BEIJING: China Lilang, a menswear manufacturer, said Tuesday its net profit for 2017 increased 13.2% from a year earlier, helped by higher revenue and lower tax payment.
Net profit for the year ended Dec. 31 totaled 611 million yuan ($96.37 million), up from 539.9 million yuan a year earlier, the Hong Kong-listed company said in an exchange filing.
The effective income tax rate was 15.3% for the year, representing a decrease of 12.4 percentage points, it said. “One of the group’s China subsidiaries was granted the Advanced and New Technology Enterprise status and entitled to a reduced income tax rate in 2017.” In addition, in 2017, two of its units enjoyed income tax concessions due to their place of incorporation.
Revenue was up 1.2% to 2.44 billion yuan from 2.41 billion yuan in the year-ago period, it added.
“Same-store sales growth rose from mid-single digit at the beginning of the year to almost 10% in the fourth quarter, reflecting a substantial improvement in operating efficiency at the retail end,” Chairman Wang Dong Xing said.
The company declared a final dividend of 18 Hong Kong cents per share and a special final dividend of 8 Hong Kong cents per share, bringing total dividend payment to 44 Hong Kong cents per share for the year, up 10% on year.
