Guangdong Province-based Chinese steel rolling and processing company SGIS Songshan Co., an affiliate of Guangdong-based Shaoguan Iron and Steel Co. (Shaogang), has announced that it expects to register a net profit of RMB 2.5 billion ($0.39 billion) for 2017, indicating a sharp rise compared to the net profit of RMB 101.4273 million recorded in 2016.
SGIS Songshan stated that supply-side reform and the elimination of low-grade construction steel capacity contributed to rising finished steel prices in 2017. Meanwhile, the company improved its management and lowered costs, also resulting in its better performance in the given year.