China Feihe announces profit warning, share buyback plan

China Feihe Limited has issued a profit warning, anticipating revenue between CNY9.1 billion and CNY9.3 billion for the six months ended June 30, 2025, compared to CNY10.1 billion in the same period last year. Consolidated net profit is projected to be between CNY1.0 billion and CNY1.2 billion, down from CNY1.9 billion. The company attributes the decline to factors including corporate social responsibility initiatives, channel inventory adjustments, reduced government grants, and impairment provisions. Despite these challenges, the board intends to utilize a share repurchase plan with at least CNY1 billion in funds to repurchase shares until December 31, 2025, and expects to maintain total dividends of at least CNY2 billion for the year ending December 31, 2025. The company expects revenue to increase at a low single-digit for the year.