Want Want profit drops 7.8pc on higher costs

Snack and beverage maker Want Want China (0151) posted a 7.8 percent year-on-year decline in its interim net profit to 1.72 billion yuan (HK$1.88 billion), dragged down by increased costs of imported materials.

Revenue rose 2.1 percent to 11.1 billion yuan during the period, with no dividend declared.

The rice crackers segment generated 2.13 billion yuan, with a growth of 3.5 percent.

Income from the snack foods rose 7.7 percent to 2.94 billion, while that of the dairy product and beverage segment inched down by 1.1 percent to 5.94 million.

Gross profit margin decreased by 1.1 percentage points to 46.2 percent, due to the increase in the unit costs of imported whole milk powder and palm oil.