Denway Motors, a subsidiary of state-owned Guangzhou Automobile Industry Group Co. Ltd, announced that it realized a net profit of 1.24 billion yuan for the first half of this year compared with 1.23 billion yuan of the same period last year.

Denway Motors said in the interim report that its 50:50 joint venture (JV) with Japan-based Honda Motor contributed 1.1 billion yuan of net profit to the company during the Jan.-Jun. period, accounting for approximately 88.70% of the total.

Excluding the revenue from the JV, Denway Motors' first-half revenue declined 7.7% to 361.20 million yuan from 391.20 million yuan over the corresponding period of last year.

The Hong Kong-listed auto manufacturer proposed to declare an interim dividend of 0.05 yuan per share, compared with HK$0.05 per share a year earlier.

Denway Motors and the jointly controlled subsidiary are principally engaged in producing auto parts and components as well as vehicle trading.

Early last month, Guangzhou Automobile, which held a 37.9% stake in Denway Motors, denied the rumor that it would delist Denway Motors from the Hong Kong Stock Exchange (HKEx) for the sake of the parent's group listing plan.