However, regulation of infant formula in China is toughening, with a2 having to re-register recently - a process that Bortolussi says took competitors out of the market.
“It is a fiercely competitive market in China.
“Our market position now is that we are probably about a number seven or eight player in the market.”
Bortolussi wants to see it in the top three - but that won’t be easy given it’s up against global and local giants Nestlé, Danone, Feihe and Yili.
Once a market darling, a2 Milk’s valuation is one quarter of what it was in 2020, now priced slightly above $4 a share with a market capitalisation of about $3 billion.
The company pioneered the a2 protein cow’s milk variant in fresh liquid and infant formula forms. Innovations to that degree have been lacking since.
“We need to expand.”
Watch Bortolussi discuss what it’s working on and his hopes for geopolitical tensions globally in today’s episode of Markets with Madison above.
Get investment insights from the experts on Markets with Madison every Monday and Friday on the NZ Herald.
Disclaimer: The information provided in this programme is of a general nature, and is not intended to be personalised financial advice. We encourage you to seek appropriate advice from a qualified professional to suit your individual circumstances.
Madison Reidy is the host of New Zealand’s only financial markets show Markets with Madison. She joined the Herald in 2022 after working in investment, and has covered business and economics for television and radio broadcasters.
