October 13, 2008

Nippon Steel net in 2007-08 dips by 6% YoY

World's second biggest steelmaker Nippon Steel Corp has posted a 6% drop in annual profit and predicted a 34% fall for the current financial year to March 2009 as raw material costs soar.

Nippon Steel’s operating profit at Nippon Steel's steelmaking division, which accounted for 87% of the total, dropped by 7.5% YoY to JPY 475.9 billion from JPY 514.5 billion in the previous year. Net income declined by 19% to JPY 88.9 billion.

Nippon Steel said that it saw JPY 370 billion in pretax recurring profit for the current year to March 2009. The company said it was still negotiating with its main domestic customers over a price increase and the forecast is provisional.