Japan 5 Trading Houses Post Highest Profits in Metal Segment in F2005

Japanese 5 major trading houses posted the highest net profits in their metal related segments in fiscal 2005 ended March 2006. Mitsubishi Corporation posted 135.7 billion yen of net profit in the metals group, 2.8 times of fiscal 2004, and Mitsui Corporation 7.4 billion yen in the metal section, 1.6 times of fiscal 2004. Each company owed income expansion to surging prices of iron ore, coking coal, copper and zinc. The trading houses could also post much higher profits in steel products sections thanks to firm steel prices at overseas market through fiscal 2005 though overseas market price entered adjustment phase in half year to March 2006. Total of their consolidated net income in metal related segments doubled to 302.5 billion yen in fiscal 2005 from fiscal 2004.Mitsubishi Corp posted favorable earnings in the metals group thanks to profit expansion at Metal One, the subsidiary selling steel products in Japan, and Australian raw metals subsidiary. Mitsui’s metal section posted 19.3 billion yen of net profit in iron & steel business unit, increasing by 67.2% from fiscal 2004, and 54.6 billion yen in iron & steel raw materials & non-ferrous metals products business unit, increasing by 54.4%.Sumitomo Corporation posted 18.9 billion yen of net profit in metal products business unit in fiscal 2005, increasing by 42.1% from fiscal 2004. Marubeni Corporation increased net profit of metals segment by 55.4% to 33.1 billion yen, 17 billion yen in iron & steel strategies and coordination department and 16.1 billion yen in metals & mineral resources division. Itochu Corporation posted 40.7 billion yen of net profit in energy, metals & minerals company, increasing by 95.3% from fiscal 2004.