the two giants of grassland dairy industry with Yili u3002

Yilis steady growth mainly depends on the advantages of its global industrial chain. Mengniu enriches its asset allocation through continuous acquisition. In 2019, junle Bao sold by Mengniu contributed 13.5 billion yuan in revenue.

As the oldest dairy enterprise founded in China, Guangming dairy had been ahead of Yili and Mengniu before 2002. The turning point was in 2003. Yilis annual revenue surpassed Guangming dairy for the first time. In 2004, Mengniu, which was founded only four years ago, surpassed its performance. Under the fierce competition and game between the grassland dairy industry and the two giants of grassland dairy industry, the distance between bright and backward is drawing more and more. When Yilis revenue exceeds 90 billion in 2019 and strides to the 100 billion stage, Guangmings revenue only exceeds 20 billion, which is only a quarter of Yilis total revenue, which is 2.5 times lower than that of Mengniu.

In the first quarter of 2020, Yilis revenue has surpassed the annual level of Guangming last year, with a growth rate of 17%, while Guangmings growth rate is only 5%. Meanwhile, Chinas flying crane ranks fourth with revenue less than 10 billion yuan.

From the perspective of compound growth rate of net profit within three years, the compound growth rate of Mengniu and Feihe are 93.86% and 113.18% respectively, while that of Yili and Guangming is only 7.03% and 0.35%, and that of Jianhe dairy is - 1.51%. It can be seen that although Guangming has been the third place for a long time, its market share growth is somewhat unsatisfactory.

It is worth noting that Mengniu and Feihe are frantically occupying the market in the past three years, and the compound growth rate of their net profit is stable compared with the previous years. However, the market share of Jianhe is constantly being snatched.

In terms of net profit and growth rate, in addition to the two dairy giants, China Feihe achieved the third best result, with a net profit of 3.935 billion yuan in 2019, an increase of 75.47% over the same period last year.

By comparison, Mengnius revenue was nearly 80 billion yuan, with a net profit of 4.105 billion yuan. Yilis revenue exceeded 90 billion yuan, with a net profit of 6.951 billion yuan. While Feihes revenue is less than 14 billion yuan, but its net profit is as high as 3.935 billion yuan.

In addition, the growth rate of miaokelando, Huang group and net profit was more than 80%.

At a time when many dairy enterprises are booming, the net profit of western animal husbandry has been in a loss state for two years in the past three years, with a maximum loss of 367 million yuan. In the past three years, beingmei also had two years of losses, including a loss of 1.057 billion yuan in 2017. Cordy dairy is the first loss in nearly three years.

As of July 22, 2020, the market value of Mengniu is 125.994 billion yuan, that of Yili is 219.023 billion yuan, and that of Feihe is 133.120 billion yuan, surpassing Mengniu. Although Mengniu is far better than Feihe in terms of scale and volume, it is actually the industry leader in terms of profitability.

It is understood that the dairy enterprises mainly engaged in infant milk powder have achieved a high growth rate in 2019. The rapid growth of Feihe and Aoyou mainly depends on the growth of high-end milk powder products. The revenue of Feihe and Aoyou last year were 13.722 billion yuan and 6.736 billion yuan respectively, with a year-on-year increase of 32% and 35%. The net profits were 3.935 billion yuan and 942 million yuan respectively, with growth rates of 75.47% and 62.0% respectively. Among them, high-end milk powder products accounted for 68.6% of the total revenue of Feihe.

In terms of gross profit margin, a total of 5 dairy enterprises with a growth rate of more than 50% were listed as China Feihe 70.03%, Jianhe dairy 66.16%, Aoyou dairy 52.45% and Bain Mae 50.09%.

It can be seen that both net profit growth rate and gross profit rate growth rate of Feihe are far higher than those of peers.

NetEase Finance will continue to launch a list of executive compensation, R & D investment, advertising revenue and government subsidies of Chinas dairy enterprises in the future. Please pay attention to this list.