CCCC sees growth in overseas contracts

China Communications Construction Company (CCCC) had revenues of CNY 176 billion (US$ 27.6 billion) for the first half of the year, a +10.9% increase on the same period last year. Its operating profit was up +5.9% to CNY 11.5 billion (US$ 1.81 billion).

However, the company saw a slump in its order intake, with the value of new work won slipping -5.7% to CNY 264 billion (US$ 41.5 billion), compared to the CNY 280 billion (US$ 44 billion) won in the first half of 2014.

A statement from CCCC chairman Liu Qitao said, “In the first half of 2015, facing pressure from the economic downturn and complicated operation situation, the company strictly adhered to its core mission of ;maintaining growth while enhancing quality and efficiency’ following a critical assessment of the situation.”

New orders in its infrastructure construction business, which accounts for about 85% of the company’s revenues, was down -5.2%. However, there was a sharp increase in the value of overseas projects the company won. It landed CNY 74.4 billion (US$ 11.7 billion) worth of new work outside China in the first six months of the year, a +35.1% increase on the same period last year.

New orders for CCCC’s dredging business, which is expected to be spun-off into a separate company, were up +19% in the first half of the year to CNY 15.3 billion (US$ 2.4 billion).