The firm increased 30 billion yen of consolidated operating profit, 32.9 billion yen of recurring profit and 21.1 billion yen of net profit with 234.1 billion yen of sales for first half of fiscal 2004. The firm posted record earnings when electronics materials and advanced materials units enjoyed favorable market condition, construction unit regained profitability and it revised valuation method of inventory assets.

The metal business also enjoyed firm demand and higher prices. The parent company increased sales by near 30% for copper, by around 25% for nickel and by 23% for gold for the first half from same period of last year. The metal and metal processing business represented around 70% of 52.8 billion yen of the consolidated sales increase and around 65% of 21.3 billion yen of operating profit increase.

The first half results were achieved under the way to improved ore purchase condition. The firm enjoyed higher metal prices for the first half and will gain from better ore purchase condition for fiscal 2005.

The firm is negotiating for 2-year purchase contract of copper ore starting 2005. The condition is expected to improve more than double. The firm could gain from the better condition with the higher metals prices in and after fiscal 2005.