(Yicai Global) Aug. 16 -- Tangshan Jidong Equipment Engineering Co. [SHE:000856], whose share price skyrocketed after the Xiong'an New Area was announced, reported diving net profits in its interim report on Aug. 15.

The firm's shares soared nearly 200 percent in the second quarter and the buying surge led to large-scale shareholder replacement.

In the first six months, Tangshan Jidong's operating income grew 73 percent on the year to CNY877 million (USD219 million) while net profit attributable to shareholders tumbled 91 percent to CNY4.9 million (USD722,000) , the report said.

The decline in earnings was put down to a substantial reduction of CNY98.5 million in non-recurring gains and losses compared with the year before, the company said earlier in the year. Those gains mainly came from selling equity in its subsidiary Tangshan Dunshi Machinery Manufacturing Co. and tax rebates. The company's provision for asset impairment has also increased.

Tangshan Jidong saw its share price take off in the second quarter. It climbed to CNY45.8 (USD6.85) on May 15, up more than 226 percent from the beginning of April.

The rise in price saw a number of shareholders cash out. In the first quarter, only two of the ten largest holders remained: Jidong Development Group Co. and Tangshan State-Owned Capital Operation Co, the two biggest holders. Sun Wei, the then third-largest shareholder, sold off his nearly 10.7 million shares, a 4.7 percent stake, at the end of the period.