Sinopec Engineering (2386) said first-half net profit grew by 5 percent year-on-year to 1.26 bllion yuan (HK$1.46 billion yuan).
The group declared an interim dividend of 11.3 fen.
Revenue was up by 4.9 percent to 23.8 billion yuan. The gross profit margin fell by 1.3 percentage points. Over half of the revenue came from engineering contracting services. It grew by 12.1 percent to 15.53 billion yuan.
New contracts were valued at 36.64 billion yuan, a year-on-year growth of 10.3 percent.
Executive director and president Xiang Wenwu said China's economy will face downward pressure in the second half, but the domestic coronavirus situation has gradually improved, and the economy has returned to the normal track.
The target of new domestic contracts this year is expected to be 46 billion yuan. The target of newly signed overseas contracts is US$1.5 billion (HK$11.7 billion).
Xiang said mainland China’s epidemic prevention and control will become the new normal in the second half, but the risks of the pandemic overseas is greater, which will increase the uncertainty of production and operations.
Xiang said the group's market development in the first quarter was adversely affected by the virus, but the overall performance in the first half was relatively good, mainly because of the contributions of large-scale projects.
