Japan Major Light Metal Rerollers Post Lower Profit

Japanese major 4 light metal rerollers are suffered from higher cost and very slow building market. The 3 makers posted lower operating profit for April-December from same period of 2006 while 3 makers reported higher sales. Nippon Light Metal posted lower profit with higher sales for the 9 months from same period of 2006. The firm said the demand was firm for automobile while the building demand was very slow. The loss from building materials reduced the profit. The firm expects net loss for the full year.

Kobe Steel’s aluminium and copper unit reported higher sales for aluminium rolled products with firm demand for can and automobile in the 9 months from same period of 2006 while the rolled copper products decreased due to lower sales for air conditioner. The unit reported higher sales and lower profit.

Sumitomo Light Metal Industries reduced the sales in the 9 months from same period of 2006 when the firm divested Nippon Trex, which is truck body maker, while the recurring profit increased by around 15% thanks to better profit from offshore smelting subsidiary.

Furukawa-Sky Aluminum was suffered from lower demand for digital devices industry and construction market in the 9 months. The firm posted more than 10% lower profit from same period of 2006.

See attached table.