OREANDA-NEWS. August 30, 2013. Qunxing Paper Holdings Company Limited (“QX Paper” or the Group) announced the audited interim results of the Group for the six months ended 30 June 2013.

During the period, turnover of the Group was approximately RMB776.8 million (USD 126.8 million), representing a decrease of approximately 20.3% from RMB974.6 million (USD 159 million) for the same period in 2012, as Qunxing Paper Holdings said in the press release received by Lesprom Network.

Gross profit decreased by 10.1% from approximately RMB117.1 million (USD 19.1 million) for the first half of 2012 to approximately RMB105.3 million (USD 17.2 million) for the first half of 2013.

Profit for the period increased by 26.2% from approximately RMB40.8 million (USD 6.7 million) for the first half of 2012 to approximately RMB51.5 million (USD 8.4 million) for the first half of 2013.

Commenting on the Group's interim results, Dr. Zhu Yu Guo, Chairman of QX Paper said, “Although the PRC government did not relax its control measures to rein in the property market, the housing market gradually recovered with a significant year-on-year increase of 28.7% in sales of commodity properties to 514.33 million square metres in terms of floor area. In particular, sales of residential properties and office buildings grew by 30.4% and 31.7% year-on-year in terms of floor area, which helped stimulate the demand for interior decoration products. However, the Group’s internal investigation during the period affected its sales.”

During the period, overall sales volume of the Group dropped by 12.8% from 79,885 tonnes for the first half of last year to 69,691 tonnes for the first half of 2013. Of which, sales volume of decorative base paper, the Group’s principal product, was down by 12.3% from 66,563 tonnes for the first half of 2012 to 58,391 tonnes for the first half of 2013. Income from the sales of decorative base paper decreased by 19.5%, and accounted for 91.1% of the total revenue.

QX Group is currently the largest decorative base paper manufacturer in the PRC, specialising in the production of decorative base paper products and printing paper product.