China’s Sinotruk Reports Surge in First-Half Sales, Profit
China’s biggest heavy-duty truck maker, Sinotruk Hong Kong Ltd., said its first-half income surged 77% on higher demand for commercial vehicles, Bloomberg reported.
Net income increased to about $123.5 million, or 4 cents a share, from about $69 million, or 3 cents, earlier, the company said in a Hong Kong Stock Exchange statement.
Sales rose 53% to about $3.2 billion, Bloomberg reported. Sinotruk reports its earnings in Chinese yuan.
Sinotruk’s vehicle sales rose as Chinese government stimulus spending increased demand for heavy trucks, Bloomberg said. The company also will begin selling buses this year.
The company also said it will pay about $48 million for 80% of Chengdu Wangpai Automobile Group Ltd., a joint venture that will make commercial vehicles, frames, auto parts, tractors and mechanical products.
Germany-based MAN SE, plans to partner with Sinotruk next year to introduce heavy trucks in China, Bloomberg reported. MAN, Europe’s third-largest truck maker, holds a 25% stake in Sinotruk.
