announced a steep rise in its profits for the first half of the year, reports the Financial Times. Net profit for the six months to June 1993 grew by 83 per cent to HK$802.3m (US$103.6m) from HK$439.5 m a year earlier. The results included a maiden contribution from the company's 12 per cent stake in Hong Kong Telecommunications, purchased from China International for HK$10.4bn in January.
Operating profit more than doubled, to KH$503m, largely due to a strong trading performance from Dah Chong Hong (DCH). The company almost doubled car sales in China.
Contributions from associates rose from HK$314m to HK$495m, largely due to Hong Kong Telecom and Dragonair, which has benefited from a sharp rise in business air traffic between Hong Kong and China. Earnings from CITIC's 15 per cent stake in Cathay Pacific, however, suffered a 46 per cent drop. CITIC is negotiating to buy a 25 per cent stake in a power plant in Shanghai to add to its power project investments in Henan and Jiangsu provinces, and has also taken 25 per cent of a joint venture with Japanese manufacturer Isuzu to assemble trucks in Sichuan Province.