China National Materials' H1 net profit hits RMB 308.88 mln

Sep. 21, 2009 (China Knowledge) - China National Material Co Ltd<1893>, a subsidiary under the state-owned China National Material Group Corporation, posted RMB 309 million of net profit in the first half of this year, representing a slight increase of 1.46% year on year, sources reported.

The company, also known as Sinoma, recorded about RMB 12.52 billion of turnover in H1 2009, up 8.5% from a year earlier. Its basic earnings per share stood at RMB 0.086 during the period, compared with RMB 0.085 it made in H1 2008.

In the first half of this year, Sinoma sold 9.14 million tons of cement and 1.61 million tons of clinker, representing a year-on-year growth of 52.07% and 56.24%, respectively. Sales revenue generated from the two businesses was RMB 3.18 billion during the period, up 19.68% from a year ago.

Net profit from the cement business is expected to grow more than 30% in the second half of this year due to the recovering real estate market in eastern China, said Zhou Yuxian, president of Sinoma, adding that the cement price in Northwest China increased RMB 30 per ton in the recent two months and the price peak is likely to come in the next month.

In addition, Sinoma will further expand its overseas market and secure more new contracts with a target of over RMB 25 billion for the year, according to the company's statement.