Midas Holdings net profit jumps 197.1% in 2Q2017

Midas Holdings Limited, the leading manufacturer of aluminium alloy extrusion products for the passenger rail transportation sector in the People’s Republic of China, announced results for the three months ended June 30, 2017.

Net profit after tax jumped 197.1 per cent to RMB55.5 million for the three months ended 30 June 2017, from RMB18.7 million in the second quarter of 2016.

Midas’ revenue rose to 32.1 per cent to RMB505.6 million in 2Q2017, as compared to RMB382.8 million in 2Q2016. The company said the increase was mainly attributable to the inclusion of revenue of RMB109.6 million from the Group’s Aluminium Alloy Stretched Plates Division. The Aluminium Alloy Stretched Plates Division accounted for 21.7 per cent of total revenue in the quarter.

 “The Aluminium Alloy Extruded Products Division’s revenue rose 3.5%, from RMB381.4 million in 2Q2016 to RMB394.7 million in 2Q2017, making up 78.1% of total revenue in 2Q2017. Within the division, the Transport Industry was the main revenue contributor, accounting for 86.4% of the Aluminium Alloy Extruded Products Division’s revenue in 2Q2017,” according to the company.

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For 2Q2017, Midas’ gross profit margin for 2Q2017 rose to 31.4 per cent as compared to 27.8 per cent in 2Q2016. The increase was due to higher gross profit margin for the Group’s Aluminium Alloy Extruded Products Division. The gross profit margin for the Group’s Aluminium Alloy Stretched Plates Division was 31.0 per cent during the period under review.

For the first half of 2017, the company reported revenue of RMB904.0 million and net profit after tax of RMB84.3 million.