Japanese steelmaker JFE Holdings Co. has announced its consolidated financial results for the third quarter of the financial year 2022-2023 ending December 31.
In the given period, JFE Holdings recorded a net profit of JPY 143.9 billion ($1.09 billion), down 35.5 percent compared to the same period of the previous fiscal year. The company’s net sales amounted to JPY 3.9 trillion ($29.6 billion), up 26.2 percent year on year.
Meanwhile, in the December quarter, JFE Steel’s consolidated crude steel output dropped to 5.81 million mt, down by 15.2 percent year on year. The company’s shipments in the given period amounted to 5.25 million mt, down 6.75 percent year on year.
The company expects sales revenues of JPY 5.2 trillion for the full financial year, lower than JPY 5.26 trillion, and a net profit of JPY 150 billion, lower than JPY 155 billion, both compared to the forecasts announced in the previous quarter. JFE Steel has also lowered its crude steel production guidance for the full financial year from 25 million mt to 24 million mt.
According to the company’s statement, demand for overseas steel products and market conditions remain weak in the fourth quarter due to economic uncertainty and is postponed especially in the domestic housing, civil engineering and construction sectors amid the rising cost of materials. The company expects steel demand to further decline below the previous forecast due to sluggish activity and reluctance to buy in the domestic market and due to the slow recovery in the overseas market.