CIMC sees 2007 net profit up 12.2%

China International Marine Containers (Group) Co<000039><200039>, the world's largest shipping container producer by output, saw net profit increased 12.2% from the previous year in 2007, fueled by increased sales of its products and higher investment returns.

According to the international accounting standards, the company's net profit climbed to RMB 3.165 billion for the fiscal year of 2007, or RMB 1.19 apiece, compared with RMB 2.93 billion, or RMB 1.06 apiece, a year earlier. Turnover exceeded RMB 48.76 billion, up 45.23% from 2006.

CIMC produced a record 2.1 million twenty-foot equivalent units (TEUs) last year, of which standard dry-cargo container amounted to 1.866 million TEUs, up 37% over a year ago. Sales of containers jumped 37.4% to RMB 34.05 billion.

Investment returns, another driving force for the net profit growth, soared 252% year-on-year to hit RMB 1.466 billion.

However, it is likely to face a tough 2008 amid the global economic slowdown. The continuing rising prices of raw materials and RMB appreciation will also bring a negative impact on the container market and raise its operation costs.