Daido Steel’s Recurring Loss is 1.2 billion yen in the First Quarter

Daido Steel, Japanese largest special steel maker announced on Tuesday the firm’s consolidated recurring loss was 11.955 billion yen in the first quarter for April-June 2009, which the recurring profit was 4.27 billion yen for April-June 2008. Consolidated sales decreased to 74.369 billion yen by 52.4% in the first quarter from the same period of last year.

Because the demand for mainly automobile didn’t recover and for industrial machine keeps low, the profit and sales dropped largely. The firm’s special steel division reduced the sales and selling volume by 60% in the first quarter from the same period of last year.

Production cost decreased by 14 billion yen by dropped material price and reduction of constant cost in the first quarter from the same period of last year. Meanwhile, the recurring profit decreased by 16.2 billion yen by dropped selling volume of 24.1 billion yen, dropped selling price of 4.3 billion yen and reduced output of 1.5 billion yen.