Chinese infant formula group Synutra has raised its full-year earnings forecast after witnessing sales growth of “at least” 50% in the second quarter.
In the three months to 30 September, Synutra said revenue climbed by “at least” 50% and is now expected to total US$9-10m. Sales were also up in the period, climbing around 20% to $106-110m.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
“These positive results were due to increased IMF sales at the distributor and retail channels,” the company said in a preliminary results statement.
Looking to the full year, Synutra maintained its forecast revenue range of $450-500m and raised its earnings outlook to $55-65m, compared to prior guidance of $50-60m.
Liang Zhang, chairman and CEO of Synutra, said: “We are pleased to see continued strong demand for our core formula brands. In the second fiscal quarter, we experienced sequential and year-over-year increases in both revenue and net profit, despite significant market competition. Our success this quarter was primarily due to increased shipment volumes in a traditionally slow season as a result of our increased strategic marketing efforts.”
The company is scheduled to release a full financial update in November.
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
