Mainboard-listed China Paper Holdings, the vertically integrated mixed pulp paper and paper chemical products manufacturer in China, says it posted a 14.2% y-o-y rise in net profit to RMB33.9 million ($6.5 million) in the 3 months ended 30 September 2009 (3QFY09).

Revenue rose 21.6% to RMB275.3 million from RMB226.4 million. This was mainly attributable to a full quarter of sales contribution from the new coated paper manufacturing line which commenced production in May, a 42.9% increase in sales from newsprint paper, a 2.3% increase in sales from printing paper, and a 4.4% rise in revenue from paper chemicals. The group’s revenue increase was also supported by stable average selling prices across all its paper products.

Within the 3 months period that ended 30 September 2010, the group registered net cash generated from operating activities of RMB38.4 million after income tax payment of RMB12.3 million.

Barring any unforeseen circumstances, China Paper remains positive about the group’s performance and profitability for FY2010.

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