SeAH Japan Posts 40% Y/Y Higher Sales in Jan-Jun 2010

SeAH Japan, a sales subsidiary of South Korean SeAH Steel Corporation, posted 7.6 billion yen net sales with 99 million yen recurring profit for January-June 2010. The sales increased by 40% against the same period of 2009 while the profit downed by 1%. In January-June 2010, SeAH Steel, the largest welded steel tube maker in South Korea, implemented price hike for carbon steel tube and SeAH Japan’s selling price of imported carbon steel tube improved.

SeAH Japan’s export business was also steady in January-June 2010, including ferrous scrap export to SeAH Besteel, a special steel tube maker in South Korea, and hot coil export to SeAH Steel Vina Corp, a welded steel tube maker in Vietnam. The export sales accounted for 70% in January-June 2010 against 50% in the same period of 2009. SeAH Japan’s steel tube sales totaled 110,000 tonnes in January-June 2010.

For a full year of 2010, SeAH Japan aims 13 billion yen net sales, which shows 20.3% year-on-year increase, with 130 million yen recurring profit, 10% year-on-year decline. In the second half year, demand and price are likely to worse in Japanese market. However, SeAH Japan tries to maintain the annual profit level.

SeAH Japan imports carbon steel tube, welded stainless steel tube and hot dip galvanized coil from SeAH Steel as well as welding rod from SeAH ESAB and special steel products from SeAH Besteel to sell in Japanese market. In recent years, SeAH Japan also covers export business to SeAH Group companies.