Huaxin Cement Co, Ltd about CNY450m profits in 2007, surging 94.26% YoY, and gained operating revenue of CNY 4.77bn, hiking 34.04 per cent, thanks to the rising cement price and help from strategic partner Holchin BV.
Though price rise in coal and electric power padded up costs, the average selling price of Huaxin Cement grew CNY16.55/t from a year earlier, and thus the gross profit margin inched up. According to its annual results, the earnings per share in 2007 hit CNY0.88, leaping around 90%.
Holchin, who is the controlling shareholder of Huaxin Cement with a near 40% stake, not only brought fund to the Chinese company, but also helped in management, technology, human resource, training and financial issues.
Holchin is a wholly owned subsidiary of Holcim Ltd.