Shanghai Tonva's Turnover for 1H 2013 Increased Sharply by 45%

Tuesday, 3 September 2013, 16:40 HKT/SGT

Further Growth to be Expected in 2H

HONG KONG, Sept 3, 2013 - (ACN Newswire) - As affected by the slowdown of macro economic growth and turbulent international economic environment, the development of domestic infrastructure and petrochemical sectors witnessed a downturn as a whole. However, according to the recently announced interim results of Shanghai Tonva, notwithstanding the overall sluggish market conditions in the first half of 2013, the Group still registered significant growth in its turnover, which amounted to RMB 2.82billion, representing an increase of 45.5% over the same period of last year, with interim dividend declared of RMB0.025 per share.

Optimization of internal resource brought new round growth
As a leading domestic road and bridge construction service and petrochemical product supply chain provider, Shanghai Tonva proactively proceeded main business expansion and optimization and integration of internal resources to against the predicament of the market downturn. During the first half year of 2013, the Group's cash flows condition were further improved as a result of a substantial decline in the liabilities of the Company's road and bridge business, which achieved decent bid-winning results in Anhui and other regions and is expected to contribute impressive profits to the Group.

For the first half of 2013, the Company recorded a sharp increase in turnover of petrochemical product supply chain service business. Of which, prominent performance was seen in fuel oil trading business, the turnover of that amounted to RMB2.29billion, representing an increase of 63.0% year on year. Currently, in respect of petrochemical product supply chain service business, the Group has established all-round footholds in various regions, including Shanghai, Jiangsu, Jiangxi, Anhui, Zhejiang, Hubei and Henan. Confronted with the monopoly position held by large-scale central state-owned enterprises in the industry, by virtue of unique "one-stop" fuel oil service model and diverse oil varieties, the Group had successfully consolidated its market position by catering customers' demands.

Resources advantages will further enhance competitiveness
During the media conference held last week, the management of Shanghai Tonva predicated that China's macro economy would continue "stable growth" momentum in the second half of 2013, and expressed that the Company would focus on further integrating and optimizing its existing resources in the second half. By fully leveraging the Company's profound experience in road and bridge construction business and product superiority in petrochemical product supply chain service business, the Group aims to boost its overall growth and steadily build up market competitiveness. Benefited from its substantial growth in business, the Group's current share price has maintained a firm rising trend, which deserves investors' confidence.

Topic: Press release summary Sectors: Daily Finance, Daily News
https://www.acnnewswire.com
From the Asia Corporate News Network