Nippon Light Metal Enjoys Wide Profit Improvement in 1HF2010

Nippon Light Metal announced on Tuesday the firm’s six-month consolidated operating profit improved to 12.981 billion yen in the first half of fiscal 2010 (April-September 2010) from 3.162 billion yen loss in same period of fiscal 2009 while the recurring profit improved to 9.344 billion yen from 5.628 billion yen loss. The net profit also turned to 4.208 billion yen brack ink from 5.99 billion yen red ink. The six-month net sales increased by 4.3% to 213.932 billion yen.

Aluminium ingot & chemicals division posted net sales at 54.165 billion yen in the first half of fiscal 2010, increasing by 34% on year-on-year basis, with operating profit at 3.691 billion yen, increasing by 326.2%. Sales volume and selling price improved for secondary aluminium alloy.

In aluminium sheet & extrusion division, net sales increased by 32.7% to 34.513 billion yen with operating profit at 2.341 billion yen though the division posted operating loss at 1.902 billion yen in the same period of fiscal 2009. Demand for aluminium sheet and extrusion totally improved while the firm’s cost down efforts contributed to profit recovery.

Fabricated product division gained net sales at 68.301 billion yen with operating profit at 2.616 billion yen in the first half of fiscal 2010. The sales increased by 46.7% on year-on-year basis and the profit improved by 680.9%. Electrode foil sales largely increased for electronic components though panel system business posted low sales and profits.

Aluminium foil & powder division increased net sales by 39.8% to 56.944 billion yen and operating profit by 367.4% to 5.534 billion yen in the first half of fiscal 2010 from the same period of fiscal 2009. Demand for capacitor foil significantly improved. Paste sales also recovered in both domestic and overseas markets.