Emerging sectors set to outperform old economy

Companies listed on the Shanghai and Shenzhen bourses are forecast to announce divergent financial results for the first quarter (January-March) of this year and the entire last year.

Emerging sectors like consumer services, entertainment, non-banking financial services, and food and beverage are expected to post the highest rise in net profit on the back of soaring demand, analysts said.

But, steel and cement companies' profit growth rate is seen falling due to overcapacity, shrinking demand and decline in prices. Some of these companies may even incur big losses.