Guangnan (Holdings), the listed food-related investment arm of the Guangdong provincial government, posted 39.1 per cent growth in net profit to $301.8 million last year. The result, bolstered by a $17.3 million exceptional gain, was below market consensus forecast of a 54 per cent jump to $335 million, according to the April edition of The Estimate Directory. Turnover reached $8.15 billion, up 42.9 per cent. Earnings per share added 7.8 per cent to 41 cents. A final dividend of eight cents a share was announced, against 8.13 cents previously. The exceptional item represented a gain from the dilution of its investment in Global Food Culture Group, when it issued new shares for its initial public offering last year. Chairman Sun Guan said prudent strategies and astute management helped achieve growth in turnover and net profit last year despite the Asian financial turmoil, the avian flu and other adverse factors in the second half. He said the wholesale of fresh and live foodstuffs, in addition to retailing, helped improve profit margins. The agency for well-known brand products and the production and sales of the Guangnan food brand achieved good results. The supermarket business performed steadily despite the economic downturn, Mr Sun said. Farming and food processing provided significant profits, and the projects the company had invested in were gradually bringing in handsome returns. Mr Sun said the company was confident it could achieve even stronger performance this year, notwithstanding the prevailing economic uncertainty.