Dah Chong Hong profit jumps 63.5% to HK$801mn

Strong growing momentum in China contributed 72.8% of the group’s turnover.

Dah Chong Hong Holdings Limited (“DCH”) announced on Wednesday that it recorded a turnover of HK$19,814 million for the first six months of 2011, an increase of 39.6% against the same period last year. Profit attributable to shareholders grew by 63.5% to HK$801 million. Excluding net gain on remeasurement of investment properties and other non-operating items, the Group’s adjusted net profit for the period amounted to HK$652 million, a growth of 29.1% when compared with HK$505 million in the same period last year.

The Board of Directors declared payment of an interim dividend of 14.30 HK cents per share for the six months ended 30 June 2011, compared with 10.68 HK cents in the same period of 2010, as mentioned in a Dah Chong Hong report.

Mr Clement Hui, Chairman of DCH, said, “I am pleased to report that the Group has achieved significant growth in the first half of 2011. The financial results that we have achieved reflect the effective management of our diversified business portfolio and our strategy to focus on the high growth Greater China markets.”

Mr Hui concluded, “DCH is in the high growth phase of business development with financial results on an upward trend. We continue to look for high potential M&A opportunities to fast track our expansion in all core businesses and maintain the momentum in China despite the short term volatility in the market. In the next six months, we expect that Motor Business will continue its growth momentum; and Food and Logistics Businesses will grow at a faster pace with all the new developments in place, creating high economic value for our shareholders.”