Despite growing downward pressure on the industry and evaporating profit margins, Aluminum Corporation of China (Chinalco) reported a record high in revenue for the first half of the year yesterday.
According to state-run media, Chinalco recorded CNY170 billion (US$24.7 billion) in revenue for the opening six months of 2019, good for an increase of 31.8 percent on the year. Net profit grew as well, with a first-half total of over 40 percent better than last year’s initial six-month period.
Speaking at its mid-year work conference, representatives of Chinalco said every major business segment enjoyed growth in the first half of 2019 despite challenges in the global aluminium market, including rising costs, shrinking prices, and diplomatic turmoil.
Per the firm, maintaining a robust bottom line was the result of bold reforms in improving the quality of its growth and establishing a new market for its products by emphasizing value-added production.
Though value-added production was a significant goal in the half, Chinalco’s Aluminum Corporation of China Limited (Chalco) turned in a solid first half as well, noting sales of high-purity aluminium rising by 40 percent, while fine alumina sales grew by 9 percent on the year.
Established in 2001, Chinalco is a state-backed holding company established to be the People’s Republic of China’s primary aluminium producer. It owns a 35.78-percent stake in Chalco, which is publicly traded on the Shanghai Stock Exchange and is a constituent of the SSE 180 index. It is also listed on the Hong Kong Stock Exchange and the New York Stock exchange.