March 29 (Reuters) - China's building materials maker BBMG
Corp posted on Wednesday a 38 percent rise in net profit in
2016, snapping two straight years of losses as demand for
cement, one of its mainstay products, improved with the
country's real estate sector.
BBMG's net profit for last year rose to 2.7 billion yuan
($392.01 million), up from 2.0 billion yuan from a year earlier,
the Beijing-based company said in a filing to the Hong Kong
"In 2016, the real estate market rebound and accelerated
infrastructure projects have promoted the recovery of the cement
market," said BBMG, which last reported a net profit in 2013.
Bigger cement makers have been benefiting from rising
product prices and the government's efforts to consolidate the
BBMG's results come days after Anhui Conch Cement Co Ltd
, China's biggest cement producer by market
value, swung back into the black with a 13.5 percent rise in its
net profit in 2016.
Other small rivals have also either reported strong rises or
returned to profit in 2016.
Huaxin Cement Co Ltd said this month its net
profit for the year surged 340 percent from a year earlier to
451.9 million yuan.
Xinjiang Tianshan Cement Co Ltd posted a net
profit of 99.8 million yuan after a loss a year earlier, while
Asia Cement China Holdings Corp and Fujian Cement Inc
expected to return to profitability in 2016.
($1 = 6.8875 Chinese yuan renminbi)
(Reporting by Lee Chyen Yee and Bengaluru newsroom; Editing by