Shenzhen International Holdings’ strong performance in logistics business is dragged by rising cost which resulted in the fall of net profit in the first half, The Standard reported. The company’s net profit fell 3 percent to 129 million HK dollars (16.54 million US dollars) in the first half. The Shenzhen-based company said revenue from logistics and related business was up 39 percent to 187 million HK dollars (23.97 million US dollars), thanks to its key investment project, South China Logistics, which saw a turnaround in the first half with a profit of 3 million (385000 US dollars). Turnover increased to 20.16 million HK dollars (2.58 million US dollars). "We will still take Shenzhen and the surrounding areas as the base for business development," said the paper, quoted chairman Guo Yuan as saying. The company will "seek opportunities in other areas" including acquisitions of expressways and logistics assets, he said.