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Nippon Steel Logs Record Sales from April through December 2007
01/31/2008 - Nippon Steel reports record sales through its fiscal third quarter ended December 31, 2007, crediting “brisk shipments to automakers and shipbuilders as well as higher prices for steel products.”
Nippon Steel Corp reported this week that its group sales soared to record levels through the fiscal third quarter ended December 31, 2007. The company credits “brisk shipments to automakers and shipbuilders as well as higher prices for its steel products.”
In its fiscal third quarter (October 1 to December 31, 2007), on a consolidated basis, the company produced 9.24 million tonnes of crude steel, and shipped 8.23 million tonnes of steel product. During the quarter, the average price of the company’s steel products rose to 80,200 yen per ton, as compared to an average price of 79,300 yen in the fiscal first half, which ended in September.
The company said that while supply/demand conditions continue to be strong, cost increases have exceeded expectations, as market prices for raw materials and fuels, especially steel scrap, ocean freight, and crude oil, have soared. “While we are still striving to reduce costs as much as possible through in-house initiatives,” said the company, “we will continue to seek price increases from our customers by asking for their understanding in view of the higher market prices for raw materials and fuel.”
Through the first nine months (April 1 to December 31, 2007), the company’s consolidated net income reached ¥263.0 billion on consolidated net sales came to ¥3,506.1 billion. Sales reflected a 14.3% increase compared to the same period last year.
Recurring profit fell 0.7% to 434,669 million yen due to changes in depreciation accounting as well as higher costs for raw materials and rising transport costs. The company kept its recurring profit estimate at a record 600 billion yen for the full year ending in March.
Recurring profit fell 0.7% to 434,669 million yen due to changes in depreciation accounting as well as higher costs for raw materials and rising transport costs. The company kept its recurring profit estimate at a record 600 billion yen for the full year ending in March.
