Condiments are food ingredients added to food to enhance the taste. In terms of sources, most condiments directly or indirectly come from plants. Only few condiments are animal extracts and chemical synthetic ingredients.
There are lots of condiments in China, the majority of which are soy sauce, vinegar, gourmet powder, paste and chicken essence.
With growing Chinese economy and improving residents' living standards, condiment products become increasingly specialized and functionalized with a constantly growing demand. CRI survey indicates that in 2016, the global market size of condiment exceeded USD 300 billion, while the difference of business revenue reached more than 10 times between China and the world. Additionally, with a per capita consumption being less than half of the global average, China still has much room to grow.
In 2016, the market size of condiment amounted to over CNY 200 billion. The largest sub-industry of condiment is the vinegar and soy sauce industry, with a market size of over CNY 100 billion in 2016. The production volume of soy sauce and vinegar exceeded 10 million tons and that of gourmet powder was over 2 million tons.
According to CRI, due to a series of food safety accidents in recent years, the Chinese government strengthened regulations of food safety and revised the policies and guideline of the condiment industry in order to promote the sustainable development of the industry. With upgrading condiment market in China, compound condiments and other new products will greatly change the current market. Meanwhile, traditional condiments such as soy sauce and vinegar will see market segmentation to meet diversified demand. For example, soy sauce can be subdivided into cold-dish, braised dish and children’s soy sauce, and vinegar has white and apple vinegar. Generally speaking, the condiment industry will continue to develop in the next few years.
In this report, CRI analyzes 11 condiment manufacturers listed in A-share market in China.
The report is composed of two parts: the first part is enterprise profiles and the second part is the operation status of these enterprises in the recent decade (presently 2006 to 2016, we will update it to the latest as time goes by).
The operation status is demonstrated from the following perspectives: (1)financial indexes, such as earnings per share, book value per share (BPS), sales per share, net cash flow per share, return on net worth and debt to asset ratio; (2) indexes on the income statement, such as revenue, operating profit, net profit and EBIT; (3) indexes on the income statement, such as revenue, operating profit, net profit and EBIT; (4) indexes on the balance sheet, such as liquid asset, fixed asset, current liability, non-current liability, capital reserve and shareholders' equity.
(1) Financial Indexes
- Earnings per Share
- Book Value per Share (BPS)
- Sales per Share (SPS)
- Net Cash Flow per Share from Operations
- Net Cash Flow per Share (CNY)
- Return on Net Worth
- Net Profit Margin on Total Assets
- Return on Invested Capital (ROIC) (%)
- Gross Profit Margin on Sales (%)
- Net Profit Margin on Sales (%)
- EBIT Margin (%)
- EBITDA Margin (%)
- Debt to Asset Ratio (%)
- Total Asset Turnover (times)
- Cash/Operating Income Received from Sales of Goods or Services
- YOY Growth Rate of Operating Revenue (%)
- YOY Growth Rate of Operating Profit (%)
- YOY Growth Rate of Net Profit Attributable to Shareholders of Parent Company (%)
(2) Summary of Income Statement
- Gross Revenue (CNY, million)
- Total Operating Costs (CNY, million)
- Revenue (CNY, million)
- Operating Profit (CNY, million)
- Total Profit (CNY, million)
- Net Profit (CNY, million)
- Net Profit Attributable to Shareholders of Parent Company (CNY, million)
- Non-recurring Items (CNY, million)
- Net Profit Deducting Non-recurring Items (CNY, million)
- R&D Costs (CNY, million)
- Earnings Before Interest and Tax (EBIT) (CNY, million)
- Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) (CNY, million)
(3) Summary of Balance Sheet
- Liquid Asset (CNY, million)
- Fixed Asset (CNY, million)
- Long-term Equity Investment
- Total Assets (CNY, million)
- Liquid Liability (CNY, million)
- Non-current Liability (CNY, million)
- Total Liability (CNY, million)
- Capital Reserve (CNY, million)
- Surplus Reserve (CNY, million)
- Undistributed Profit (CNY, million)
- Shareholders' Equity (CNY, million)
- Equity Attributable to Shareholders of Parent Company (CNY, million)
(4) Summary of Cash Flow Statement
- Cash Received from Sales of Goods and Services (CNY, million)
- Cash Flow from Operations (CNY, million)
- Cash Paid to Purchase Fixed Assets, Intangible Assets and Other Long-term Assets (CNY, million)
- Cash Paid for Investments (CNY, million)
- Cash Flow from Investments (CNY, million)
- Cash Received from Investors (CNY, million)
- Cash Received from Borrowings (CNY, million)
- Cash Flow from Financing (CNY, million)
- Net Increase of Cash and Cash Equivalents (CNY, million)
- Cash and Cash Equivalents, End of Period (CNY, million)
- Depreciation and Amortization (CNY, million)
Companies in the report:
1 Lotus Health Group Co (600186.SH)
2 Jiangsu Hengshun Vinegar Industry Co., Ltd. (600305.SH)
3 Star Lake Bioscience Co., Inc. (600866.SH)
4 Jonjee Hi-tech Industrial & Commercial Holding Co., Ltd. (600872.SH)
5 MeiHua Holdings Group Co., Ltd. (600873.SH)
6 Qianhe Condiment and Food Co., Ltd. (603027.SH)
7 Foshan Haitian Flavouring and Food Co., Ltd. (603288.SH)
8 Anji Foodstuff Co., Ltd. (603696.SH)
9 Yunnan Energy Investment Co., Ltd. (002053.SZ)
10 Guangdong Jialong Food Co., Ltd. (002495.SZ)
11 Jiajia Foodstuff Group Co., Ltd. (002650.SZ)
1 Lotus Health Group Co (600186.SH)
2 Jiangsu Hengshun Vinegar Industry Co., Ltd. (600305.SH)
3 Star Lake Bioscience Co., Inc. (600866.SH)
4 Jonjee Hi-tech Industrial & Commercial Holding Co., Ltd. (600872.SH)
5 MeiHua Holdings Group Co., Ltd. (600873.SH)
6 Qianhe Condiment and Food Co., Ltd. (603027.SH)
7 Foshan Haitian Flavouring and Food Co., Ltd. (603288.SH)
8 Anji Foodstuff Co., Ltd. (603696.SH)
9 Yunnan Energy Investment Co., Ltd. (002053.SZ)
10 Guangdong Jialong Food Co., Ltd. (002495.SZ)
11 Jiajia Foodstuff Group Co., Ltd. (002650.SZ)
