• Full-year net profits up by 2.6% to CNY1.84bn (US$193.3m)
  • Net sales in 2012 climb by 11.3% to CNY25.78bn
  • Operating profits come in flat, down by 0.2% to CNY2.14bn
  • Volumes out-pace overall beer market, rising by 10.5%
Tsingtao Brewery Co saw its market share in China rise in 2012

Tsingtao Brewery Co saw its market share in China rise in 2012

Tsingtao Brewery Co has posted rising sales and profits for 2012, as volumes increased markedly in the year.

The Chinese brewer, which is almost 20%-owned by Japan's Asahi, said earlier this week that net profits in 2012 came in 2.6% up on 2011 at CNY1.84bn (US$193.3m). Net sales in the year jumped by 11.3% to CNY25.78bn, although operating profits slipped by 0.2% to CNY2.14bn.

Sales volumes in the year were up by 10.5% to 79m hectolitres, with total beer market volumes in China rising by a lesser 3.1%, said Tsingtao.

Volumes of the company's flagship namesake beer increased by 7.3%, while “high-end products including the draft beer and canned beer” delivered a volumes leap of 17%.

Looking forward, the brewer said: “The contradiction between the fast growth of output capacity of the domestic leading breweries and the slow-down of the growth of beer market intensifies the competition in the beer industry.”

Consequently, efforts will focus on driving volumes of its “high-value-added products” to help off-set rising raw material and labour costs. Tsingtao is hoping to hit volumes of 100m hectolitres in 2014.

To read the company's official announcement, click here.