HK-listed Lee & Man Paper H1 net profit surges 75 pct on strong sales growth
HONLee & Man Paper Manufacturing Ltd said its first half to September net profit surged 75 pct to 718 mln hkd from a year ago on the back of expanded capacity and strong sales growth.
Turnover jumped 61 pct to 3.89 bln hkd from 2.42 bln during the same period last year.
The increase in turnover and net profit were mainly attributable to the significant increase in the company's production capacity and containerboard sales, the China-based paper maker said in a statement.
It added that the commercial operations of a newly installed production line over the duration of the period as well as the commencement of operations at another three production lines contributed to the improved results.
With the operation of the new production lines, the company's total annual containerboard capacity increased to 3.11 mln tons from 2.08 mln tons last year.
The company sold approximately 1.18 mln tons of containerboard and 58,000 tons of pulp during this period. It did not provide comparative figures.
Lee & Manhe said it is to install five more world-class paper production lines and two bleached hardwood kraft pulp production lines within the next 18 months, which will expand its annual pulp and paper capacity to 5.4 mln tons, making it one of the largest pulp and paper producers in the world.
It said it will extend geographic coverage with two paper production lines and two pulp mills, which are scheduled to start at its new production sites in Chongqing in 2008 and in Vietnam in 2009.
The company said it will continue to expand its containerboard capacity, both inside and outside of China.
At the close of the morning session, shares of Lee & Man were trading at 33.20 hkd, down 0.70 hkd or 2.06 pct.
HONLee & Man Paper Manufacturing Ltd said its first half to September net profit surged 75 pct to 718 mln hkd from a year ago on the back of expanded capacity and strong sales growth.
Turnover jumped 61 pct to 3.89 bln hkd from 2.42 bln during the same period last year.
The increase in turnover and net profit were mainly attributable to the significant increase in the company's production capacity and containerboard sales, the China-based paper maker said in a statement.
It added that the commercial operations of a newly installed production line over the duration of the period as well as the commencement of operations at another three production lines contributed to the improved results.
With the operation of the new production lines, the company's total annual containerboard capacity increased to 3.11 mln tons from 2.08 mln tons last year.
The company sold approximately 1.18 mln tons of containerboard and 58,000 tons of pulp during this period. It did not provide comparative figures.
Lee & Manhe said it is to install five more world-class paper production lines and two bleached hardwood kraft pulp production lines within the next 18 months, which will expand its annual pulp and paper capacity to 5.4 mln tons, making it one of the largest pulp and paper producers in the world.
It said it will extend geographic coverage with two paper production lines and two pulp mills, which are scheduled to start at its new production sites in Chongqing in 2008 and in Vietnam in 2009.
The company said it will continue to expand its containerboard capacity, both inside and outside of China.
At the close of the morning session, shares of Lee & Man were trading at 33.20 hkd, down 0.70 hkd or 2.06 pct.