BEIJING -- Major Chinese industrial firms saw their combined profits rise 11.6 percent year-on-year in July, quickening from the 6.3-percent rate seen in June that points to further evidence of a firming economy, official data showed on Tuesday.

The profits of industrial companies with annual revenues of more than 20 million yuan ($3.24 million) hit 419.55 billion yuan in July, the National Bureau of Statistics said in a statement.

In the first seven months, their profits rose 11.1 percent to 3.0 trillion yuan.

Tuesday's data came after a string of other economic indicators, from factory output and retail sales to foreign trade, showed the world's second-largest economy may be gradually stabilizing after a protracted slowdown.

Among the latest evidence, HSBC's preliminary reading for China's manufacturing sector showed the Purchasing Managers Index (PMI) rose to 50.1 in August, the highest level in four months.