Asia300

Tsingtao Brewery Co., Ltd.

China

  • 1m
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  • 1y
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Mar 28, 2017
Prev close: 36.35
Mar 28, 2017
Market cap:
Market cap(USD):
50,493.60M
6,500.58M
Shares: 1,350.98M

Currency in HKD

Company profile

Market(Ticker): HKG(168)
Sector:
Industry:
Consumer Non-Durables
Beverages: Alcoholic
Full time employees: 43,066

Business summary

Tsingtao Brewery Co., Ltd. engages in the production and sale of beer and other related business. The company sells its products under the following brand: TASINGTAO. Tsingtao Brewery operates through the following segments: Shandong, Huanan, Huabei, Huadong, Dongnan, Hong Kong, Macau and Other Overseas, and Finance Company. The Shandong segment engages in the production and distribution of beer in Shandong region and surrounding regions. The Huanan segment engages in the production and distribution of beer in South China region. The Huabei segment engages in the production and distribution of beer in North China region. The Huadong segment engages in the production and distribution of beer in East China region. The Dongnan segment engages in the production and distribution of beer in Southeast China region. The Finance Company segment engages in the financial businesses of wealth management and agency collection and payment for its members. The company was founded on August 27, 1903 and is headquartered in Qingdao, China.

Company background

Tsingtao Brewery is China's second largest brewery after China Resources Enterprise in terms of sales. Its predecessor was founded in 1903 by the Anglo-German Brewery, which was established by German and British residents of Qingdao, Shandong Province. It has long been the top Chinese brewery along with Harbin Brewery Group.

As of the end of 2014, the company has about 60 production bases in 20 provinces and direct-controlled municipalities across China. Tsingtao Brewery now sells Tsingtao Beer in 90 countries and regions around the world, including the U.S., Japan and parts of Europe. Tsingtao Brewery became the first mainland Chinese company to be listed on an overseas exchange in 1993.

Tsingtao has a long-standing relationship with Japan. During the war, the company was under the umbrella of DaiNippon Beer, current Sapporo Breweries and Asahi Breweries. With some 19.99% stake in the company, Asahi Group Holdings provides technical assistance to the company and Asahi's plant in China produces Tsingtao beer as well as Asahi beer. Meanwhile, in 2013, the company set up 50-50 joint ventures with Suntory Holdings, one in production and one in sales, and integrated their business operations in Shanghai and neighboring Jiangsu Province. In 2015, Suntory decided to end the joint venture by selling its stakes to Tsingtao who continues producing Suntory beer under a licensing agreement.

In the news

Financial highlights

Dec 2015

  • Local currency
  • US Dollar
Revenue 31,582.39M
Gross profit 10,262.53M
Operating income 1,352.25M
Income before tax 2,811.57M
Net income 2,113.11M
EBITDA 2,541.03M
Diluted EPS 1.56
Dividends per share 0.46
Total assets 34,035.78M
Total liabilities 12,464.00M
Total equity 19,642.79M
Operating cash flow 3,670.51M

Currency in HKD

Revenue 4,073.79M
Gross profit 1,323.75M
Operating income 174.42M
Income before tax 362.66M
Net income 272.56M
EBITDA 327.76M
Diluted EPS 0.20
Dividends per share 0.05
Total assets 4,391.62M
Total liabilities 1,608.22M
Total equity 2,534.50M
Operating cash flow 473.45M

Currency in USD

Valuation measures

Dec 2015

PER 22.44
ROA 6.23%
ROE 10.87%
Operating margin 4.28%
Profit margin 6.69%

Key executive

  • President & Executive Director: Ke Xing Huang
  • Chief Financial Officer & Executive Director: Zhu Ming Yu
  • Executive Director, Head-Manufacturing & VP: Wei Fan
  • President-Marketing & Vice President: Rui Yong Wang
  • Member-Supervisory Board & Head-Law Affairs: Li Hong Sun

Share holders

  • Asahi Group Holdings Ltd.(41.2%)
  • Baillie Gifford & Co.(8.0%)
  • CHEN FA SHU(3.8%)
  • Genesis Investment Management LLP(2.6%)
  • Fidelity Management & Research Co.(2.5%)
  • JPMorgan Investment Management, Inc.(1.7%)
  • Qingdao State-Owned Assets Supervision & Administration(1.7%)
  • The Vanguard Group, Inc.(1.6%)
  • Wells Capital Management, Inc.(1.2%)
  • BlackRock Fund Advisors(1.0%)

Address

  • Website: http://www.tsingtao.com.cn
  • Address: Tsingtao Beer Tower, May Fourth Square, Hong Kong Main Rd, Qingdao, 266071, China
  • Phone: +86.532.8571.3831

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