Chubu Steel Plate Posts 7.2 Times Profit for F2010

Japanese electric furnace plate steel maker, Chubu Steel Plate announced on Monday the firm’s consolidated sales increased by 83.1% for fiscal 2010 ended March 2011 from fiscal 2009 when the demand is increasing for construction machinery and industrial machine. The operating profit increased to 7.2 times and the recurring profit increased to 4.2 times due to efficient production and cost reduction. Chubu Steel Plate posted the net profit in fiscal 2010 while the firm posted the net loss in fiscal 2009.

Chubu Steel Plate’s steel shipment significantly increased for fiscal 2010 from fiscal 2009 when the firm tried to follow recovering demand for construction machinery and industrial machine timely. Higher raw material cost reduced the margin in and after October-December of 2010 despite the effort to increase the steel selling price. However, Chubu Steel Plate posted higher consolidated sales and profits for fiscal 2010 than originally expected.

Chubu Steel Plate failed to disclose earnings and dividend forecast for fiscal 2011 when the firm cannot calculate ferrous scrap cost, steel selling price and volume under uncertain impact by the major earthquake.

Refer to an attached table.