(Yicai Global) May 27 -- Profits at China's big industrial firms fell 3.4 percent in the first four months of this year compared with the year-earlier period, roughly matching the rate of decline over the first quarter.

Combined profits at companies with annual revenue of more than CNY20 million (USD2.9 million) stood at CNY1.81 trillion (USD262.6 billion) in January through April, the National Bureau of Statistics said in a statement today. Earnings dropped 3.3 percent in the first quarter.

In April, the headline figure slipped 3.7 percent to CNY515.4 billion (USD74.7 billion) because the value-added tax policy that came into effect on April 1 allowed firms to log a higher tax-deductible base price for their purchases in March, prompting them to stock up ahead of the reform.

Editor: Emmi Laine