Instant Noodles Remain a Near-Term Drag On Tingyi’s Top-Line Growth

Tingyi is a leading packaged food and beverage producer in China, with the number-one market share in instant noodles and ready-to-drink tea. Apart from its own "Master Kong" brand, the company also sells and distributes PepsiCo’s carbonated soft drinks and Gatorade in China. Tingyi’s portfolio primarily targets the mass market of convenience food and RTD beverages. Through its widespread point-of-sale coverage in the country, the company profits from economies of scale enabled by its nationwide distributors (80% of total sales).