Bei Mei Mei loss of nearly 800 million, Hengnian natural Greater China

NEW YORK (Reuters) - New Zealand dairy giant, Fonterra, is about to announce its semi-annual results on March 22. Just today, the New Zealand media published a long interview with CEO of Evergrande Greater China, with a focus on the views of the partner in China, Benin (002570).

Today, the snack on behalf of and we look at this by the New Zealand Herald Tribune broadcast reports.

Bei Mei performance According to the data, Zhu Xiaoying, who has just taken a new role last year, is also the first female president in Greater China. She is also the first female president. She is mainly responsible for the formulation of the global strategy for the consumer brand, catering service and ranch business of Hengda Natural China And implementation.

Fonterra is currently the second largest shareholder of Beinmei, Zhu Xiajing is also one of the directors of Bein Mei.

Snack on behalf of the note, due to the performance of Bei Mei Mei down, constant natural international executives have been asked several times on the hands of the 18.8% stake in the Chinese milk powder business view.

For example, in December last year, Fonterra Chairman of the Board called for patience to Beinmei business; the end of January this year, Fonterra CFO reaffirmed the importance of cooperation with Bei Mei.

New Zealand's "dedication" and Bein the United States last year's performance. According to the performance of the report issued on February 28, the company achieved operating income of RMB 2,772 million, down 38.87% from the same period last year. The net profit attributable to shareholders of the listed company was about -7.98 billion yuan, down 869% year on year and 1.04 Billion yuan.

For such a transcript, Beine United States explained that 2016 is a challenging year, in the fake milk powder incident, the introduction of milk powder formula registration system and will be landing, the proportion of rising consumption of sea Amoy milk powder market background, although the company in the electricity channel Strong performance, but the traditional channel sales fell sharply, the company operating performance of a larger loss.

Logic unchanged

Zhu Xiaojing in the interview and then for the constant natural investment Bain Mei defense, she believes that the logic is still the same, that is, Heng natural that this is a strategic investment rather than financial investment.

She said that everyone has seen the numbers, and Beinmei's business is like a "very interesting" and fluctuating period like other companies' infant formula. October 1 last year, known as the "history of the most stringent milk powder New Deal" and "infant formula milk powder product formula registration management approach" formally implemented, each enterprise can only get three series of nine recipe registration, now major Enterprises are stepping up to declare.

Zhu Xiaojing said that the result is for all enterprises on the market have brought uncertainty, whether it is multinational companies or local enterprises, need to face this change. She believes that the government clearly need to regulate the market, the New Deal direction is clear, that China believes that if there are thousands of milk brands in the market, it may have to achieve the impact of food safety and quality commitments, and therefore need to change, the need for integration The

"In the future, the number of infant formula manufacturers will be greatly reduced." She said that in the long run, the larger brands for the benefit. She also said that Bei Mei Mei and Heng natural main brand "full" is the first to submit recipe registration application business.

She said that even from a global point of view, Fonterra continue to hold Bei Mei US stock is justified. "China is still the world's largest milk powder market, is also the fastest growing." She said, "If you are serious for pediatric nutrition, you need to win in China, which is why the strategic logic of investment Is still a reasonable reason.

“No shortcut"

She said that Fonterra believes that China is the largest growth market in China needs a partner. For Bynum, cooperation is also evidence-based, although there is no doubt that is currently in a very challenging stage, Beimei is trying to solve.

At present, through the four factories and the cooperation of Bei Mei, constant natural "full" milk powder can use its 80,000 retail terminals in China sales, in addition to both sides in Australia's Darling also has a joint venture factory.

When talking about the development of constant natural in China, she refers to the constant natural treatment of the Chinese market is not to "make quick money", but focus on the long term. She said, noting that many companies through the unofficial parallel imports that "purchasing" and in China fame.

"Some companies have chosen a relatively simple way, that is, using purchasing." She said, but the simple way is not always the most sustainable way. She said that Fonterra did not take the shortcut, the company for local talent and team investment, but also the only one with both local milk and New Zealand milk advantage of the company.

For the alleged constant natural pace may also go fast enough, she believes that if you can not produce cash and return, it is meaningless to talk about long-term planning.

She said that the constant natural shareholders are dairy farmers, not Wall Street fund managers, these New Zealand dairy farmers need to rely on Fonterra, so the company managers need to achieve a short and long-term balance.