BEIJING -- Some of China's state-owned enterprises (SOEs) face difficulties in structure adjustments as well as risks in their non-principal businesses, according to a report submitted Wednesday to the State Council, or the Cabinet.

Last year, 38 state-owned enterprises entered the world's top 500, up from only 10 in 2006. However, it should be noted that some enterprises have had difficulties in structure adjustments and they face a lot of pressure in energy-saving and environmental protection, said the report delivered by the supervisory commission under the State-owned Assets Supervision and Administration Commission.

From January to July 2011, the business revenue of China's SOEs amounted to 11.4 trillion yuan ($1.8 trillion), up 24.5 year-on-year. The tax they paid during the period reached 998.9 billion yuan, up 28.1 percent from a year earlier, according to the report, which was reviewed at a Cabinet meeting chaired by Premier Wen Jiabao on Wednesday.

"With inadequate management, some companies are not very efficient in arranging their resources and many risks exist in the operations of their sideline businesses," said the report, adding that supervision over these companies' overseas assets should be strengthened.

The Cabinet urged state-owned enterprises to step up their growth mode transformation and exert more efforts in scientific and technological innovations while boosting management and risk prevention.