Major Chinese industrial companies' profits drop
Total profits for the largest industrial companies, or those with annual revenues above 20 million yuan ($3.17 million), stood at 606 billion yuan during the first two months, the National Bureau of Statistics said in a statement on its website.
The data highlighted the impact of the sluggish global economic recovery on Chinese companies, especially state-owned enterprises, as exports have slowed due to waning external demand, reported Xinhua.The data also represents a significant drop from a 34.3-percent increase registered in the first two months of 2011.
State-owned and state-controlled enterprises saw their profits fall 19.7 percent from one year earlier to 179.1 billion yuan, while private companies' profits grew 24.4 percent during the same period.
Out of 41 industry categories, 23 reported a year-on-year increase in profits, while 14 saw profits fall and one broke even.