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CSIC posts 18.5% increase in profit in 2009

Updated: 2010-01-25 11:55
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One of China's two leading State-owned shipbuilders, China Shipbuilding Industry Corporation (CSIC), said Sunday that its profit in 2009 jumped 18.5 percent to 7.39 billion yuan ($1.1 billion).

The Beijing-based conglomerate, which consists nearly 50 industrial subsidiaries and about 30 R&D institutes in northern China, also said its operating income rose 17 percent in 2009 to 120.9 billion yuan.

General Manager Li Changyin said the CSIC had overcome the impact of the global financial crisis, which crippled the global sea-based trade and brought down ship orders.

Li said technological innovations had enabled the CSIC to build 180,000-DWT (deadweight tonnage) bulkers, 320,000-DWT oil tankers, 13,000-TEU containers as well as new types of drilling platform which can be used in water depths up to 400 feet (120 m).

According to Li, CSIC had also been actively engaged in non-ship businesses including manufacturing of wind power and nuclear power equipment, accounting for 40 percent of the CSIC's business volume.

Li said the CSIC profit target for 2010 was 8 billion yuan. The operating income was expected to surpass 140 billion yuan and the CSIC output in 2010 was likely to break 10 million DWTs,he added.

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The CSIC, which has more than 140,000 staff, launched an initial public share offering at the Shanghai Stock Exchange in December 2009 and raised some 6.4 billion yuan.

The CSIC's main shipbuilding and industrial enterprises are based in cities of Dalian, Qingdao, Tianjin, Shanhaiguan and Wuchang.

The other major shipbuilding conglomerate in China -- the China State Shipbuilding Corporation (CSSC) is based in Shanghai, whose turf is mainly in eastern and southern China.