Jiangsu Province-based Shagang Co., Ltd. (Shagang) has announced that its net profit amounted to RMB 137.0 million ($20.2 million) in the January-June period this year, down 11.89 percent year on year.
In the given quarter, Shagang registered an operating revenue of RMB 6.698 billion ($0.99 billion), down 1.89 percent year on year.
Facing a severe and complex market situation, Shagang adjusted its business strategy and promoted product upgrades, improving its profitability in the first six months this year.
The biggest structural highlight of this semi-annual report comes from the precision gear segment. In the first six months this year, the gear business generated RMB 119 million ($17.6 million) in operating revenue, indicating a sharp year-on-year increase of 28.37 percent, making it the company's only business segment to achieve high-speed growth, fully validating the growth potential of the high-end components sector.
