Chinese food maker Tingyi Q2 profit surges as sales up

HONG KONG, Aug 21 (Reuters) - Chinese food and beverage maker Tingyi (Cayman Islands) Holding Corp on Monday posted a more than three-fold jump in quarterly net profit thanks to solid noodle sales and as its beverage business benefited from warm weather.

Tingyi, owner of the Master Kong brand, said profit rose 246 percent to 266.70 million yuan ($39.98 million) in the three months through June, slightly above the $38 million forecast by Reuters SmartEstimate. That compared to 77.04 million yuan in the same period a year earlier.

Revenue increased 4.7 percent to 14.37 billion yuan during the quarter.

Tinyi said it was optimistic about the prospects for the China market despite a slowing economy and rising material costs.

"We would introduce multi-price strategy to meet with the rise of middle class consumption trends, and to further optimise our product in order to maintain an effective revenue management," Chairman Wei Ing-Chou said in a filing to the Hong Kong stock exchange.

Tingyi said it would introduce different products to meet consumer demands and would optimise product mix to deal with rising materials costs.

The results followed a 15.3 percent rise in January to March profit in its best quarterly performance in nearly three years that was helped by healthy sales of its mainstay products.

For the first-half, Tingyi said profit rose 54.6 percent to 700.2 million yuan, while revenue rose 4.2 percent to 28.42 billion yuan.

Hong Kong-listed Tingyi is the Chinese partner of Starbucks Corp for ready-to-drink coffee and PepsiCo Inc for fruit juice.

Earlier this month, smaller rival Uni-President China Holdings Ltd posted a 26.5 percent fall in first-half net profit amid fierce competition

Shares of Tingyi edged up 0.5 percent ahead of the results. ($1 = 6.6704 Chinese yuan renminbi) (Reporting by Donny Kwok; Editing by Michael Perry)