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Shanghai-listed companies generated a total of 24.77 trillion yuan of revenue in the first half of the year and a net profit of 2.33 trillion yuan, rising by 9% and 6%, respectively, from the same period last year, according to a report released by the Shanghai Stock Exchange about public companies’ first-half performance.
By quarters, the companies’ first-quarter revenue and net profit grew by 12% and 7% from a year earlier and second-quarter revenue and net profit both grew by 6% on year, showed the report.
In the first half, about 90% of Shanghai-listed firms recorded profit, with over 30% achieving positive growth in both revenue and net profit, though the divergence between upstream and downstream sectors remained, according to the report.
Upstream industries maintained strong momentum and as commodity prices remained elevated in the first half, revenue of oil, coal and non-ferrous metal industries grew by 34%, 26% and 14%, respectively, and profit surged by 60%, 105% and 89%, according to the report, adding that the strong growth came despite the high comparison base last year.
Since the second quarter of the year, oil prices and coal prices have stayed at high levels, but prices of non-ferrous metals such as copper and aluminium have declined significantly, and the growth of non-ferrous metal smelting industry’s second-quarter revenue and profit slowed by 12 percentage points and 19 percentage points, respectively, from the previous quarter, according to the report.
Due to the government’s policy to ensure coal supply and stabilize coal prices, China’s coal-fired power generators saw profit recover gradually, making a profit of 3.5 billion yuan in the first half, compared to a net loss in the second half of 2021, said the bourse.
Down-stream industries remained under pressure, with profits in the automobile manufacturing, real estate and cultural and entertainment industries sliding 30%, 34% and 17%, respectively, from a year earlier, and the catering industries slipped into losses, showed the report.
Companies listed on the tech-focused Shanghai bourse’s Star Market made a total of 519.5 billion yuan in revenue in the first half of the year, an increase of 33% from a year earlier, and net profit amounted to 58.56 billion yuan, a rise of 20% from the same period last year, according to the report.
More than 70% of the companies listed on the board saw first-half revenue grow from a year earlier, with 85 companies’ revenue surging by more than 50% and 31 companies’ revenue jumping more than 100%.
More than half of the companies on the board post positive year-on-year growth in first-half net profit, with 107 firms seeing net profit surging more than 50% and over 10% of the companies seeing net profit surge more than 100%, the report showed.