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Shares of Xinjiang Ba Yi Iron & Steel rise on surging profit

(Xinhua)
Updated: 2010-03-30 14:28
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BEIJING - Shares of Xinjiang Ba Yi Iron & Steel Co, Ltd rose 1.43 percent to 14.2 yuan ($2.08) at midday on its announcement of surging profits in 2009.

Its profits climbed 40.3 percent from 2008 to 78.34 million yuan, while revenue went down by 17.88 percent to 16.45 billion yuan, said the company in a statement filed to the Shanghai Stock Exchange on Tuesday.

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Shrinking overseas demand, rising trade protectionism and increasing competition were responsible for the fall in revenue, said the statement.

The company attributed its healthy profit to a favorable policy environment created by the government to counter the effect of the global economic downturn.

The growing profits also stemmed from the adoption of advanced technologies and management, strengthened cost control measures and improved product structure, according to the statement.