CITIC Guoan H1 Operating Income up 19%      

CITIC Guoan Information Industry Co., Ltd. (SZ: 000839) reported an operating revenue of RMB956 million in the first half, up 19.02% from a year earlier. Net profit surged 83.5% to RMB212 million, or RMB0.37 per share, the company revealed on August 21st.
   The strong H1 results were mainly driven by the cable TV business and its salt lake resource development segment.
   The salt lake resource business had an operating income of RMB378 million in the reporting period, up 71.33% over a year earlier. Net income jumped 83.62% to RMB180 million.
   In its potash fertilizer unit, the company's potassium-magnesium sulfate, from Qinghai factory, has posted strong performance in both production and sales as the product, featuring environmental friendly and good quality, has won a good market reputation. The company also built a 100 000 t/a potassium chloride plant to fully utilize resource, which has been contributing good economic benefits.
   The company has also upgraded technology for its lithium carbonate line to improve manufacturing capability and optimize manufacturing process. At present, the line is in stable condition, with monthly capacity reaching about 500 tons, and annual capacity of more than 5 000 tons, making it one of the nation's largest. The line is in continuous and stable operation.
   In other businesses, the company is boosting spending in research and development for magnesium oxide and boric acid production, and extending industry chains for lithium, magnesium and boron resources in salt lake. The company also boosted research in the deep-processing of products and downstream products, in an effort to create a diversified product portfolio.
   The company's big scale production comprehensive utilization strategy has given its products an advantage in costs, enabling the company to maintain better profit margin and competitiveness in the face of price fluctuation in domestic and foreign markets, CITIC Guoan said.