Tokuyama Corp. Reports Consolidated Earnings Results for the Nine Months Ended December 31, 2015; Revises Consolidated and Non-Consolidated Earnings Guidance for the Year Ending March 31, 2016
January 29, 2016 at 08:30 pm IST
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Tokuyama Corp. reported consolidated earnings results for the nine months ended December 31, 2015. For the period, the company reported net sales of JPY 226,658 million compared to JPY 222,029 million a year ago. Despite weaker selling prices of petroleum chemicals on the back of a downturn in domestic naphtha prices, this was largely attributable to the upswing in sales volumes of soda ash and calcium chloride as well as solar-grade polycrystalline silicon. Operating income was JPY 12,940 million compared to JPY 15,867 million a year ago. of the previous year, to JPY 12,940 million. Despite profitability improvement of petroleum chemicals impacted by the drop in domestic naphtha prices and the weaker yen, this was largely attributable to the increased burden of depreciation expenses at Tokuyama Malaysia Sdn. Bhd. Ordinary income was JPY 9,386 million compared to JPY 11,057 million a year ago. Loss attributable to owners of parent was JPY 115,806 million or JPY 332.91 per basic share compared to JPY 78,878 million or JPY 226.73 per basic share a year ago. Loss before income taxes and minority interests was JPY 107,221 million compared to JPY 77,163 million a year ago. Non-operating income/expenses improved JPY 1,254 million compared with the corresponding period of the previous year, due chiefly to a change from foreign exchange losses recorded in the corresponding period of the previous year to foreign exchange gains. As a result, ordinary income decreased.
For the year ending March 31, 2016, on consolidated basis, the company expects loss attributable to owners of parent of JPY 103,000 million or JPY 296.10 per basic share. Net sales are expected to be JPY 306,000 million, operating income is expected to be JPY 20,000 million and ordinary income is expected to be JPY 15,000 million compared to the previous forecast of net sales of JPY 306,000 million, operating income of JPY 20,000 million, ordinary income of JPY 14,000 million and profit attributable to owners of the parent company of JPY 14,000 million or JPY 40.25 per basic share.
For the year ending March 31, 2016, on non-consolidated basis, the company expects to report net sales of JPY 185,000 million, ordinary income of JPY 22,000 million and loss of JPY 104,000 million or JPY 298.97 per basic share compared to previous forecast of sales of JPY 185,000 million, ordinary income of JPY 8,000 million and profit of JPY 8,500 million or JPY 24.44 per basic share.
Tokuyama Corporation specializes in manufacturing and marketing chemical products. Net sales break down by family of products as follows:
- staple chemical products (28%): primarily caustic soda, sodium chlorite, calcium chloride, polyvinyl chloride, polypropylene and methylene;
- fine chemistry products (14.6%): primarily for the manufacturing of packaging, dental care equipments and clinical analysis systems;
- specialty chemical products (15.1%): detergents, emulsifiers, additives, chemical intermediates, etc.;
- other (12.5%).
The remaining sales (29.8%) are from the cement production activity.
At the end of march 2021, the group had 10 production sites located in Japan (2) and Asia (8).
Net sales are distributed geographically as follows: Japan (78.9%), Asia (17.1%) and other (4%).
Tokuyama Corp. Reports Consolidated Earnings Results for the Nine Months Ended December 31, 2015; Revises Consolidated and Non-Consolidated Earnings Guidance for the Year Ending March 31, 2016