Chinese central SOEs report profit growth in 2020

China’s centrally administered state-owned enterprises (SOEs) saw their net profit up 2.1 percent in 2020 despite the impact of the COVID-19 epidemic, according to the country’s top state assets regulator.

The net profit of the central SOEs totaled 1.4 trillion yuan (about 217 billion U.S. dollars), said Hao Peng, chief of the State-owned Assets Supervision and Administration Commission.

The annual growth, reversing the 58.8-percent slump reported in the first quarter of last year, was indeed hard-won, said Hao.

By the end of last year, the debt-to-asset ratio of the central SOEs had dropped to 64.5 percent, reaching the target set by the State Council of reducing the ratio by 2 percentage points in three years, he added.

In the coming five years, the high-quality development of the central SOEs will be further enhanced, with progress seen in their business scale and profitability, according to Hao.