China's building materials maker BBMG returns to profit in 2016

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

stock exchange.

"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

overcrowded sector.

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

Edmund Blair)