Home / Knowledge / News / Textiles / Net income improves at Sumitomo Chemical in Q2
Net income improves at Sumitomo Chemical in Q2
09
Aug '12
The Sumitomo Chemical Group’s consolidated financial results for the first quarter ended June 30, 2012 were as follows. Sales declined by ¥11.9 billion compared with the same period of the previous fiscal year, to ¥490.0 billion. The Group’s operating income was ¥13.0 billion and ordinary income was ¥12.5 billion, both representing year-on-year decreases. However, the Group posted a quarterly net income of ¥0.9 billion, improving from the year-earlier period, when the Group posted an extraordinary loss of ¥29.0 billion from a one-time amortization of goodwill related to its investment in an affiliate.

The Sumitomo Chemical Group’s financial results by business segment for the first quarter ended June 30, 2012 were as follows.

Basic Chemicals

Market prices fell for methyl methacrylate and raw materials for synthetic fibers and their shipments also decreased. As a result, the segment’s sales decreased by ¥8.8 billion compared with the same period of the previous fiscal year, to ¥66.6 billion and operating income declined by ¥9.5 billion to a loss of ¥2.5 billion.

Petrochemicals & Plastics

While market prices of synthetic resins fell, their shipments from overseas subsidiaries increased. As a result, the segment’s sales increased by ¥7.5 billion compared with the same period of the previous fiscal year, to ¥177.5 billion, and operating income declined by ¥5.7 billion, to ¥0.1 billion, mainly because of higher feedstock prices and lower selling prices.

Health & Crop Sciences

In the area of crop protection chemicals, shipments of herbicides remained strong in overseas markets, but domestic shipments decreased. Sales of the long-lasting insecticidal mosquito net, Olyset  Net, decreased due to lower demand. Market prices of the feed additive methionine declined. As a result, the segment’s sales declined by ¥4.4 billion compared with the same period of the previous fiscal year, to ¥67.2 billion, and operating income decreased by ¥1.6 billion, to ¥6.5 billion.

Others

In addition to the above five segments, the Sumitomo Chemical Group engages in supplying electrical power and steam, providing services for the design, engineering, and construction management of chemical plants, providing transport and warehousing, and conducting materials and environmental analysis. The segment’s sales rose by ¥0.5 billion compared with the same period of the previous fiscal year, to ¥11.7 billion. Operating income remained unchanged at ¥1.2 billion.

The Company has revised its consolidated financial forecast of fiscal 2012 announced on May 10, 2012. It now projects its consolidated financial forecast to sales of ¥990.0 billion, operating income of ¥27.0 billion, ordinary income of ¥18.0 billion and net income of nil for the half-year ending September 30, 2012, and sales of ¥2,050.0 billion, operating income of ¥80.0 billion, ordinary income of ¥75.0 billion, and net income of ¥30.0 billion for the full-year ending March 31, 2013. 

The Company revised its full-year assumptions for the price of naphtha from ¥65,000 per kiloliter to ¥52,000 per kiloliter, and for the yen/dollar exchange rate from ¥82.5 per dollar to ¥80.0 per dollar.

Sumitomo Chemical Group

Must ReadView All

Textiles | On 23rd Mar 2017

South Korean Samil Spinning acquires Buhler Quality Yarns

South Korean yarn producer Samil Spinning has acquired US based...

Apparel/Garments | On 23rd Mar 2017

E-retailers to pay up to 1% TCS under GST

E-retail marketplaces will need to deduct up to 1 per cent tax...

Textiles | On 23rd Mar 2017

Lanxess to expand chemical intermediates capacity

The Advanced Industrial Intermediates business unit of German...

Interviews View All

Poojaa Kumar Deepak
Zeven

Zeven's performance sports apparel is designed for the Indian body type,...

C Kamatchisundaram
Voltas

ITME is an occasion not only to receive new leads but also to work on...

Saket Garg
Garg Corporation

The biggest challenge is lack of skilled workforce and competition from...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Igor Chapurin
Chapurin

"Now we can see the Russian trend in international fashion. And Russian...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
March 2017

March 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search