(Yicai Global) Aug. 18 -- China Jushi’s shares climbed after the fiberglass maker reported a more than three-fold increase in first-half profit and unveiled plans to spend USD335 million building a new production line at its Egyptian plant to meet fast-growing demand for the material.

China Jushi’s stock price [SHA:600176] closed up 7.2 percent today at CNY17.90 (USD2.76), the highest in five months.

Net profit excluding non-recurring gains and losses attributable to shareholders soared 263 percent to CNY2.5 billion (USD386 million) in the six months ended June 30, according to the earnings report the the Zhejiang province-based company published late yesterday. Revenue jumped 75 percent to CNY8.56 billion.

China Jushi also said its Egyptian unit will undertake an expansion project, adding 120,000 tons of annual fiberglass production capacity at its factory in the China-Egypt Suez Economic and Trade Cooperation Zone in Suez Governorate. It will take one and a half years to build.

The project is geographically well placed to supply clients in Europe, the Middle East and the United States, major markets in which fiberglass products have been in short supply this year.

The plant’s current capacity is not enough to meet demand, the firm said, adding that the project is expected to make a USD49.8 million profit each year on revenue of USD115 million.

China Jushi will also upgrade a fiberglass production line at its plant in Tongxiang, Zhejiang, costing CNY398 million (USD61 million). The upgrade will boost capacity from 80,000 to 100,000 tons a year.

Editor: Tom Litting