Changan Auto Q1 profit up 55.8%

Chongqing Changan Automobile Co. Ltd, one of China's leading carmakers, said on Monday net profit soared 55.8% in the first quarter of this year, powered by robust sales in the world's second-largest auto market.

Net income climbed to 267.6 million yuan (US$38,280) in the January-March period, or 0.14 yuan per share, compared with 172.41 million yuan or 0.08 yuan per share, a year earlier, said the Chongqing-based company in a filing with the Shenzhen Stock Exchange.

It sold more than 260,000 vehicles in the corresponding period, with revenue hitting 4.02 billion yuan, up 15.23% from the previous year. Based on this buoyant growth, it can achieve the set goal of selling 1.02 million vehicles this year.

Changan plans an initial public offering in Hong Kong as early as July to raise approximately HK$3 billion or HK$4 billion for expansion, Deng Zhiyou, deputy president of parent China Southern Industrial Motor Co, said earlier this month.