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China 2015: BRAND PROFILE | 18. Mengniu

COMPANY China Mengniu Dairy Company, Ltd. 

BRAND VALUE US$ 4.9 Billion 

YEAR-ON-YEAR CHANGE 57% 

HEADQUARTERS Hohhot 

INDUSTRY Food and Dairy 

YEAR FORMED 1999

Mengniu reported a substantial profit increase as consumers responded positively to acquisitions and food safety initiatives the company implemented over the past few years. It announced a new brand vision, focused on meeting consumer needs for food that’s healthy and nutritious. In related activities, Mengniu:

  • Acquired a stake in China Shengmu Organic Milk Ltd.
  • Entered a joint venture with WhiteWave Foods Company, a U.S. organic food producer.
  • Improved yoghurt sales with new joint-venture partner Danone, which raised its stake in Mengniu to 9.9 percent.

Net income rose 40 percent to $170 million on a 25 percent revenue rise to $4.2 billion, in the first half of 2014. For the full year 2013, Mengniu net income rose 28 percent to $265 million on a 24 percent revenue rise to $7.1 billion. COFCO Group, China’s large, state-owned food manufacturer, is Mengniu’s largest stakeholder. Mengniu was listed on the Hong Kong Stock Exchange in 2004.