Metal One to Invest in Southeast Asia, India in Fiscal 2010

Japanese major steel trade firm, Metal One Corporation increases the direct investment in the overseas market to 8-9 billion yen in fiscal 2010 started April. The firm aims to build the steel distribution network in emerging countries.

The overseas sales rate of Metal One increased by 5 percentage points to around 30% in fiscal 2009 from fiscal 2008 when the overseas demand recovered earlier than the domestic market. The firm plans to increase the rate to 50% in the future while increases the domestic sales, said Mr. Naoto Matsuoka, chief executive officer. The firm moves the investment forward in Southeast Asia and India, where the firm conducted the feasibility study in 2009.

The firm estimates the consolidated net profit increases to 18 billion yen level in fiscal 2010 from 10.473 billion yen in fiscal 2009. The firm plans to increase the investment more when the profit increases more.

The consolidated recurring profit decreased by 49.3% in fiscal 2009 from fiscal 2008. The net profit was 8.9 billion yen in the second half of fiscal 2009. The sales decreased by 36.7% to 2.109 trillion yen.