Top SOEs post profit hikes

The country's key state-owned enterprises (SOEs) posted solid growth in the first half of 2006, partly due to newfound energy efficiencies, state media reported. The country's 166 biggest SOEs, directly supervised by the central government, posted profits of US$43.96 billion, a 16% increase from the first half of 2005. Sales revenues climbed 20.6%. The State-owned Assets Supervision and Administration Commission (SASAC) said the higher profits were largely driven by growth in coal, oil and power production in the face of growing energy demands. The country's five major power companies, for example, produced 12.5% more electricity than a year ago. A closer focus on structural upgrades and better allocation of resources and cost controls also contributed to growth.