In its annual report of 2011, Chongqing Road and Bridge Co. Ltd., an A-Share listed company in China, has posted a stunning gross profit margin of 91.14 percent, exceeding deluxe liquor maker Moutai, a traditional rank leader, Xinhua reported.
The average gross profit of the industry was also as high as 56.08 percent, replacing real estate as the second most profitable industry in China after deluxe liquor, according to 13 expressway companies' annual financial reports.
Expressway companies mostly get of their revenues from toll fees. The busy traffic throughout the country nowadays has made it possible and easy.
The Ministry of Transportation's statistics show that as of November last year, expressways in the country still have a total debt of 2.3 trillion yuan's to pay off, and in 2010 alone, toll fees totaled 285.95 billion yuan. The stats also show that Tibet is the only province in China where expressways are toll free.
Toll fee rich expressway companies, such as Jiangsu Expressway, have started eyeing real estate investments to expand their profits, whereas China's expressway users never stop complaining about the high and excessive fees, considered to be one of the highest in the world, according to earlier reports.
(China.org.cn April 11, 2012)