Mitsui Sumitomo Metal Mining Brass & Copper Posts Half-Year Loss in 2H F2011

Japanese major copper and copper alloy fabricator, Mitsui Sumitomo Metal Mining Brass & Copper announced on Monday the company posted 1.109 billion yen of recurring profit in a full fiscal year ended in March 2012. The company suffered recurring loss in the second half year due to the sales volume deterioration and electrolytic copper price down. The annual net sales were 57.16 billion yen. In fiscal 2012 ending in March 2013, the company targets 2 billion yen of recurring profit.

Mitsui Sumitomo Metal Mining Brass & Copper was established in July 2010. The company announced its first full-year financial results in fiscal 2011. The 12-month recurring profit was lower than the 9-month recurring profit at 1.5 billion yen in the period from July 2010 to March 2011.

In the first half (April-September 2011), the company achieved initially planned output and sales volume as well as targeted profit level despite of negative impact of electricity shortage after the Japan Earthquake.

In the third quarter (October-December 2011), the demand deteriorated for connectors while inventory evaluation loss emerged due to electrolytic copper price downturn for August-September. In the fourth quarter (January-March 2012), the shipment was stable for automotive connectors but the quarterly loss couldn’t be fully eliminated.