China's state-owned enterprises saw their profits decline faster in the first 10 months of 2015, as they were hurt by the economic slowdown, officially data showed yesterday.
SOE profits fell 9.8 per cent year on year in the January - October period, a deeper decline than teh 8.2 per cent drop in the first nine months, according to figures from the Ministry of Finance.
Profits totaled 1.88 trillion yuan (US$294 billion), with profits of SOEs under central government control slumping 11.3 per cent to 1.35 trillion yuan.
Locally administered SOEs posted a 6 per cent drop in profits in the first 10 months, a third straight fall and a sharper decline than that of 2.7 per cent in the first nine months, according to the ministry.
SOEs in petrochemicals, oil refining and construction materials sectors saw sharp profit declines, while the steel, coal and nonferrous metal sectors continued to suffer losses. But the profits of transport and electronics SOEs continued to improve.
SOEs have been hurt by an economic downturn that cut China's economic growth to 6.9 per cen in the third quarter, the lowest reading since the second quarter of 2009.
The government is trying to improve their fortunes by moving toward mixed ownership and market-based management.
Source: http://www.shanghaidaily.com/business/finance/SOE-profits-drop-faster-in-first-10-months/shdaily.shtml
