Chia Hsin Cement Greater China Holding Corp reported a near-doubling in net profit last year. The cement maker reported net profit of US$19.0m in the 12 months ended Dec. 31, 2003, up from US$10.3m a year earlier. Revenue jumped to US$78.0m from US$67.8m in 2002. Earnings per share nearly doubled to 2.08 US cents. The 2003 profit figure is far better than the company forecast late last year, when it was preparing what would become one of Hong Kong’s most popular initial public offerings during a period of hot offerings. Last December, Chia Hsin Cement’s listing prospectus said it expected to record US$15.2m in after-tax profit before extraordinary items.
When Chia Hsin made its debut on the Hong Kong stock exchange’s main board, its shares soared 44% in the first moments of trading from their HK$1.48 IPO price. They closed up 47% that day at HK$2.175. As share trading resumed Monday following the midday break, Chia Hsin Cement shares were up 3.3% at HK$2.025 apiece.
The company is controlled by Taiwan-listed Chia Hsin Cement Corp whose 69.7%-owned Chia Hsin Pacific Ltd. holds a 74% stake in Hong Kong-listed Chia Hsin Cement.