Sanyuan set to suffer first annual loss since 2009

/ Companies

By YAO JING (chinadaily.com.cn) Updated: 2014-01-15 14:58

Sanyuan's fresh milk products displayed at a supermarket in Beijing. [Sanyuan's fresh milk products displayed at a supermarket in Beijing. [Chen Xiaogen/皇冠体育app Daily]

Dairy producer Sanyuan Group estimated losses of between 185 million yuan ($30.63 million) to 215 million yuan for 2013, according to a pre-announcement released on Tuesday.

A full-year loss will be Sanyuan's first since 2009.

The Beijing-based dairy group attributed the predicted loss to rising material costs, and a fall in investment.

Sanyuan suffered a loss of 38 million yuan in the first half of the year.

In order to offset growing material costs, Sanyuan raised the price of some products by an average increase of 8 percent.

Other major dairy producers, Mengniu and Guangming, followed Sanyuan's steps in raising prices.

In 2009, Sanyuan acquired Hebei-based Sanlu Group, which went bankrupt after a melamine scandal.

. All rights reserved. The content (including but not limited to text, photo, multimedia information, etc) published in this site belongs to 皇冠体育app Daily Information Co (CDIC). Without written authorization from CDIC, such content shall not be republished or used in any form. Note: Browsers with 1024*768 or higher resolution are suggested for this site.

License for publishing multimedia online Registration Number: