China Food

A2 released its semi annual report today, with sales of Chinese label milk powder up 45%, revealing the latest ideas

In the face of the haze of the epidemic, the senior management of A2 milk company (hereinafter referred to as A2 milk) still said that they were “full of confidence” in the business fundamentals. This morning, the New Zealand milk powder company released its semi annual report for fiscal year 2021 (six months to December 31, 2020), which showed that the total revenue during the period was NZ $677.4 million (about RMB 3.253 billion), a year-on-year decrease of 16.0%, and the profit before tax, interest, depreciation and amortization was NZ $178.5 million (about RMB 857 million), a year-on-year decrease of 32.2%.

Like foreign counterparts such as Danone and Mead Johnson, A2 milk mentioned in its performance analysis that the challenges come from the interruption of purchasing / distribution channels caused by the epidemic, as well as the impact on cross-border e-commerce channels. However, the company has plans to reactivate these channels.

Xiaoshidai noted that in the Chinese market, the performance of A2 milk is still remarkable, and its Chinese label infant formula “A2 to early” and fresh milk business have achieved substantial growth during the period. Now, let’s take a look.

China business

According to the A2 milk announcement, during the reporting period, the revenue of China and other Asian markets was NZ $326 million (about RMB 1565 million), an increase of 2.8%; the profit before tax, interest, depreciation and amortization fell to NZ $94.4 million (about RMB 453 million).

“This reflects continued investment in capacity and low gross margins. China and other Asian markets also have a certain proportion of inventory provision. ” The announcement said. Let’s look at the Chinese market in detail. In the infant nutrition sector, the announcement showed that the company’s sales of Chinese label infant formula milk powder during the “A2 to early” period was 231.1 million New Zealand dollars (about 1.023 billion yuan), an increase of 45.2% over the same period last year.


a2牛奶引用尼尔森数据称,截至去年12月底,该公司在母婴店渠道的市场价值份额为2.4%,比去年同期增长了0.7%。此外,该公司进驻的母婴店数量也增加到了2.2万家。


“考虑到(母婴店)渠道的战略重要性和规模,以及日益加剧的竞争,这一表现令人满意。”该公司表示,“鉴于品牌与消费者之间的强烈共鸣,我们将继续有机会获得市场份额。”

In addition, in cross-border e-commerce channels closely related to the Chinese market, A2 milk said that sales of infant nutrition products with A2 platinum English and other labels dropped to NZ $103.5 million (about RMB 497 million). When it comes to the reasons for the decline, the company said that the sales volume of informal social e-commerce channels and dealers was low.


a2牛奶表示,跨境电商和代购/经销商渠道之间存在相互依赖,并与跨境电商表现有关。小食代留意到,由于旅行限制等原因,该公司的代购业务也受到了较大影响。


今天,对于如何复苏上述重要渠道,a2牛奶也给出了最新思路。


“考虑到这种相互联系,公司正积极调整(跨境电商)渠道中的库存,并继续完善其促销方法。”该公司称,此外,其还将针对代购/经销商所在渠道推出多个激活方案,包括重新平衡库存水平并提升渠道可追溯性;为代购/经销商提供临时支持;与企业代购合作,推动分销创新。

Looking back on China’s infant milk powder market last year, A2 milk pointed out in the announcement that the overall sales growth of China’s infant nutrition market was basically flat due to destocking, interruption (such as channels) caused by epidemic situation and birth rate. Overall, this market is showing moderate value growth, driven by continued high-end. At the same time, because local manufacturers continue to compete with traditional foreign brands for share, the market competition is also intensifying.


此外,在鲜奶板块,a2牛奶公告显示,中国市场期内的鲜奶销售为370万新西兰元(约合人民币 1776.78万元),同比增长达到107%

“Full of confidence

Looking ahead to the 2021 fiscal year, A2 milk said that due to the epidemic, the uncertainty and volatility of the global market are still at an unprecedented level. However, the company is “still confident” in business fundamentals and will continue to invest in the brand and its ability to drive long-term growth. For example, in terms of capacity investment, the company is promoting the acquisition of Matola milk powder factory. According to xiaoshidai, the company has announced that it plans to acquire the Matola milk powder factory of China animal husbandry group in New Zealand, with a total consideration of about NZ $270 million (about RMB 1.297 billion). The deal is expected to be completed around the end of May 2021. It is worth noting that A2 milk disclosed in its announcement today that over time, the proposed acquisition will provide a way to make profits and provide greater flexibility for product supply. These possibilities include seeking to register additional Chinese label products and more innovation opportunities.

Matola milk powder factory


根据a2牛奶最新提供的指引显示,预计2021财年集团收入约为14亿新西兰元(约合人民币 67.23亿元),税息折旧及摊销前利润率为24%至26%(不包括马陶拉乳业收购成本)。

“这一指引假设了为重新激活代购/经销商渠道采取行动,且将显著改善21财年第三季度到21财年第四季度期间的季度环比增长。”该公司称。

Pay attention to “xiaoshidai” (wechat: foodinc) “and reply to” A2 “to see the wonderful news.

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