China Hongqiao Group Ltd., the nation’s biggest producer of aluminum products, said first-half profit rose 33 percent as it expanded output and benefited from falling raw-material costs.
Net income rose 33 percent to 2.72 billion yuan ($425.2 million) in the six months ended June 30, the company said in a statement Friday. Hongqiao had said in June that it expected a significant gain in first-half profit.
Production volume and sales volume of its aluminum products increased with the expansion of its output capacity, while the average sales price remained stable year-on-year, the company said.
Hongqiao has surpassed Aluminum Corp. of China Ltd., or Chalco, as China’s biggest aluminum smelter and vies with United Co. Rusal as the world’s largest. Both Chalco and Rusal reported weaker second-quarter earnings this week amid a glut while prices languished near six-year lows.
— With assistance by Alfred Cang, and Lisa Pham