Japan Brass Bar Makers Post High Profit, Low Profit for Flat Copper Rollers

Japanese major 3 flat rolled copper makers posted lower operating profit for April-June from same period of 2007 due to higher depreciation cost while 2 brass bar makers recorded higher profit with gain from price change of raw materials.

Furukawa Electric’s metal unit posted 44% lower operating profit at 941 million yen with 0.7% lower sales at 53.272 billion yen for April-June from same period of 2007. The unit posted higher depreciation when the copper rolling facilities’ life period was changed from 12 years to 7 years while the sales volume of copper tube was low for air conditioner.

Dowa Holdings’ metal processing unit posted 6.8% lower operating profit in April-June from same period of 2007. The higher cost for ceramic substrate and slower sales for precious metals impacted on the profit despite of higher sales for alloyed copper strip and sheet.

San-Etsu Metals posted 50.8% higher operating profit with 32.1% higher sales in April-June from same period of 2007. The higher sales volume, which increased by 43% to 19,519 tonnes due to acquisition last year, contributed to the higher profit. The unit also gained from valuation gain from price change of raw materials.

See attached table.