Hong Kong Exchanges and Clearing, 8/10/11
Chinese telecom equipment and terminal manufacturer ZTE (0763.HK; 000063.SZ) has released a "snapshot" of its H1 2011 fiscal results, with operating revenue of RMB 37.35 bln, up 21.55% YoY.
Net profit attributable to shareholders of the listed company amounted to RMB 768.53 mln, down 12.42% YoY. ZTE attributed the decline in profit to a drop in gross profit margin, the expiration of software VAT refund subsidies in 2010, and ZTE's disposal of shares in Chinese security and telecommunications chip manufacturer Nationz Technologies (300077.SZ).
Domestic business revenue reached RMB 16.54 bln, up 6.9% YoY and accounting for 44.3% of total operating revenue.
Overseas business revenue grew 36.4% YoY to RMB 20.81 bln, accounting for 55.7% of total operating revenue.