Shenzhen North Jianshe Motorcycle Co, China's second-largest motorcycle maker, saw its interim profits tumble 64.9 per cent to 48.3 million yuan (about HK$44.93 million) in a price war and warned of difficult times ahead.
The Shenzhen B share counter said it had scaled down its full-year production and sales forecast due to a 'significant change in the motorcycle market'.
It said it had trimmed 26.2 per cent of annual production from 950,000 motorcycles to 700,977, and annual sales by 16.3 per cent from 2.97 billion yuan to 2.48 billion yuan.
First-half sales fell 32.9 per cent to 1.12 billion yuan, from 1.67 billion yuan a year earlier, even though prices had been cut 10 per cent.
About 287,612 motorcycles had been produced in the first six months.
Earnings per share were 0.1 yuan, compared with 0.29 yuan in the last corresponding period.
