Shandong Xinhua Pharmaceutical Co said yesterday that attributable profit rose a better than expected 133 per cent to 96.77 million yuan (about HK$89.89 million) last year helped by lower purchase costs for raw materials. Turnover climbed 18 per cent to 842.2 million yuan, while earnings per share rose from 15.5 fen to 36.1 fen. Shandong Xinhua, engaged in the development and manufacture of pharmaceuticals and medical preparations, said the growth in turnover came from increased production and larger market share. The overall gross profit margin of the company's products was 25 per cent last year, a rise of 7 per cent over 1995. Shandong Xinhua listed in Hong Kong in January by offering 150 million H shares via public offering and private placing. The net proceeds of the listing were 246.25 million yuan, of which the company said only 70 million yuan has been spent to upgrade technology and repay loans. The directors proposed a final dividend of 1.07 fen per H share.