(Yicai Global) Aug. 28 -- Shanghai Yuyuan Tourist Mart took 67.42 percent of its total first-half profit from investments, not its core businesses, its semiannual earnings report issued yesterday shows.
The company is a retail group specializing in gold jewelry. It owns two popular brands -- Laomiao and Yasi Jewelry. Its operating income grew by 7.7 percent on the year to CNY9.9 billion in the first half, with a net profit of CNY373 million (USD54 million), up 13.5 percent, per the earnings report.
Yuyuan’s core business revenue came in at CNY9.85 billion, the report shows, of which CNY8.7 billion, or 88.4 percent, came from gold jewelry sales. Its core business net profit plunged by 17 percent to CNY215 million, however. Return on investment as a non-core business brought CNY207 million profit, making up 67.4 percent of all, according to the interim report.
The report did not list any specific investment deals, but an earlier statement said it sold 12.7 million shares in Bank of Shanghai [SHA:601229] in the first half, netting CNY123 million in return on investment after costs and taxes, with these sales alone greatly lifting its profits in the reporting period.
Editor: Ben Armour