CNR net profits slow in H1

BEIJING -- China's second-largest train manufacturer said Tuesday its net profits slowed sharply in the first half of the year due to faltering demand.

China CNR Corp Ltd posted net profits of 1.66 billion yuan ($261.83 million) for the first half, up 3.32 percent year-on-year, according to the company's statement to the Shanghai Stock Exchange.

CNR's net profits surged 55.16 percent year-on-year during the same period in 2011.

In the first six months, operating revenues climbed 4.16 percent year-on-year to 42.85 billion yuan, with revenues from locomotive sales dipping 13 percent and those from bullet train sales slumping 16 percent.

However, revenues from the international market surged 107.92 percent year-on-year to 4.48 billion yuan due to increasing exports of cargo, light rail and subway cars, the CNR said.

The company is facing challenges in the form of slow global growth, downside pressure in the domestic economy and rising trade protectionism, it said.