Revenues of Chinese Internet cos surge 38%

That was higher than 36.7 per cent in 2010.

Among those companies,revenues of online video-sharing companies jumped 118.4 per cent year-on-year,followed by a 68.6 per cent gain by social networking websites.

Expanding income has fuelled venture capital and private equity investment in the sector,with a record high of USD 3.49 billion raised in the second quarter.

The figures came after a wave of heavy short-selling of China-concept stocks on the American stock market in the second quarter.

While the US stock market used to be a major destination for initial public offerings (IPOs) of Chinese firms,the number of IPOs by Chinese companies there was down to zero in July,Xinhua reported.

If Chinese Internet companies continue to post robust in the third quarter,investor enthusiasm may be boosted again and listings on the US stock market are likely to resume in the fourth quarter,it said.

In the second quarter,net profits by listed Chinese Internet enterprises slowed slightly to a 34.6 per cent year-on-year,compared with 36.2 per cent last year,according to the China Venture report.

China has the world’s largest Internet user population,with 485 million Internet users at the end of June.