Japanese steelmaker Nippon Steel & Sumitomo Metal Corp. (NSSMC) has announced its financial results for the first half ended September 30 of the financial year 2019-20, posting a net profit of JPY 49.44 billion ($457.77 million), falling by 57.3 percent compared to the corresponding period of the previous financial year. In the given period, the company's net sales amounted to JPY 3.05 trillion ($28.24 billion), up 3.6 percent year on year.
During the October-December period, NSSMC's steelmaking and steel fabrication segment recorded net sales of JPY 2.7 trillion ($25 billion), rising by 4.2 percent year on year.
Meanwhile, in the given period, NSSMC produced 24.26 million mt of crude steel, up 2.6 percent, while the company's steel product shipments amounted to 18.43 million mt, remaining almost unchanged, both year on year.
According to NSSMC’s statement, the steelmaking and steel fabrication segment experienced a decline in domestic demand for indirect exports, caused by slower consumption in Asia. Overseas steel demand lacked strength, particularly for flat steel products, as production of consumer goods declined due to concern about deteriorating economic conditions in China. The company said that steel prices in Japan remained generally firm, while prices in overseas markets fell in the second half of the previous fiscal year and have since been stagnant.
For the full financial year, the company expects sales revenues of JPY 6.1 trillion ($56.5 billion).