Shares of Singapore-listed China Aviation Oil (CNAO.SI) rose as much as 5.4% on Wednesday after it reported a 53% rise in second quarter net profit.

More than 5.5 million shares had changed hands and the shares were trading at $1.54 at 11:09 a.m before softening to $1.49 now. The benchmark Straits Times Index was down 0.4%.

 

CAO, which supplies jet fuel in China, reported a 53% increase in net profit to US$18.1 million ($24.4 million) from a year ago.

 

DMG & Partners said CAO's strong earnings were in line with its bullish view on Asia’s aviation sector.

 

"We expect air passenger traffic in Asia to continue to register robust growth," the brokerage firm said in a note.

 

Shares of CAO have risen 37% so far this year and a trader said the shares could meet resistance around $1.60.