Financial Summary

In the first half of 2025, China’s economy continued its momentum of robust development amid ongoing structural challenges. The consumer market became increasingly diversified, with consumers seeking a balance between health and enjoyment, personalization and mainstream choices, and placing greater emphasis on product quality, emotional engagement, and differentiated experiences. Purchasing patterns were characterized by “high frequency, low transaction value”. Meanwhile, instant retail channels expanded, preference-based e-commerce had become an important driver of online traffic, and discount stores and membership stores accelerated their expansion Omni-channel integration and deeper county-level penetration also emerged as key drivers of incremental demand. Against this backdrop, enterprises with sharp market insight and the ability to innovate product offerings to meet health-conscious and scenario-based demands, while achieving deep user engagement and conversion through multi-channel penetration, are vest positioned to adapt efficiently to changing market needs, enhance customer loyalty, and deliver sustainable high-quality growth.

In the first half of 2025, the gross profit structure of the instant noodle business continued to improve. The revenue from Instant Noodles Business was RMB13.465 billion, accounting for 33.6% of the Group’s total revenue. During the period, the gross profit margin of Instant Noodles segment expanded by 0.7 percentage points year-on-year to 27.8%, due to product upgrades and price adjustments. As a result of this margin expansion, the profit attributable to shareholders of the Group in the Instant Noodles segment grew 11.9% year-on-year to RMB951 million in the first half of 2025.

Amidst rapidly evolving consumption trends and ongoing channel transformation, the Instant Noodles business actively responded to challenges by adhering to a high-quality development philosophy. The Group achieved sustained growth by optimizing its core product categories and innovating its product portfolio. By building a multi-tiered product matrix, the business effectively met consumers' diverse demands for convenient and delicious offerings. In brand marketing, partnerships with leading IPs and a robust celebrity ambassador lineup deepened the brand’s emotional resonance with younger consumers. The business also accelerated its expansion into emerging channels such as snack wholesalers and membership stores, with differentiated products tailored to specific scenarios and market segments. As an industry pioneer, the Group was the first to introduce aerospace technology standards to noodle production, with its “Space-tech Chosen Noodles” setting new benchmarks for quality and consumer trust.

The Beverages business adhered to its dual-driver development strategy of “stabilizing growth and optimizing structure”. Segment revenue reached RMB26.359 billion, accounting for 65.7% of the Group’s total revenue. During the period, the gross profit margin for Beverages grew 2.5 percentage points year-on-year to 37.7%, supported by favorable raw material costs and improved management efficiency. Driven by the improvement in gross profit margin year-on-year, the profit attributable to shareholders of the Group in the Beverages segment grew 19.7% year-on-year to RMB1.335 billion in the first half of 2025.

Throughout the period, the Group continued to enhance product competitiveness and reinforce its leading position in core categories by ongoing flavor innovation, packaging upgrades and process improvements. At the same time, the Group deepened consumer insights and responded precisely to market demand, leveraging robust R&D capabilities to accelerate product upgrades and innovation. In terms of channel strategy, the Group proactively embraced diversification, establishing a comprehensive omni-channel marketing system to strengthen online and offline integration. Digital transformation continued to be a priority, with accelerated adoption of AI-driven solutions and enterprise-level data platforms, further empowering business decisions and operational efficiency while solidifying the Group’s competitive edge.

Mr. Richard Chen, Chief Executive Officer, commented, “Looking into the second half of 2025, we expect government policies to continue supporting consumption and unlocking household spending potential. In this environment, the Group remains committed to implementing the strategic principle of “Consolidate, Reform and Develop”, guided by a long-term perspective and anchored in consumer needs. We will continue to deepen our focus on core businesses, drive operational excellence, and pursue sustainable, high-quality growth.

On the product front, we will further optimize our portfolio and increase R&D investment to build a multi-layered, high-quality product lineup, continuously enhancing our product capabilities and competitive differentiation. In brand building, we will implement diversified marketing strategies to strengthen emotional connections with consumers, driving both brand awareness and emotional value.

Operationally, we will accelerate digital transformation, prioritising the development of an enterprise-level data platform, deepening AI adoption, and building an intelligent operational system to empower business decision-making. In terms of business quality, we will continue to optimise cost structures, enhance profitability, and ensure steady and high-quality performance.

We are dedicated to integrating sustainable development into our business practices, upholding our social responsibilities, and proactively seizing market opportunities to achieve synergistic growth between economic returns and social value. We are committed to delivering premium products to consumers and generous returns to shareholders. We are working with our partners to achieve our vision of a comprehensive food and beverage “National Brand” recognized by the government, trusted by partners, and preferred by consumers.”

About Tingyi (Cayman Islands) Holding Corp. (0322.HK)

Tingyi (Cayman Islands) Holding Corp. (the “Company”), and its subsidiaries (the “Group”) specialise in the production and distribution of instant noodles and beverages in the People’s Republic of China (the“PRC”). The Group started its instant noodle business in 1992, and expanded into instant food business and beverage business in 1996. In March 2012, the Group further expanded its beverage business by forming a strategic alliance with PepsiCo for the beverage business in the PRC. The Company exclusively manufactures, bottles, packages, distributes and sells PepsiCo soft drinks in the PRC. After years of hard work and accumulation, “Master Kong” has become one of the best-known brands among consumers in the PRC.

For enquiries, please contact:
Investor Enquiries
Investor Relation Team, Tingyi (Cayman Islands) Holding Corp.
E-mail: ir@tingyi.com

Christensen China Limited
E-mail: stephanie.chen@christensencomms.com
Tel: +852 2117 0861