China Silver Group is planning to expand annual production capacity of silver ingots 60 per cent to 400 tonnes by the end of this year, from a current 250 tonnes a year.
The company's chief financial officer, Matthew Moy, said: "Silver is a special kind of commodity. There will be customers buying it as long as you can produce it."
He said the company would be able to produce, and thus sell, more than 300 tonnes of silver ingots in 2013. It sold 211 tonnes of silver ingots in the last year.
The refiner plans to continue increase its production capacity to 550 tonnes a year by 2014, and to 650 tonnes the following year. It is also looking for merger and acquisition opportunities. Chief executive Chen Wantian said the company was interested in opportunities that could secure raw materials to increase production.
China Silver reported a rise of 56.5 per cent in revenue to 1.54 billion yuan in 2012, from 984 million yuan the previous year, thanks to big increases in sales of silver ingots, which accounted for three quarters of total revenue.
Net profit rose 36.7 per cent to 158 million yuan last year from 115 million yuan. Net profit margins fell to 10.2 per cent from 11.7 per cent in 2011. China Silver, which went public in Hong Kong in December, said the drop was due to one-off listing expenses. The adjusted net profit margin was 11.9 per cent.