, a multinational corporation specialising in industrial products, posted 7 per cent decline in net sales to ¥1,681.4 billion (Japanese Yen) in third quarter (Q3) FY19, compared to same period prior year. Operating income for the nine months period that ended on December 31, 2019, fell 7 per cent to ¥104.5 billion compared to Q3 FY18.
Ordinary income in Q3 fell 9.4 per cent to ¥101 billion. Net income attributable to owners of parent decreased 18.6 per cent to ¥66.2 billion.
Sales of carbon fibre composite
materials segment in Q3 increased 16.8 per cent to ¥180.2 billion compared with the same period a year earlier and operating income rose 98.5 per cent to ¥16.6 billion. Group reported an expansion of demand for the aircraft application, strong performance in industrial applications in the environment and energy-related fields such as compressed natural gas tanks and wind turbine blades, and recovery in the demand for sports applications.
Sales of fibres & textiles segment in Q3 FY19 declined 10.4 per cent to ¥682.2 billion compared with the same period a year earlier and operating income fell 20.5 per cent to ¥47.9 billion. Group reported that, while shipment of apparel and industrial applications remained weak in in Japan, Toray pursued sales expansion of materials for uniform and sports applications in US and Europe and focused on strengthening cost competitiveness. Overseas, all applications were reportedly affected by the weak market conditions reflecting the prolonged trade frictions between the US and China and the slowdown in the Chinese economy. Demand for apparel applications including garments and textiles as well as automotive applications in Europe and China, and hygiene products in China remained sluggish.
Sales of performance chemicals segment
in Q3 declined 10 per cent to ¥589.1 billion compared with the same period a year earlier. Operating income fell 7.7 per cent to ¥48 billion. In the resins business, group reported sales in Japan were strong in general, while sales of both automotive and home appliance applications were slow overseas primarily due to the impact of the slowdown in the Chinese economy.
Sales of environment & engineering segment declined 4.2 per cent to ¥176.8 billion compared with the same period a year earlier and operating income declined 28.2 per cent to ¥5.7 billion.
Sales of life science segment declined 0.5 per cent to ¥40 billion compared with the same period a year earlier, while operating income rose 51.2 per cent to ¥1.9 billion.
Group in their forecasts for the fiscal year ending March 31, 2020, revised its full year consolidated forecasts. It now expects consolidated net sales of ¥2,250 billion, operating income of ¥130 billion, ordinary income of ¥121 billion and net income attributable to owners of parent of ¥72 billion.
Fibre2Fashion News Desk (JL)