Ansteel's net profit up by above 500% in H1
2017-08-30 17:22:39 [Print]
According to the semi-annual performance report published by Ansteel on the evening of 28 August, the company achieved the operating income of RMB39.057 billion in H1 of 2017, up by 53.59% YOY; the net profit attributable to shareholders of listed company was RMB1.823 billion, up by 507.67% YOY; the basic EPS was RMB0.252, up by 514.63% compared with the same period of last year.
The company grasped the favorable opportunity of rebounding steel markets in H1 of 2017 to fully implement market-oriented operation projects, continuously optimize product structure and deeply dig internal potential, which promoted the operating performance substantially.
The company enhanced the marketing effort on major products and continuously promoted sales of products such as heavy rail, color-coated sheet, automobile steel and silicon steel, leading to noticeably improved product structure and product index. Particularly, contract sales of automobile steel broke through 630,000t, recording a historical high of the same period and up by above 16% YOY, outclassing the rise of 4.64% in the auto industry in H1, and the market share improved to 15.2%.
Chinese government comprehensively deepens the supply-side reform in 2017 and has completed 84% of the de-capacity task of 50 million tons of this year after accomplishing the de-capacity task of 65 million tons in 2016. Meanwhile, nearly 120 million tons of low-quality steel products had been eliminated till 30 June. The intensified implementation of these two policies increased the concentration ratio of steel industry and overcapacity has basically been swept away, which pushed prices for steel products headed by rebar to pick up considerably under the market condition of relatively tight supply.
The company grasped the favorable opportunity of rebounding steel markets in H1 of 2017 to fully implement market-oriented operation projects, continuously optimize product structure and deeply dig internal potential, which promoted the operating performance substantially.
The company enhanced the marketing effort on major products and continuously promoted sales of products such as heavy rail, color-coated sheet, automobile steel and silicon steel, leading to noticeably improved product structure and product index. Particularly, contract sales of automobile steel broke through 630,000t, recording a historical high of the same period and up by above 16% YOY, outclassing the rise of 4.64% in the auto industry in H1, and the market share improved to 15.2%.
Chinese government comprehensively deepens the supply-side reform in 2017 and has completed 84% of the de-capacity task of 50 million tons of this year after accomplishing the de-capacity task of 65 million tons in 2016. Meanwhile, nearly 120 million tons of low-quality steel products had been eliminated till 30 June. The intensified implementation of these two policies increased the concentration ratio of steel industry and overcapacity has basically been swept away, which pushed prices for steel products headed by rebar to pick up considerably under the market condition of relatively tight supply.
