Foshan Haitian Flavouring and Food Company (603288) Q4 2024 earnings summary

Executive summary

• Revenue reached ¥26.90 billion, up 9.53% year-over-year; net profit attributable to shareholders was ¥6.34 billion, up 12.75% year-over-year.

• Gross margin improved to 38.62%, up 2.47 percentage points year-over-year, driven by cost control and procurement optimization.

• All major product categories (soy sauce, oyster sauce, seasoning sauces, others) achieved revenue growth, with online channel revenue up 39.78% year-over-year.

• R&D investment totaled ¥840 million, representing 3.12% of annual revenue, supporting product innovation and process upgrades.

• The company maintained its leading market position in the condiment industry, with production and sales volume exceeding 4.5 million tons.

Financial highlights

• Operating income: ¥26.90 billion, up 9.53% year-over-year.

• Net profit attributable to shareholders: ¥6.34 billion, up 12.75% year-over-year.

• Basic and diluted EPS: ¥1.14, up 12.87% year-over-year.

• Gross margin: 38.62%, up 2.47 percentage points year-over-year.

• Net margin: 23.63%, up 0.65 percentage points year-over-year.

• Operating cash flow: ¥6.84 billion, down 6.96% year-over-year due to increased investment outflows.

Outlook and guidance

• The company will continue to focus on user-centric product and service innovation, digital transformation, and supply chain optimization.

• 2025 is positioned as a critical year for advancing the company’s strategic plan, with emphasis on multi-category growth, R&D, and international expansion.

• The company is preparing for a Hong Kong listing to further enhance its global presence.