Chinese infant formula maker Beingmate Baby & Child Food Co. has lowered its outlook for profits for the first half of this year, warning of the impact fraudulent infant formula sales has had on its brands.

The company revealed it now anticipates to report a net loss for the January-to-June period of between CNY210m (US$31.5m) and CNY230m. Beingmate had previously forecast net profit for the six months of CNY70-100m. 

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

The company primarily attributed the loss to the fact “fake” milk powder was introduced to the Chinese market under its brand name during the period. 

In April this year China’s food safety regulator – China Food and Drug Administration (CFDA) – confirmed traders had brought more than 17,000 tins of fake infant formula to market under brands owned by Beingmate as well as US-based Abbott Labratories. At the time, a spokesperson for the food safety regulator said that the “criminals” had purchased “cheap milk powder” and repackaged it under the Abbott and Beingmate brands.  

To view just-food’s recent analysis of how the Chinese authorities are tackling infant formula fraud, click here.

GlobalData Strategic Intelligence

US Tariffs are shifting - will you react or anticipate?

Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.

By GlobalData

Just Food Excellence Awards - Have you nominated?

Nominations are now open for the prestigious Just Food Excellence Awards - one of the industry's most recognised programmes celebrating innovation, leadership, and impact. This is your chance to showcase your achievements, highlight industry advancements, and gain global recognition. Don't miss the opportunity to be honoured among the best - submit your nomination today!

Nominate Now