China

Daqin Railway’s April Cargo Transportation Volume Increased 32.43% to 32.91 Mln Metric Tons

Summary:

  • In a recent statement to the Shanghai Stock Exchange, Daqin Railway (601006.SS) reported that it’s cargo transportation volume during April increased 32.43% to 32.91 million metric tons.
  • The company also said that its cargo transportation volume during the first four months of this year increased 26.37% to 136.64 million metric tons.

Why It Matters:

  • Daqin Railway’s revenue is mainly derived from the shipping of coal and therefore the increase in cargo transportation volume directly positively impacted the company’s performance during the period.
  • In addition to the increase in cargo transportation volume, the company increased its rates for the freight of coal at the end of March.
  • Earlier, the company posted a 53.87% increase in net profit for the first quarter of 2017 to RMB 3.16 billion. First quarter revenue increased 12.04% to RMB 12.45 billion.