On April 28, Beijing-based Chinese steel producer Shougang issued its financial report for the first quarter of 2010. Accordingly, the company has posted a sales revenue of RMB 6.605 billion ($968 million) for the quarter, up 18.32 percent year on year, and a net profit of RMB 48.2141 million ($7.06 million), down 34.46 percent year on year.
Shougang attributed the decrease in net profit in the first quarter to increased export costs and higher financial expenditure due to the launch of its Shunyi cold rolling project in Beijing. According to its financial report for 2009, the 14.18 percent decrease in the company's net profit last year also resulted from the launch of its cold rolling project.