Kobe Steel’s Al, Cu Unit Posts 6.6 Times Profit for F2010

Kobe Steel announced on Wednesday the aluminium & copper business unit’s consolidated recurring profit increased to 6.6 times at 14.7 billion yen in fiscal 2010 ended March 2011 from fiscal 2009. The sales increased by 16.1% to 304 billion yen. The sales and the profit increased due to strong demand and higher nonferrous metals price. The firm failed to disclose earning forecast for fiscal 2011 due to domestic demand uncertainty after the major earthquake.

Kobe Steel’s nonconsolidated rolled aluminium shipment increased by 3.7% to 281,000 tonnes in fiscal 2010 from fiscal 2009 when the demand increased for automobile, air conditioner and liquid crystal making facilities. The firm’s nonconsolidated rolled copper shipment increased by 17.8% to 59,000 tonnes. The rolled copper shipment was at high level in first half of fiscal 2010 while the demand decreased in and after October 2010 due to inventory adjustment by the users. The firm’s consolidated copper tube shipment increased by 24.9% to 78,000 tonnes due to higher air conditioner sales than expected during hot summer 2010.

Kobe Steel reported about 1.5 billion yen of negative impact on consolidated recurring profit of aluminium & copper business unit in fiscal 2010 when aluminium and copper rolling Moka plant in Tochigi had damage due to the major earthquake.