Beiqi Foton Motor's net profit in Q1 tops 150% year-on-year

Shanghai, April 3 (Gasgoo.com) Beiqi Foton Motor Co. Ltd. said its net profit in the first quarter of 2008 is expected to have grown by more than 150% over the same period of last year.

A filing with the Shanghai Stock Exchange said the company's profit growth was mainly driven by higher sales of high-end vehicles, subsidies from the government, and the selling of some of its shares in Anhui Quanchai Engine Co.

Another statement said Beiqi Foton plans to spend RMB125.48 million ($17.9 million) to buy a 12.45% stake in Beijing Foton Cummins Engine Co, a joint venture with Cummins Inc. The seller is an affiliate company. Beiqi Foton will raise its stake in the venture to 37.45% from the current 25%, while the affiliate will continue to hold a 12.55% stake.

Beiqi Foton Motor is scheduled to release its first quarter financial results at the end of April. The company earned a net profit of RMB66.28 million in the first quarter of 2007.