CSSC expects sales growth of 36% in 2008

China State Shipbuilding Co<600150> (CSSC), the country's largest shipbuilder, said its sales in 2008 may rise 36% to RMB 24.4 billion due to the surging demand for vessels and diesel engines, told by sources.

Benefited from state policies, the state-owned company said its shipbuilding and diesel engine manufacturing would reach RMB 18.9 and RMB 3.4 billion in 2008 respectively, with aims to become a top producer in seven years.

According to its 2007 financial report released on Mar.17, its turnover reached RMB 17.88 billion in 2007, up 52.25 over 2006. Net profit amounted to RMB 2.92 billion or RMB 5.53 a share, up 137.70% or 110% respectively.

CSSC built 85 ships in 2007, and was ranked the world's second largest. After its non-public offering in September 2007, CSSC changed its main business from the manufacturing of diesel engines to manufacturing and maintenance of ships in addition to engines.