--- title: "2018 Mengniu Annual Results Released: Several Highlights Repeatedly Emphasized by Lu Minfang!" description: "On the evening of March 27 (yesterday), Mengniu released its 2018 annual results announcement. In 2018, Mengniu's revenue reached 69 billion yuan, up 14.7% year-on-year; net profit was 3.043 billion yuan, up 48.6% year-on-year. This is the third annual report card delivered by Mengniu's new management team. Since the new management team led by Lu Minfang took office, they have carried out systematic reforms at Mengniu. Revenue growth went from 9.7% in 2016 to 11.9% in 2017, and then to 14.7% in 2018. Net profit went from a loss in 2016 to a profit of over 3 billion yuan in 2018." author: "New Distribution" publisher: "New Distribution" email: "zhaobo258@gmail.com" telephone: "+8615854817671" published: "2019-03-28" language: "en" canonical: "https://xinjignxiao.com/en/articles/2018-mengniu-annual-results-released-several-highlights-repeatedly-empha-a47cc7c1/" markdown: "https://xinjignxiao.com/en/articles/2018-mengniu-annual-results-released-several-highlights-repeatedly-empha-a47cc7c1.md" original_source: "https://mp.weixin.qq.com/s/aT-GLbAtfapdgigseHZUHQ" translation: "https://xinjignxiao.com/zh/articles/2018%E8%92%99%E7%89%9B%E4%B8%9A%E7%BB%A9%E5%B9%B4%E6%8A%A5%E5%87%BA%E7%82%89-%E8%BF%99%E5%87%A0%E5%A4%A7%E4%BA%AE%E7%82%B9%E8%BF%9E%E5%8D%A2%E6%95%8F%E6%94%BE%E9%83%BD%E5%8F%8D%E5%A4%8D%E5%BC%BA%E8%B0%83-a47cc7c1.md" attribution: "New Distribution — https://xinjignxiao.com/en/articles/2018-mengniu-annual-results-released-several-highlights-repeatedly-empha-a47cc7c1/" usage_policy: "https://xinjignxiao.com/ai-policy.txt" --- # 2018 Mengniu Annual Results Released: Several Highlights Repeatedly Emphasized by Lu Minfang! > On the evening of March 27 (yesterday), Mengniu released its 2018 annual results announcement. In 2018, Mengniu's revenue reached 69 billion yuan, up 14.7% year-on-year; net profit was 3.043 billion yuan, up 48.6% year-on-year. This is the third annual report card delivered by Mengniu's new management team. Since the new management team led by Lu Minfang took office, they have carried out systematic reforms at Mengniu. Revenue growth went from 9.7% in 2016 to 11.9% in 2017, and then to 14.7% in 2018. Net profit went from a loss in 2016 to a profit of over 3 billion yuan in 2018. **On the evening of March 27 (yesterday), Mengniu released its 2018 annual results announcement. In 2018, Mengniu's revenue reached 69 billion yuan, up 14.7% year-on-year; net profit was 3.043 billion yuan, up 48.6% year-on-year.** This is the third annual report card delivered by Mengniu's new management team. Since the new management team led by Lu Minfang took office, they have carried out systematic reforms at Mengniu. Revenue growth went from 9.7% in 2016 to 11.9% in 2017, and then to 14.7% in 2018. Net profit went from a loss in 2016 to a profit of over 3 billion yuan in 2018. In three years, Mengniu has taken three major steps, successfully completing strategic layouts in business, products, milk sources, and brands, entering a new stage of high-quality development, and even making the industry exclaim that Mengniu's wolf culture has returned. 01 Highlight 1: Significant increase in sales of ambient products; low-temperature products have maintained the No. 1 market share for 13 consecutive years In 2018, Mengniu's liquid milk revenue was 59.3886 billion yuan, up 12.0% year-on-year, accounting for 86.1% of Mengniu's total revenue. > Among them, UHT milk revenue was 29.6887 billion yuan, accounting for 50% of liquid milk revenue. Key products include Telunsu, Mengniu Pure Milk, and Future Star; > > Yogurt revenue was 19.7016 billion yuan, accounting for 33.2% of liquid milk revenue. Key products include Pure Zhen and Guanyi Milk; > > Dairy beverage revenue was 9.9983 billion yuan, accounting for 16.8% of liquid milk revenue. Key products include Youyi C, Suan Suan Ru, and Zhen Guo Li. In addition, ice cream revenue was 2.7234 billion yuan, up 8.4% year-on-year, accounting for 4% of Mengniu's total revenue; Milk powder business revenue was 6.0174 billion yuan, achieving a breakthrough growth of 48.9% year-on-year, accounting for 8.7% of Mengniu's total revenue. Analysis shows that the ambient category achieved double-digit revenue growth, with UHT milk growing by 15.6% and ambient yogurt growing by 27%. Star products such as Telunsu continued to maintain their industry-leading position, and the high-end category maintained rapid growth. The low-temperature category also continued to achieve double-digit growth, maintaining the No. 1 market share for 13 consecutive years, continuously widening the gap with competitors. The milk powder segment achieved nearly 50% growth, entering a profitable range, completely shattering the "curse" that Mengniu had nothing to do with milk powder. "Milk powder used to be our short board, but now it has become a very important growth point for us," Lu Minfang emphasized at today's media conference. Ice cream's brand power and product structure continued to improve, with profitability greatly enhanced and growth exceeding the industry level. "Everyone will definitely be concerned about market share. In 2018, our market share increased in almost all categories," Lu Minfang answered reporters' questions at today's media conference. 02 Highlight 2: Further expansion of influence and enhancement of brand power As the first global official sponsor from the dairy industry in World Cup history, Mengniu's brand shone brightly at home and abroad in 2018. Third-party data shows that after the World Cup, Mengniu's brand power increased by 11.4%, ranking first in the industry for the first time in five years, brand preference increased by 22%, and purchase intention increased by 20%. In the 2018 BrandZ "Most Valuable Chinese Brands 100" selection, Mengniu ranked first in the overall brand contribution list. "In September last year, Mengniu had already secured almost all of China's top IPs, including 'The Voice of China,' 'Idol Producer,' 'Chinese Restaurant,' 'Produce 101,' etc. In 2019, Mengniu has taken several of China's top ten IPs. I believe that people who have watched these programs will definitely remember our brand," Lu Minfang answered reporters' questions at today's media conference. 03 Highlight 3: Digital transformation helps achieve the 2020 billion-yuan goal Although it is a traditional consumer goods company, Mengniu Group is actively deploying digitalization to build smart business. From smart pastures for raising cows, to smart factories for processing, to smart marketing for interacting with consumers, it is comprehensively using digitalization to achieve corporate upgrading and transformation, building an advanced enterprise in the consumer goods and dairy industry. By enhancing digital capabilities, Mengniu fundamentally strengthens its quality foundation. It cooperates with international companies to promote the informatization transformation of dairy production, quality inspection, and corporate and financial management systems, becoming the first dairy enterprise in the domestic dairy industry to achieve collaborative operation of SAP and LIMS systems. Downstream, through big data support, it continues to increase consumer insight, improve R&D and innovative products, establish close connections between products, brands, and consumers, and strengthen interactive and social consumption experiences. Downstream, Mengniu actively explores the intelligence of sales channels, terminal management, and marketing. Centered on consumers, Mengniu has established the "One Goal, Two Assets, Three Capabilities, Four Guarantees" Mengniu 2020 informatization strategy. In the "2020 Strategy," the focus of Mengniu's digitalization work is end-to-end digital insight. A very important point is how to build the entire digital capability. This digitalization will support Mengniu's insight into consumers, continuously improve R&D of new products, and also enhance Mengniu's overall operational efficiency. 04 Highlight 4: Embarking on a new journey from China's cow to the world's cow In 2018, Mengniu's overseas business division focused on the strategy of "fully leveraging the World Cup and comprehensively laying out Southeast Asia," focusing on products such as Pure Zhen, Youyi C, and ice cream, conducting marketing roadshows in Hong Kong, Singapore, Myanmar, and other places to enhance brand influence, drive sales, and promote Mengniu's product export sales to maintain double-digit high growth for five consecutive years. Lu Minfang stated that 2019 coincides with the 20th anniversary of Mengniu's founding. Along with the tide of reform and opening up, Mengniu has moved from "rocket-style" development to a new stage of high-quality development, completing a historic upgrade and embarking on a new journey from "China's cow" to "the world's cow." Facing the future, Lu Minfang is full of confidence. He said that with the upgrading of China's consumption structure and the implementation of the national dairy industry revitalization strategy, China's dairy industry has ushered in a golden age. In 2019, Mengniu will focus on enhancing brand capabilities, sales capabilities, digital capabilities, R&D and innovation capabilities, efficient operation capabilities, and organizational support capabilities, promote high-quality and high-level development, sprint towards the 2020 strategic goal, and accelerate the building of an innovative century-old nutrition and health food group. Source: Mengniu financial report, compiled by New Distribution -END- --- ## Copyright and AI use This article is sourced from New Distribution. Search, quotation, summarization, and model training are permitted, but every use must credit New Distribution and retain the canonical source URL. Contact: zhaobo258@gmail.com · +86 158 5481 7671