SINOTRANS REPORTS 27% HIGHER PROFIT AS CARGO SOARS

SINOTRANS REPORTS 27% HIGHER PROFIT AS CARGO SOARS    Net profit rose by 27 percent last year at Sinotrans Ltd., to RMB572 million ($69 million), as China’s largest forwarding group handled a large increase in cargo volumes.
   Group revenue increased by 23 percent last year, to RMB13.6 billion ($1.6 billion), from RMB11 billion in 2001, due an increase in revenue from freight forwarding, marine transportation and express services.
   Following the recent initial public offering of Sinotrans, the Chinese group reported detailed operating statistics for the first time that confirmed the company’s position as one of the largest forwarding groups in the world.
   The forwarding arm of Sinotrans handled 2.58 million TEUs in 2002, an increase of 23 percent over the previous year, as well as 159,100 tons of air freight, representing a 17 percent rise over 2001.
   Freight forwarding at the Chinese group produced a 2002 revenue of RMB10.3 billion ($1.2 billion), up 23 percent over 2001, and an operating profit of RMB317 million ($38 million), up 24 percent.
   Express service contributed RMB1.2 billion ($139 million) in revenue and RMB293 million ($35 million) in profit to the group.
   Marine transportation generated a 2002 revenue of RMB2 billion ($236 million) and a modest operating profit of RMB35 million ($4 million).
   The other activities of the group are shipping agency, storage and terminal services.
   Sinotrans reported that revenue from marine transportation increased by 21 percent in 2002, as the volume of containers shipped by the group soared by 36 percent, to about 769,000 TEUs. Sinotrans is the parent company of Sinotrans Container Lines.
   The group’s operating profit rose by 24 percent in 2002, to RMB893 million ($108 million).
   In February, UPS, Deutsche Post and Exel spent millions of dollars acquiring shares in Sinotrans.