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China State Shipbuilding net profit jumps 140%

(Xinhua)
Updated: 2008-03-18 17:22

China State Shipbuilding Co, the nation's biggest shipyard, said its 2007 net profit soared 140 percent as it increased production to meet rising demand for vessels and diesel engines.

Net income reached 2.92 billion yuan ($411.3 million) or 5.53 yuan per share last year, up from 1.22 billion yuan or 2.63 yuan per share in 2006, the Shanghai-based company said in a statement.

Sales rose 52.3 percent to 17.9 billion yuan last year after the state-owned company turned out 85 ships, with total carrying capacity of 6.55 million tons, the second largest output in the world.

Shipbuilding contributed to 70 percent of its revenues, diesel engine manufacturing 14 percent and ship repairs 11 percent.

Chinese shipbuilders received orders for vessels totaling about 100 million deadweight tonnage last year, 43 percent of the world total, the statement quoted data from the China Ship Marketing Research Center as saying.

China had "occupied the mainstream shipbuilding market" as one of the three largest ship manufacturers along with South Korea and Japan, it said.

China State Shipbuilding said 2008 sales were expected to rise 36.3 percent to 24.4 billion yuan as it planned to take orders worth 25.6 billion yuan.

The company would also increase shipbuilding efficiency, expand diesel engine production capacity and put new repair docks into operation this year.

China State Shipbuilding aims to become the number one shipbuilder in the world in 2012, with production capacity lifted to 14 million tons from the current 4 million tons, according to its website.


(For more biz stories, please visit Industry Updates)



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