Industrial companies' profits in China continued to rise in September

According to data from the National Bureau of Statistics (NBS), the total profits of industrial enterprises with an annual turnover of over 20 million yuan (2.73 million dollars) continued to show double-digit growth this month.

The profits of industrial companies had recorded a 17.2 percent increase in August, following a 8.3 percent decrease in June and a 6.7 percent decrease in July.

Total profitability increased by 7.7 percent in the third quarter, marking the first quarterly increase this year.

On the other hand, profitability decreased by 9 percent in the 9-month period compared to last year, continuing the general downward trend for this year.

NBS statistician Yu Weining assessed that a steady recovery in industrial production has been observed as policies supporting growth have begun to show their effect since last month, and that this has been reflected in profitability.

Yu stated that support policies have stimulated domestic market demand and related manufacturing production, emphasizing the need to expand domestic demand, increase market confidence, stabilize business expectations, and promote new industrialization.

In China, the profits of industrial enterprises had decreased by 21.4 percent in the first quarter and 16.8 percent in the second quarter compared to the same period last year.

REVENUES AND PROFITS OF STATE-OWNED ENTERPRISES INCREASED

On the other hand, it was reported that the revenues and profits of companies owned by central and local governments increased in the first 9 months of the year.

According to the statement made by the Ministry of Finance, the total revenues of public companies reached 61.9 trillion yuan (approximately 8.6 trillion dollars) in January-September 2023.

In the 9-month period, the operating revenues of the companies recorded an annual increase of 3.9 percent, while their profits increased by 4.3 percent; the debt-to-asset ratio was 64.8 percent as of the end of September.

News Source: 12punto