China Automotive Systems sees profit rise

AP News
Posted: Nov 12, 2009 1:54 PM

China Automotive Systems Inc., which makes power steering components, said Thursday that third-quarter profit rose sharply on a boost in sales of components for passenger vehicles.

The shares rose $1.61, or 11 percent, to $16.23 in afternoon trading.

The company, based in Wuhan, China, said it earned $8.6 million, or 28 cents per share, compared with $2.8 million, or 9 cents per share, a year earlier.

Revenue rose 75 percent from a year ago, to $64.7 million.

Sales of steering gears and pumps for passenger vehicles in China rose, as did parts for commercial vehicles, the company said.

China Automotive said based on current contracts, which are subject to change, it expects 2009 revenue to rise 40 percent.