Strengthening on-site capabilities, quality, cost competitiveness, and sales capabilities in the domestic steel business

「以上の結果、売上高は前年同期対比1,655百万円（2.6％）減収の62,090百万円、営業利益は同6,729百万円（97.6％）減益の168百万円となりました。」

「At the same time, we are strengthening coordination among our sites and optimizing operations across the board, including production, sales and logistics.」

「Although the company worked to raise product prices, they fell by ¥7.6 thousand, or 7.4%, for the full fiscal year due in part to the demand environment, causing the selling and purchasing price spread, the difference between product and raw material prices, to narrow by ¥4.0 thousand, or 7.3%.」

「However, the decline in production and shipments weighed on results, causing revenue to decline by ¥9,157 million, or 12.6%, year on year to ¥63,745 million, and operating profit to decline by ¥975 million, or 12.4%, to ¥6,897 million.」

「In this business segment, domestic construction demand remained subdued. Although corporate capital investment and public investment continued steadily, demand was affected by higher material prices, labor shortages and work-style reforms at construction and logistics sites, and delays and extensions to construction periods caused by exceptionally hot weather. As a result, product shipments during the interim consolidated accounting period declined by 64,000 tonnes year on year to 725,000 tonnes. We sought to maintain product prices by focusing on production in line with demand, but prices fell by ¥1,800, or 1.7%, year on year. Meanwhile, iron scrap prices rose by ¥500, or 1.0%, resulting in a ¥2,300, or 4.2%, contraction in the selling-purchase price spread, the difference between product prices and raw material prices. As a result, revenue declined by ¥7,230 million, or 9.0%, year on year to ¥72,902 million, and operating profit declined by ¥4,533 million, or 36.5%, to ¥7,872 million.」

「Iron scrap prices fell by ¥2,900 per tonne, or 5.3%, year on year as global demand for steel products slowed amid the downturn in China's property market and other factors. Meanwhile, efforts to raise product prices against higher manufacturing and freight costs resulted in a ¥4,900, or 4.8%, increase, expanding the selling-purchase price spread, the difference between product prices and raw material prices, by ¥7,700, or 16.5%. As a result, revenue increased by ¥8,018 million, or 7.2%, year on year to ¥119,915 million, and operating profit increased by ¥8,729 million, or 91.4%, to ¥18,279 million.」

「Iron scrap prices remained weak from April onward and fell by ¥5,200 per tonne, or 9.3%, year on year. However, efforts to raise and maintain product prices resulted in a ¥6,500, or 6.5%, increase, expanding the selling-purchase price spread, the difference between product prices and raw material prices, by ¥11,800, or 27.0%. As a result, revenue increased by ¥4,314 million, or 5.7%, year on year to ¥80,132 million, and operating profit increased by ¥7,405 million, or 148.1%, to ¥12,405 million.」

「In this business segment, while domestic construction demand remained firm, product shipments increased by 4,000 tonnes year on year to 409,000 tonnes. Iron scrap prices remained weak from April onward and fell by ¥11,000 per tonne, or 17.7%, year on year. However, product prices rose by ¥9,000, or 9.2%, as we worked to raise and maintain prices against higher costs, including electricity and transportation costs, resulting in a ¥20,000, or 56.3%, expansion in the selling-purchase price spread. As a result, revenue increased by ¥2,813 million, or 7.2%, year on year to ¥41,753 million, and operating profit increased by ¥5,258 million, or 551.9%, to ¥6,210 million.」

「Although iron scrap prices rose by ¥1,300 per tonne, or 2.4%, from the previous fiscal year, product prices rose by ¥19,300, or 23.4%, as product price increases took hold, resulting in a ¥18,000, or 60.3%, expansion in the selling-purchase price spread, the difference between product prices and raw material prices. As a result, revenue increased by ¥24,623 million, or 19.1%, from the previous fiscal year to ¥153,581 million, and operating profit increased by ¥12,096 million, or 461.4%, to ¥14,717 million.」

「In this business segment, product shipments declined by 63,000 tonnes year on year to 1.133 million tonnes. Although iron scrap prices rose by ¥3,200 per tonne, or 6.2%, year on year, product price increases took hold and product prices rose by ¥20,700, or 25.8%, resulting in a ¥17,600, or 60.2%, expansion in the selling-purchase price spread. As a result, revenue increased by ¥16,595 million, or 17.4%, year on year to ¥111,898 million, and operating profit increased by ¥7,357 million, or 335.5%, to ¥9,550 million.」

「In this business segment, product shipments declined by 27,000 tonnes year on year to 774,000 tonnes. Although iron scrap prices rose by ¥7,300 per tonne, or 14.8%, year on year, product price increases took hold and product prices rose by ¥22,400, or 28.9%, resulting in a ¥15,200, or 53.2%, expansion in the selling-purchase price spread. As a result, revenue increased by ¥13,570 million, or 21.8%, year on year to ¥75,818 million, and operating profit increased by ¥3,605 million, or 258.4%, to ¥5,000 million.」

「In this business segment, product shipments increased by 5,000 tonnes year on year to 405,000 tonnes. Although iron scrap prices rose by ¥15,100 per tonne, or 31.9%, year on year, product price increases took hold and product prices rose by ¥23,800, or 32.2%, resulting in a ¥8,800, or 32.8%, expansion in the selling-purchase price spread. As a result, revenue increased by ¥8,431 million, or 27.6%, year on year to ¥38,940 million, and operating profit increased by ¥33 million, or 3.6%, to ¥953 million.」

「Although the business environment is challenging, we will seek to establish a competitive advantage over other companies through further cost reductions, centered on reducing electricity and other raw material consumption per unit of output, and agile sales activities based on a close assessment of social conditions and demand trends.」

「In this business segment, product shipments increased by 13,000 tonnes year on year to 1.196 million tonnes. Although product prices rose by ¥17,100 per tonne, or 27.0%, year on year, iron scrap prices rose by ¥25,000, or 95.1%, resulting in a ¥7,900, or 21.2%, contraction in the selling-purchase price spread. As a result, revenue increased by ¥13,288 million, or 16.2%, year on year to ¥95,303 million, while operating profit declined by ¥9,373 million, or 81.0%, to ¥2,193 million.」

「In this business segment, product shipments increased by 27,000 tonnes year on year to 802,000 tonnes. Although product prices rose by ¥14,600 per tonne, or 23.2%, year on year, iron scrap prices rose by ¥25,400, or 107.2%, resulting in a ¥10,800, or 27.5%, contraction in the selling-purchase price spread, the difference between product prices and raw material prices. As a result, revenue increased by ¥8,711 million, or 16.3%, year on year to ¥62,248 million, while operating profit declined by ¥6,938 million, or 83.3%, to ¥1,395 million.」

「Although product prices rose by ¥10,400 per tonne, or 16.4%, year on year, iron scrap prices rose by ¥25,400, or 116.7%, resulting in a ¥15,000, or 35.9%, contraction in the selling-purchase price spread. As a result, revenue increased by ¥3,742 million, or 14.0%, year on year to ¥30,509 million, while operating profit declined by ¥3,821 million, or 80.6%, to ¥919 million.」

「Product shipments declined by 72,000 tonnes from the previous fiscal year to 1.57 million tonnes. While iron scrap prices rose by ¥2,700 per tonne, or 10.2%, from the previous fiscal year, product prices fell by ¥4,100, or 6.0%, resulting in a ¥6,800, or 16.5%, contraction in the selling-purchase price spread.」

「Our group worked to secure profit through further cost reductions and product price increases. In this business segment, product shipments declined by 69,000 tonnes, or 5.5%, year on year to 1.183 million tonnes. While product prices fell by ¥6,000 per tonne, or 8.7%, iron scrap prices surged in November last year and continued to rise thereafter, resulting in a decline of only ¥2,000, or 7.0%, for the nine-month cumulative consolidated period. The selling-purchase price spread, the source of profit and the difference between product prices and raw material prices, narrowed by ¥4,000, or 9.8%. As a result, revenue declined by ¥12,089 million, or 12.8%, year on year to ¥82,015 million, and operating profit declined by ¥1,914 million, or 14.2%, to ¥11,566 million.」

「Our group worked to raise product prices in response to higher raw material prices, but product prices declined by ¥7,100 per tonne, or 10.1%, and the selling-purchase price spread, the source of profit and the difference between product prices and raw material prices, narrowed by ¥700, or 1.7%. Meanwhile, cost-reduction efforts at manufacturing sites were effective and led to an improvement in profit year on year. As a result, revenue declined by ¥9,665 million, or 15.3%, year on year to ¥53,537 million, while operating profit increased by ¥463 million, or 5.9%, to ¥8,333 million.」

「In this business segment, product shipments declined by 49,000 tonnes year on year to 382,000 tonnes. Although product prices fell by ¥7,100 per tonne, or 10.0%, year on year, iron scrap prices fell by ¥11,000, or 33.5%, resulting in a ¥3,900, or 10.3%, expansion in the selling-purchase price spread. As a result, revenue declined by ¥6,321 million, or 19.1%, year on year to ¥26,767 million, while operating profit increased by ¥973 million, or 25.8%, to ¥4,741 million.」

「In this business segment, product shipments declined by 52,000 tonnes year on year to 1.25 million tonnes. While iron scrap prices fell by ¥7,700 per tonne, or 21.3%, year on year, product prices rose by ¥1,300, or 1.9%, resulting in a ¥9,000, or 28.0%, expansion in the selling-purchase price spread. As a result, revenue declined by ¥2,243 million, or 2.3%, year on year to ¥94,646 million, while operating profit increased by ¥7,610 million, or 129.6%, to ¥13,484 million.」

「In this business segment, product shipments declined by 12,000 tonnes year on year to 831,000 tonnes. While iron scrap prices fell by ¥5,700 per tonne, or 16.0%, year on year, product prices rose by ¥2,900, or 4.4%, resulting in a ¥8,700, or 27.7%, expansion in the selling-purchase price spread. As a result, revenue increased by ¥1,900 million, or 3.1%, year on year to ¥63,579 million, and operating profit increased by ¥4,425 million, or 128.2%, to ¥7,875 million.」

「In this business segment, product shipments edged up year on year to 431,000 tonnes. While iron scrap prices fell by ¥2,600 per tonne, or 7.3%, year on year, product prices rose by ¥4,200, or 6.4%, resulting in a ¥6,800, or 21.9%, expansion in the selling-purchase price spread.」

「In this business segment, reflecting firm demand for steel products, product shipments increased by 43,000 tonnes year on year to 1.30 million tonnes. Although iron scrap prices rose by ¥5,500 per tonne, or 18.2%, year on year, product prices rose by ¥11,100 per tonne, or 19.6%, as price increases took hold, resulting in a ¥5,600, or 21.1%, expansion in the selling-purchase price spread. As a result, revenue increased by ¥18,027 million, or 22.9%, year on year to ¥96,889 million, and operating profit increased by ¥3,279 million, or 126.3%, to ¥5,874 million.」

「In this business segment, product shipments increased by 18,000 tonnes year on year to 843,000 tonnes. Although iron scrap prices rose by ¥7,400 per tonne, or 26.0%, year on year, product prices rose by ¥11,400, or 20.4%, resulting in a ¥4,000, or 14.5%, expansion in the selling-purchase price spread. As a result, revenue increased by ¥11,048 million, or 21.8%, year on year to ¥61,679 million, and operating profit increased by ¥1,154 million, or 50.2%, to ¥3,451 million.」

「In this business segment, product shipments increased by 20,000 tonnes year on year to 430,000 tonnes. Although iron scrap prices rose by ¥7,800 per tonne, or 28.4%, year on year, product prices rose by ¥11,000, or 19.9%, resulting in a ¥3,200, or 11.5%, expansion in the selling-purchase price spread.」

「As domestic demand for construction steel products was recovering, product shipments increased by 20,000 tonnes from the previous fiscal year to 1.68 million tonnes. Product prices rose by ¥8,000 per tonne from the previous fiscal year following price increases, but iron scrap prices rose by ¥8,800, resulting in a ¥800 contraction in the selling-purchase price spread.」

「In this business segment, demand was recovering, and product shipments increased by 17,000 tonnes year on year to 1.26 million tonnes. Product prices rose by ¥7,200 per tonne, or 14.5%, year on year following price increases, but iron scrap prices rose by ¥8,700 per tonne, or 39.9%, resulting in a ¥1,500, or 5.3%, contraction in the selling-purchase price spread. Manufacturing costs also increased because of higher energy costs and prices for auxiliary materials such as ferroalloys and electrodes.」

「In this business segment, product shipments increased by 14,000 tonnes year on year to 825,000 tonnes. Although product prices rose by ¥6,300 per tonne, or 12.7%, year on year, iron scrap prices rose by ¥7,400 per tonne, or 35.4%, resulting in a ¥1,100, or 4.0%, contraction in the selling-purchase price spread. Manufacturing costs also increased because of higher energy and auxiliary material costs.」

「Our group sought to raise product prices, but the selling-purchase price spread, namely the difference between product prices and raw material prices, narrowed in the third quarter because a certain period is required for prices agreed at the time of contract to be reflected in shipment prices. Product shipments from domestic plants increased by approximately 14,000 tonnes year on year to 1.244 million tonnes.」

「Under these circumstances, our group continued efforts to reduce manufacturing costs, focused on production and sales in line with demand, and worked to maintain an appropriate selling-purchase price spread, namely the difference between product prices and raw material prices.」

「While continuing efforts to reduce manufacturing costs, our group focused on production and sales in line with demand and worked to maintain product prices.」

「We will further strengthen the on-site capabilities that support our group. In manufacturing, we will pursue safe, high-quality, low-cost production, while in sales, we will consistently provide meticulous, customer-focused sales support.」