The profit of the State Key Enterprises proliferated in the first half, yet the momentum has been moderated

The total industrial output (constant price) of the State Key Enterprises in the first half of this year was 1.39432 trillion yuan, a 23% increase compared with the same period last year. This increase was 7.7 percentage points higher than the increase in the first half of 2002. But the 23% increase has been moderated by 4.8 percentage points compared with the first quarter of 2003. The State Key Enterprises’core business revenue was 2081.71 billion yuan, a 27.3% increase compared with the same period last year, that was 21.2 percentage points higher than the increase in the first half of 2002 and 5.9 percentage points lower than the first quarter of 2003. For the pillar industries like automobile, petrochemical, metallurgical and petroleum, their core business revenue achieved a fairly rapid growth of more than 35%. The production-sale ratio in the first half was 98.3% in the State Key Enterprises, decreased by 0.2 percentage points over the previous year, but increased by 0.7 percentage points compared with the first five months of 2003. Those industries such as metallurgical, petrochemical, tobacco, automotive and petroleum achieved a high production-sale ratio of more than 99%.

The State Key Enterprises accomplished an export delivery of 127.81 billion yuan and increased by 36.8%, which was 23 percentage points higher on year ago. The State Key Enterprises in electronic, petroleum, metallurgical and petrochemical industries made an export delivery of 85.1 billion yuan, a 50.7% increase over the previous year.

2. The earnings registered a fast growth, yet the speed of the growth has been moderated.

The State Key Enterprises posted 178.04 billon yuan of profit returns in the first half of this year, a strong reverse from a profitability decline of 8.7% in the same period last year to a 51.6% increase. But compared with the increase in the first quarter and first 5 months, there was a setback of 72.3 and 9.2 percentage points respectively.

In the perspective of sectors, petroleum, metallurgical, automobile and petrochemical industries more than doubled their profits, and achieved the profitability of more than 10 billon yuan with the total amount of 99.62 billion, accounting for 56% of the total profit realized by the State Key Enterprises.

In the perspective of enterprises, 415 enterprises were profit-making. 135 enterprises earned more than 100 million yuan, achieving a total amount of profit of 180.85 billion yuan. That was 95.2% of all the earning enterprises’profitability.

3. The number of loss-making enterprises shrank, yet the volume of losses continued to rise.

At the end of June 2003, there were 86 enterprises in losses among the 501 State Key Enterprises compared with 105 a year ago. The volume of the losses in the first half was 11.86 billion yuan, up 59.1%. It was 18.3 percentage points higher than the first five month of 2003. The rapid increase of losing enterprises’losses was attributable to the proliferation of the losses in the area of communication and transportation sectors. The loss-making enterprises in the communication sector registered a loss of 7.77 billion yuan in the first half, 5.12 billion higher than the same period last year. The loss-making enterprises in the railway sector posted a loss of 850 million yuan, 730 million higher than the same period last year.

There were 14 State Key Enterprises losing more than 100 million yuan with a total amount of 10.03 billion yuan, accounting for 84.6% of the total losses among all the loss-making enterprises.