State shipbuilder China CSSC Holdings has posted a fall in 2017 profit as revenue dropped.

The Shanghai-listed company said net earnings last year were CNY 2.3bn ($365.5m), down from CNY 2.6bn in 2016.

Revenue fell to CNY 16.7bn from CNY 21.5bn over the same period.

Rumours in the last few weeks have suggested China is preparing to merge CSSC with compatriot state yard group China Shipbuilding Industry Co (CSIC).