News blog

Taihua

• BY: Andrew Hore |
• POSTED: 29/07/2014 |

Chinese traditional medicines and ingredients supplier Taihua says that it intends to start producing processed forsythia in the next three years. 

Taihua currently produces unprocessed forsythia for medicines but the price is much lower than for processed. However, in order to gain regulatory approval for processing it will cost £1m.

Greater forsythia sales were behind the recovery in revenues from RMB39.2m to RMB52.3m in 2013, while pre-tax profit improved from RMB2.9m to RMB3.3m.

A frost could hit forsythia production this year but it is too early to assess how the harvest will be affected.

Taihua is talking to additional distributors for its Chinese traditional medicines where sales have been in decline. Revenues have more than halved since 2011.

At 3.25p a share, Taihua is valued at £2.66m.

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