Japan’s steel producer Kobe Steel (Kobelco) has revised its FY2021 (ending March 31, 2022) net sales forecast upward by 9.6pc to JPY1.9tn ($17.49bn) from actual net sales of JPY1.71tn in FY2020. Its net profit for this fiscal is expected to be JPY25bn versus an actual profit of JPY23.2bn last year. Kobelco had anticipated a JPY7bn profit for FY2020 in February 2021.
Kobelco’s H1 FY2021 net sales are indicated to be 17.2pc higher at JPY9.1bn against its previous year’s first-half period total of JPY7.8bn. The company is targeting a JPY10bn attributable profit for H1 FY2021 compared to a loss of JPY15bn in the same period last year.
The company attributed the increased estimates to economic recovery in Japan and enhanced measures by industries in preventing the spread of COVID-19.
Crude steel production in FY2020 was 5.27mn mt down from 5.9mn mt the previous year. Aluminum rolled products output was 276,691mt from 271,248mt during the same fiscal period in review. Total production of aluminum extrusions, copper rolled products, and copper tubes were 31,000mt, 48,000mt, and 67,000mt.
Kobelco’s net sales of steel and aluminum products decreased by JPY83.9mn to JPY696.3bn in FY2020, from JPY780.2bn in the previous year. Net sales of welding materials in the same period were down JPY13.7bn to JPY70bn from JPY83.7bn.