Master Kong has announced its results for the first quarter of 2008.
According to the results, although the prices of raw materials had increased over the first three months of the year, the company's gross profit still increased to 32.4% and the net profit was USD65.1 million, an increase of more than 30% over the same period last year.
Instant noodles were the biggest contributor to the profit of the company. In the first quarter of 2008, the business volume of Master Kong was USD969 million, increasing by 44%. Of which, USD525 million was made by the company's instant noodles sector.
In the first quarter of 2008, the price of palm oil, the major raw material for instant noodles, increased by 67.08% compared with the same period of 2007. However, the company maintained a good development by launching high-price instant noodles in the China market and adjusting its product structure.
During the Sichuan earthquake, Master Kong's factory in Meishan, which focuses on cheap instant noodles, was affected and was out of production for a week.