Tianjin Bohai up 71pc
TIANJIN Bohai Chemical Industry (Group) Co has posted a 71.8 per cent jump to 144.74 million yuan (about HK$132.73 million) from 84.24 million yuan in its year-end profit, helped by an improvement in product sales, exchange gains and reduced tax charges.
Operating profit after exceptional gains of 2.55 million yuan rose 42 per cent to 172.56 million yuan from 121.55 million yuan.
In 1993, the company had exceptional losses of 26.7 million yuan.
The exceptional items last year included a loss of about 4.75 million yuan from the remittance of net proceeds of H shares issued in May, exchange gains of about 7.3 million on translation of foreign currency loans and the accrued interest at exchange rates quoted by the People's Bank of China at the year-end.
The decline in the tax rate to 15 from 33 per cent on the mainland cut the company's tax charges by 9.5 million yuan to 27.82 million yuan.
Earnings per share were 13 fen, compared with nine fen in 1993.
Directors declared a final dividend of six fen per share.
Chairman Xiang Bopeng said the company had recorded stable sales of its main chemical products.
Despite facing an increase in costs of major raw materials, together with higher wages for workers, the company was able to capitalise on the mainland government's relaxation of control over the pricing of chemical goods and increase the price of its products.
The company is considering offering 68.98 million new A shares, as proposed last year, depending on stock market sentiment on the mainland.
