Inspur Information expects 50-80 pct profit growth in Q1

JINAN-- China's leading server manufacturer Inspur Electronic Information Industry Co Ltd on Monday predicted annual net profit growth of 50 to 80 percent for the first quarter of 2019.

In a filing to the Shenzhen Stock Exchange, Inspur Information, listed arm of IT company Inspur Group Co., Ltd., said it expected to make a net profit of 82.46 million yuan ($12.3 million) to 98.96 million yuan in January-March.

The Jinan-based company in eastern Shandong Province said the profit growth came amid a maturing AI server business, expanding market shares and enhanced cooperation with business partners.

Boosted by projected strong profit growth for the first quarter, shares of Inspur Information initially jumped by the daily limit of 10 percent before losing gains to close 4.75 percent higher at 25.8 yuan Monday in Shenzhen.

In 2018, the company earned a net profit of about 659 million yuan, up 54.1 percent year on year, and its revenue increased by 84.2 percent to around 46.9 billion yuan, according to its annual financial results released in March.