Shares in Hong Kong-listed Air China shot up 18% to a record high of HK$7.27 (US$0.93) on Wednesday following an announcement that first-half net profit for 2007 would be 20 times higher than a year earlier. Air China's Shanghai-listed shares closed up 6.9% at RMB12.02 (US$1.59). The carrier said its strong financials were driven by growing demand, renminbi appreciation and returns on unspecified investments, the Wall Street Journal reported. However, analysts stressed that the profit projection looks quite different when calculated according to international accounting standards rather than Chinese ones. The two standards account differently for aircraft purchases and depreciation charges, which can be substantial. Under international standards, profit has only doubled over last year. Nevertheless, analysts were generally bullish about Air China's prospects, describing it as the strongest of China's three state-run airlines and talking of passenger growth in the run-up to the Olympics. Other positive earnings reports, in addition to Air China's, sent the Shanghai Composite Index up 2.7% to 4,323.97 and back into record-level territory.