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Mengniu Profit Surges Despite Revenue Drop as Cash Flow Hits Record and Payouts Rise

Story Highlights
  • Mengniu’s 2025 revenue fell 7.3% but margins improved and net profit jumped sharply.
  • Record operating cash flow underpins higher dividends, ongoing buybacks and strategic shift to higher-value dairy and health segments.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Mengniu Profit Surges Despite Revenue Drop as Cash Flow Hits Record and Payouts Rise

Meet Samuel – Your Personal Investing Prophet

An update from China Mengniu Dairy Co ( (HK:2319) ) is now available.

China Mengniu Dairy reported 2025 revenue of RMB82.24 billion, down 7.3% amid shifting consumer demand and channel dynamics, but improved its gross margin to 39.9% and kept operating margin at 8.0%, slightly below 2024 yet above pre-2024 levels. Net profit attributable to shareholders surged 1,378.9% to RMB1.55 billion, supported by lower other expenses, while fresh milk, milk powder and cheese all recorded double-digit growth, highlighting strength in higher-value and diversified product lines.

Operating cash inflow reached a record RMB8.75 billion, up 5.0%, bolstering liquidity and enabling a more generous capital return policy, including a proposed final dividend of RMB0.520 per share and a three-year plan to steadily raise dividends while maintaining share repurchases. Management reiterated its commitment to the “One Core, Two Wings” strategy, emphasizing R&D, digitalization, and international expansion in nutrition and health, which is intended to offset revenue pressures, enhance efficiency and reinforce Mengniu’s competitive position in a rapidly evolving dairy market.

The most recent analyst rating on (HK:2319) stock is a Buy with a HK$20.40 price target. To see the full list of analyst forecasts on China Mengniu Dairy Co stock, see the HK:2319 Stock Forecast page.

More about China Mengniu Dairy Co

China Mengniu Dairy Company Limited is a leading Chinese dairy producer listed in Hong Kong, operating across liquid milk, fresh milk, milk powder and cheese, with growing activities in nutrition, health and international markets. The group focuses on R&D-driven innovation, brand leadership and digital transformation, while pursuing a diversified business structure and “One Core, Two Wings” strategy to support high-quality growth in the domestic and overseas dairy segments.

Average Trading Volume: 26,721,448

Technical Sentiment Signal: Sell

Current Market Cap: HK$61.12B

See more insights into 2319 stock on TipRanks’ Stock Analysis page.

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