Shanghai Pudong Development Bank Co. (SPDB), partly owned by Citigroup Inc., on Friday said the unaudited first half net profit may soar more than 140 percent from a year earlier.

The surge in profit came on wider interest rate margin, lower corporate income tax rate, and greater fee income, the mid-sized lender said in a statement to the Shanghai Stock Exchange.

Net profit was 2.55 billion yuan (371.5 million U.S. dollars), or 0.59 yuan per share, in the first six months of last year.

Pudong Bank reported a 186.55 percent increase in net profit in the first quarter of the year, on top of a 63.85 percent rise last year.

Its shares rose 2.60 percent to 20.95 yuan on Friday.

Pudong Bank led three rivals in profit growth forecasts in the six months ended on June 30.

Industrial and Commercial Bank of China (ICBC), the country's largest lender, also said on Friday the first half net income may be more than 50 percent higher than the 40.8 billion yuan recorded in last year's corresponding period.

Shenzhen Development Bank forecast its first half profit would rise 85 to 95 percent, while Bank of Ningbo forecast an increase of between 50 and 70 percent.

(Xinhua News Agency July 4, 2008)