Japan Wire Rope Makers Recover Recurring Profits for Apr-Dec 2010

Japanese 3 steel wire and rope makers, out of 5 listed makers, posted much higher consolidated recurring profit year-on-year for April-December 2010. Suzuki Metal Industry recovered 9-month recurring profit. Tokyo Rope Mfg, Japanese largest wire rope maker, increased sales of tire code thanks to car production recovery despite of weak demand for civil engineering. Meanwhile, Shinko Wire and Nichia Steel revised downward their full-year financial forecasts for fiscal 2010 ending in March 2011. Sales volume decreased for building material and civil engineering at Shinko Wire and Nichia Steel.

Suzuki Metal Industry and Suncall improved their 9-month profits along car production recovery and overseas business expansion. Suzuki Garphyttan, a subsidiary of Suzuki Metal Industry, could increase the production. Shinko Wire decreased sales volume and value for steel wire applied to precast concrete and wire rope.

The 5 makers’ profits may decrease for January-March and in fiscal 2011 when the demand recovery slow down for automobiles and appliances while yen exchange rate maintains strong.