China industrial profits rebound

Profits at Chinese industrial corporations increased 7.8% year-on-year to RMB464.3 billion (US$74.3 billion) in September, the first gain in six months, Bloomberg reported, citing data from the National Bureau of Statistics. September’s increase is a reversal from August’s decline of 6.2% year-on-year, the biggest drop this year. In the first nine months of the year, industrial companies recorded a profit decline of 1.8% to RMB3.5 trillion, compared with an increase of 27% in the same period last year. Revenue during the first three quarters gained 10.2% to RMB65.7 trillion as industrial companies’ sales grew 29.6%. The figures are another indicator that economic growth could be rebounding, following on earlier signs including increases in industrial production and retail sales in September and a rise in a preliminary purchasing managers’ index reading in October.