BEIJING: Listed Chinese companies’ first-half (H1) earnings have increased healthily, with some even looking robust, which should encourage global investors to discern a silver lining on the dark cloud of rising uncertainties, experts said.

       Up to Monday, 1,447 A-share companies had disclosed their first-half results, among which 1,414 companies (excluding those in the banking and non-banking financial sectors) have seen operating revenues and profits jump 33% and 61% year-on-year, respectively, according to data compiled by China Securities Journal.

       Experts said first-half earnings offer clues as to how the world economy is gradually recovering, as China is taking the lead in business recovery from the Covid-19 pandemic.

       Zhou Maohua, an analyst at China Everbright Bank, said the strong first-half performance has been backed by the country’s continued economic recovery, the government’s intensified efforts to keep the macro policies stable with “no sharp turns”, the low comparison base, rising overseas demand and the rally in commodity prices.

       “Around 90% of the 1,414 companies have posted profits in the first half, and the standout ones are those in fields such as materials, energy, optional consumer goods, information technology and the industrial sector.

       “Their strong performance is mainly driven by the global economic recovery and the rising energy and industrial raw material prices,” Zhou said.

       According to Zhou, the profit growth for auto, catering, tourism and other consumption-related companies proves that the Chinese economy has maintained sound recovery momentum with improved domestic demand.

       Zhou said he expected industries such as materials, chemicals, mechanical equipment, optional consumer goods, semiconductors and new energy would remain strong on the back of the government’s effective measures to prevent and control the pandemic, stabilise employment and boost domestic demand. — China Daily/ANN