China’ Industrial Enterprises’ Total Profits Plunge in the beginning of 2020

China’s industrial profits proved to be the next indicator revealing the devastating impact of Covid-19 on the industrial enterprises’ profitability.
China’s industrial profits proved to be the next indicator revealing the devastating impact of Covid-19 on the industrial enterprises’ profitability.
China’s industrial profits proved to be the next indicator revealing the devastating impact of Covid-19 on the industrial enterprises’ profitability.

宏观经济数据分析China’s industrial profits proved to be the next indicator?revealing the devastating impact of Covid-19 on the industrial enterprises’ profitability. For the first two months of 2020, total profits (total revenues minus total costs) of industrial enterprises plunged by 38.3% y/y, the biggest drop since records began in 1999.

For the first two months of 2020, total profits (total revenues minus total costs) of industrial enterprises plunged by 38.3% y/y
China's total profits of industrial enterprises up to February 2020

宏观经济数据分析The data published by China’s National Bureau of Statistics shows that manufacturing was particularly hit, registering 42.7% y/y decrease. Mining and utilities, on the other hand, saw their total profits decline by 21.1% y/y and 23.2% y/y, respectively.

China's industrial enterprises' total profits by sector
China's industrial enterprises' total profits by sector

Total profits of foreign and private enterprises plummeted by 53.6% y/y and 36.6% y/y, respectively, registering their biggest drops ever. Total profits of state-owned enterprises declined by 32.9%, which was actually less than the record 59.2% y/y collapse in January 2009.

China's enterprises' total profits by company type, up to February 2020
China's enterprises' total profits by company type, up to February 2020

Detailed data and analysis on China’s Real Sector can be found in the CEIC China Economy in a Snapshot – Q1 2020.

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30th March 2020 China’ Industrial Enterprises’ Total Profits Plunge in the beginning of 2020