The hidden champion of the functional sugar industry is growing

Invisible champion of functional sugar industry with more than 20 years of deep cultivation

Founded in 1997, Baolingbao has always focused on modern bioengineering technologies such as enzyme engineering and fermentation engineering. It is a leading company in the domestic functional sugar industry. It is engaged in the research and development, manufacturing and solution services of functional sugar. It is Coca-Cola, Pepsi, Yili, Mengniu Strategic partners of other well-known companies are important global functional ingredients manufacturing service providers.
 

Baolingbao is currently the only full-category functional sugar product manufacturer and service provider in the domestic market. It has the core technology of functional sugar and the advantages of the entire industry chain, providing a comprehensive range of functional oligosaccharides, functional dietary fibers, and functional sugar alcohols. Health products and services, products are widely used in health food, functional beverages, medicine, non-resistant feed and other fields.


Industry Trends

In the general trend of sugar reduction, Vitality Forest holds red erythritol. With the general trend of sugar-free and low-sugar, food and beverage manufacturers have followed this trend and launched sugar-reducing products one after another, as a selling point to attract consumers.

In 2016, Genki Forest was born, with the "sugar-free" product concept all the way counterattack, by the first half of this year, the sales exceeded 800 million. And one of the secrets of Yuanqi Forest's popularity is the use of erythritol as a sugar substitute sweetener. Driven by the vitality forest, many manufacturers have introduced erythritol-added beverages, benefiting from this domestic erythritol industry is expected to usher in rapid growth.

In 2018, domestic erythritol production reached 28,700 tons, an increase of 59.4% year-on-year. Under the general trend of sugar reduction, assuming that erythritol replaces 5% of the sugar market in the future, the domestic potential demand space is expected to reach 800,000 tons.


Company core advantage

Provide comprehensive solutions for downstream customers based on R&D and product advantages. As a leader in the functional sugar industry, the company's core advantages stem from three aspects:

1) R&D and innovation advantages: The company has independent intellectual property rights for key functional sugar technologies. The company has participated in the formulation of more than 20 industry standards, including one international standard, and has the right to speak in the industry. The company is a national high-tech enterprise, with a national enterprise technology center, a national sugar engineering technology research sub-center, and a national and local joint engineering laboratory.

2) Full industry chain advantage: The company is currently the only full-category functional sugar product manufacturing service provider in the domestic market, and can provide customers with a wealth of comprehensive solutions.

3) Brand and market advantages: The company has continued to strengthen its key account marketing and program marketing capabilities over the years, and tailor-made solutions for customers. Strategic customers include Coca-Cola, Pepsi, Yili, Mengniu and other famous companies.

On August 21, Baolingbao recently released its 2020 semi-annual report. As of June 30, 2020, the company achieved operating income of 1,016,516,605.44 yuan in the first half of 2020, a year-on-year increase of 17.24%; net profit attributable to shareholders of listed companies was 43,393,357.49 Yuan, an increase of 78.21% year-on-year.

As of June 30, 2020, the total assets of the company at the end of the reporting period were RMB 2,573,107,646.35, an increase of 2.16% from the beginning of the period; the net assets attributable to shareholders of the listed company were RMB 1,599,828,536.49, an increase of 2.10% from the beginning of the period.

During the reporting period, the company focused on market demand, driven by the global low-sugar and sugar-reduction trend, and the influence of the hot sales of domestic sugar-free and low-sugar beverages represented by Yuanqi Forest, the company’s erythritol is natural, zero-calorie, and non- Participating in blood glucose metabolism, high tolerance and stable acid and heat performance, etc., it has received high attention from the market. Product sales have maintained rapid growth for many years. In the first half of the year, the company continued to increase technological innovation and promote a number of production technologies Upgrade, focusing on the implementation of the erythritol technological transformation and expansion project, on the basis of the increase in production capacity, to further improve quality and reduce costs; to implement process improvements to crystalline fructose, oligosaccharide galactose, etc., and actively promote allulose Such as the development and transformation of new products; accelerating the construction and innovation of digital factories, leading the industry in terms of numerical control, barcode and intelligent control, and improving the management efficiency of the enterprise.