(Adds forecast, CEO quote, more earnings results)
SYDNEY, Feb 18 (Reuters) - Australia's Treasury Wine Estates Ltd TWE.AX said on Thursday that first-half net profit jumped 42 percent as an aggressive distribution strategy grew sales in China while the company sold more high-end product in the United States.
The result was helped by a near doubling in earnings in Asia, where the world's largest stand-alone wine company shipped 1.2 million cases of wine, up from 612,000 the previous first half, due to the region's growing demand for imported wine.
The owner of the Penfold's, Wolf Blass and Lindemans labels said net profit came in at A$60.6 million ($43.4 million) for the six months to Dec. 31, up from A$42.6 million, while sales rose 22 percent to A$1.1 billion.
Half-yearly sales in Asia leapt to A$157.3 million, from A$69.5 million. Revenue per case grew 10 percent.
Chief Executive Officer Michael Clarke said Treasury would not compete with a growing market of low-end product in China.
"We could grow our commercial portfolio and grow our business and volumes, but we would only do that if we're getting margins that are nearing low-end (mass prestige) volumes," he told analysts on a call.
The company has also been beefing up its distribution in Asia, which Clarke has predicted will be the company's biggest market by 2017.
Since a troubled foray into the U.S. mass market made Treasury a takeover target throughout 2014, it has been taking its portfolio upmarket to widen its margins, including the A$754 million purchase of Diageo Plc's DGE.L U.S. wine unit last year.
U.S. sales jumped 67 percent as the company sold the same number of cases for higher prices, due to the switch to top-shelf product. Australian sales grew 6 percent in a "mature wine market", the company said.
Treasury bumped up its interim dividend to 8 Australian cents, from 6 cents.
($1 = 1.3963 Australian dollars)