SHANGHAI, Aug. 25 (SMM) – Zhejiang Narada Power Source Co. – China’s leading lead-acid battery producer – registered 76.06 million yuan in net profit in the first six months, a 36.53% growth from a year ago, it told Shenzhen Stock Exchange.
Narada signed framework contract with China Mobile for back-up battery supply in the next two years. Orders from China Unicom were also being delivered. This allowed the company’s profit margin from its back-up battery business to rise 3.03 percentage points to 19.33% in the first half of the year. The company is also optimistic over back-up battery sales in the second half given construction of 4G network base stations.
In addition, the company also ascribes the rising net profits to its expansion in new energy market, which caused its storage battery sales revenue to increase 37.37% year-on-year to 74.19 million yuan.
Narada not only was awarded contracts from new energy projects, but also invested in a 10 million KAVH new energy battery project in Gedian Economy & Technology Development Park, Hubei Province.
As notable, Narada has begun producing lead-carbon batteries so as to meet market demand for safer and more efficient batteries.