Garden Tips
Yili establishes a new company in Heilongjiang
According to Qichacha APP, Heilongjiang Jinhan Yili Dairy Co., Ltd. was recently established with a registered capital of 20 million yuan.Its business scope includes: sales of mechanical parts and components; sales of mechanical equipment; and leasing of mechanical equipment.Equity penetration data from Qichacha shows that the company is wholly owned by Yili Industrial Group Co., Ltd.
Notably, in January 2026, Yili founded Inner Mongolia Jinhan Yili Dairy Co., Ltd. in Inner Mongolia, with Duan Huibin serving as its legal representative. The company has a registered capital of 20 million yuan, and its business scope covers food sales, food additive production, food manufacturing, and other related businesses.
In addition, in mid-December 2025, Yili set up five wholly-owned investment subsidiaries in Inner Mongolia, namely Yonghao Investment, Yuchao Investment, Taiwei Investment, Longzhuo Investment and Hongteng Investment, with a total subscribed capital contribution reaching 667 million yuan.
At the earnings briefing held on April 30th, Pan Gang stated, "The toughest time for the industry is behind us."Yili Industrial Group delivered solid annual results with year-on-year growth in both revenue and net profit, and its core operating profit margin exceeded market expectations. The company honored its commitments by adhering to the principle of matching words with deeds.Yili noted that it has fully fulfilled the net profit margin target of 9%–10% promised to investors back in 2021.The year 2026 marks the starting point of Yili’s new five-year strategy. In the first quarter, the company hit record highs in both operating revenue and deducted non-recurring net profit attributable to parent company, achieving a strong start to the year.
Pan Gang, Chairman and President of Yili Group, commented that 2025 marked the conclusion of the previous five-year strategic cycle. Driven by three major pillars — continuous optimization of product mix, refined cost control, and improved operational efficiency across the industrial chain — the company achieved breakthrough growth in profitability.The decline in raw milk costs provided strong support. Meanwhile, Yili optimized its expense structure and adopted digital tools to boost resource utilization efficiency, bringing down both the absolute amount and ratio of sales expenses. Coupled with a higher proportion of high-margin businesses such as milk powder and cold drinks, these factors jointly pushed the profit margin above expectations.
When talking about the dairy cycle and raw milk price volatility that have plagued the industry for years, Pan Gang pointed out that upstream pastures have continued capacity reduction. The cattle inventory dropped by about 200,000 to 300,000 head in 2025, and the culling of replacement heifers accelerated further in Q1 2026, improving the industry’s supply-demand balance.
"The hardest days for the dairy industry are over," Pan Gang remarked.
Yili is a dairy product production and processing enterprise founded in June 1993 and headquartered in Hohhot, Inner Mongolia Autonomous Region. It ranks among the top five dairy companies worldwide.
Yili Group is mainly engaged in the production and sales of a full range of dairy products and healthy beverages, covering major product lines including liquid milk, dairy beverages, milk powder, yogurt, frozen drinks, cheese, milk fat, and packaged drinking water. Its products are primarily sold across the domestic market, with selected items exported overseas.
In 2025, the company achieved a total operating revenue of 115.931 billion yuan and a net profit attributable to parent company of 11.565 billion yuan, representing a year-on-year increase of 36.82%.With a forward-looking and balanced business portfolio, Yili has reshaped the growth logic of the dairy industry. It stands out as the only comprehensive dairy enterprise to register double growth in both revenue and profit, further consolidating its unrivaled leading position as the absolute frontrunner of China’s dairy sector.
Yili’s across-the-board leadership in all product categories did not come overnight. It is the fruit of long-term consumer-centric development and continuous in-depth efforts in quality, brand building, distribution channels, and innovation.
Especially in liquid milk — its core business foundation — Chairman Pan Gang took the lead in the industry to vigorously advance the national layout of liquid milk, implement divisional system reform, and build a comprehensive quality system, laying a solid foundation for the company’s long-term industry leadership.
From a single cup of milk to diversified product categories, and further to high-quality targeted nutritional supply, every breakthrough stems from the corporate mission of pursuing a healthier and better life. Whatever consumers need will always be the direction Yili strives toward.
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