Japanese major aluminium re-rollers forecast year-to-year higher profits for fiscal 2012 mainly by the sales volume increase. The re-rollers suffered from low sales volume of rolled aluminium products in fiscal 2011, impacted by the Japan Earthquake, economic deterioration and Thai flood. In fiscal 2012, disaster factors disappear while the demand conditions are expected to improve mainly in car industry. Three major re-rollers forecast year-to-year higher operating profits for fiscal 2012 out of 4 re-rollers those who disclosed their annual financial forecasts.
Furukawa-Sky Aluminum plans 412,000 tonnes of total sales volume for aluminium flat products, extruded and forged products in fiscal 2012 ending in March 2013, increasing by 4% from fiscal 2011. The firm expects aluminium plate sales could more than double to 13 tonnes for LNG. Export is also expected to increase. Nippon Light Metal forecasts recurring profit increase by 4.3 billion yen in fiscal 2012, 1.4 billion yen of which would generate from the sales increase of existing products. The firm views rolled aluminium sales could increase for automotive parts and truck bodies mainly in the first 6 months. The company also expects for 1.8 billion yen profit increase by the sales increase of new products. Japanese aluminium re-rollers’ results are supposed to turn upward in fiscal 2012 thanks to the recovery from disasters and the sales volume improvement. Meanwhile, it is concerned that car related demand might slow down in the second half year since the demand is presently pulled by Japanese incentive program for environment friendly cars. Sumitomo Light Metal Industries also forecasts annual profit increase in fiscal 2012 while the profit improvement seems to rely on copper alloy products. In the copper tube business, Sumitomo Light Metals purchased some of productive facilities and succeeded most of the customers from Hitachi Cable in reference to Hitachi Cable’s withdrawal from domestic copper tube production. Sumitomo Light Metals can benefit from the sales volume up and higher operating rate.