• Full-year net profits from beverages flat at US$154m
  • Net sales from beverages in 12 months of 2014 slip 7.5% to $5.8bn
  • Operating profits up 9.5% to $238.5m
  • Group FY net profits fall 2% to $400.5m
Tingyi has felt the effects of a downturn in China

Tingyi has felt the effects of a downturn in China

Tingyi has posted a slide in full-year beverage sales, as the group felt the impact of the slowdown in its domestic market of China.

The Tianjin-headquartered firm, which is PepsiCo's partner in China, reported a 7.5% drop in 2014 full-year sales for its beverage unit, to US$5.8bn. Net profits for the division were flat at $154m, while profits before tax rose by 9.5% to $238.5m.

The sales performance from beverages was a significant reverse on the prior year, when revenues from the unit leapt by 27%.

“Competition in the market had been intense,” said Tingyi's chairman Wei Ing-Chou. “Under the circumstances, with changes in consumer behaviour and sales channels, the operation of the enterprise as a whole faced more challenges and difficulties.”

Full-year net profits for the group as a whole, which includes its instant noodles business, fell 2% in 2014, while sales dipped 6.4%. 

For the company's full statement, click here.