Profits at China's industrial firms have extended gains for a fifth consecutive month in December, in a further sign of economic upswing.

Data from the National Bureau of Statistics showed on Saturday that industrial enterprises with annual revenue of at least 20 million yuan ($2.8 million) saw their total profits increase 16.8 percent year-on-year in December after a 29.5 percent rise in November.

In 2023, firms of industrial firms fell 2.3 percent year-on-year to 7.69 trillion yuan, narrowing from the 4.4 percent drop in the first 11 months, the bureau said.

NBS statistician Yu Weining said the data point to a continued recovery trend in industrial profits, adding that more efforts should be made to consolidate the recovery trend and the promotion of high-quality development of the industry.

Among the 41 major industrial sectors surveyed, 27 saw year-on-year growth in their profits in 2023.

Last year, profits recorded by industrial firms that offer supplies of electricity, heat, gas and water grew by 54.7 percent year-on-year, up from the 47.3 percent rise in the first 11 months.

Meanwhile, profits recorded by mining firms and manufacturing companies shrank 19.7 percent and 2 percent, respectively, compared to the 18.3 percent and 4.7 percent contraction in the first 11 months.

Notably, profits at equipment manufacturing enterprises rose by 4.1 percent last year, up from the 2.8 percent rise in the first 11 months, NBS data showed.

According to a breakdown of the NBS data, State-owned firms saw earnings fall 3.4 percent year-on-year last year. Foreign firms booked a 6.7 percent decline and private-sector companies recorded a 2 percent growth.