(Yicai Global) Aug. 24 -- Want Want China Holdings Ltd. [HKG:0151], China's largest maker of rice cakes and flavored milk, saw turnover decrease again in the first half after three straight years of decline.

The company reported gross revenue of CNY9.37 billion (USD1.4 billion) in the first six months, down 3.7 percent annually, while net profit attributable to shareholders fell 14.5 percent to CNY1.5 billion (USD224 million).

Income from its key rice cracker business declined 5.7 percent from a year earlier, and revenues deriving from dairy beverages dropped 3.1 percent.

Want Want China attributes the continuous decline in performance to this year's Spring Festival falling earlier in the calendar compared to last year. This led to its sales season starting at the end of 2016 rather than 2017, which adversely affected sales in the first quarter. Rising costs also led to lower income.

However, the underperformance of new products and a lack of innovative ideas for older products have also led to decline in recent years, insiders said. Growth stemming from traditional distribution channels is slowing and the company doesn't have enough products suitable for new channels, such as convenient stores.