Baoshan Iron & Steel Co Ltd (Baosteel), the country's largest steelmaker, said first quarter net profit rose 15.88 percent year-on-year to 4.26 billion yuan ($609.76 million) due to higher selling prices, which offset the impact of rising material prices and the snowstorm-related disruptions early in the year.

In November, Baosteel announced a hike in domestic prices for its major steel products in the first quarter of 2008. Cold-rolled and hot-rolled steel prices were raised by 200 yuan and 300 yuan per ton respectively, while prices for thick steel plate were raised by 500 yuan per ton.

According to its financial results filed with the Shanghai Stock Exchange, the steelmaker said operating revenue in the first three months was 47.03 billion yuan, up 9.43 percent year-on-year.

Operating costs were up 9.7 percent year-on-year at 41.43 billion yuan.

The company did not provide output and volume sales data in the statement.

Earnings per share stood at 0.24 yuan, up from 0.21 yuan a year earlier.

Baosteel did not provide an earnings forecast for the rest of the year.

In February, the company accepted a 65 percent hike in contract iron ore prices for the new fiscal year.