Efficient Operations in the Smelting Business
First written in FY2016. 14 of 32 entries say "Worsened", first in FY2019-Q2. Latest entry: 2026-08-14.
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- 2026-08-14Cited as achievedEarnings presentation
「Effects of measures to sell assets held, including silver (+10)」
The sale of assets held, including silver, following the reorganization of zinc smelting was cited on an actual-results basis as a factor in improving earnings in the first quarter of FY2026. - FY2026AdvancedAnnual report
「Based on this rehabilitation plan, the zinc smelting business was restructured into a metal recycling business and has been presented as a separate business division from the current consolidated fiscal year.」
The business moved beyond its previous framework of continuing efficient operations in the smelting business and progressed to the concrete stage of restructuring zinc smelting into a metal recycling business managed as an independent segment. - FY2026-H1ReframedAnnual report
「During the interim consolidated accounting period, following the shutdown of the major zinc smelting facilities at the end of March 2025, earnings from sales of the remaining zinc product inventory and expenses related to residual administrative work were recorded.」
The business moved from its previous focus on continuing efficient operations in the smelting business to the stage of restructuring into a metal recycling business, following the sale of inventory and completion of residual administrative work after the shutdown of the zinc smelting facilities. - FY2025ReframedAnnual report
「The major facilities of the zinc smelting business were shut down at the end of March 2025.」
The business shifted from its previous focus on continuing efficient operations in the smelting business toward restructuring around metal recycling, centered on the processing of various metal products and zinc dust, following the shutdown of the major facilities of the high-cost zinc smelting business. - FY2025-H1MitigatedAnnual report
「Although electricity and other materials costs remained high during the period, they declined from the same period of the previous year. Higher zinc prices and a weaker yen also contributed to improved earnings.」
In the smelting business, electricity and other materials costs remained high but declined year on year, and ordinary profit in the smelting division increased 48% year on year. The cost environment that had hindered efficient operations eased to some extent. - FY2024WorsenedAnnual report
「Higher electricity and auxiliary raw material costs, including coke, have created a high-cost business structure and significantly worsened profitability.」
The smelting business explicitly identified higher electricity and auxiliary raw material costs as creating a high-cost structure and worsening profitability, making the operating environment for the previous goal of efficient operations even more challenging. - FY2024-Q3WorsenedAnnual report
「In terms of earnings, lower zinc prices reduced free metal revenue, while lead and silver were affected by lower production and higher procurement prices for recycled materials. As a result, profit declined by ¥3.3 billion year on year.」
Ordinary profit in the smelting business declined 73%, from ¥4.561 billion in the same period of the previous year to ¥1.227 billion. Lower zinc prices, lower production and higher procurement prices for recycled materials weighed on earnings. - FY2024-Q2WorsenedAnnual report
「In terms of earnings, in addition to the continued high electricity and other materials costs seen since the previous fiscal year, lower zinc prices reduced free metal revenue, while lead and silver were significantly affected by lower profit from other products, including gold. As a result, profit declined by ¥2 billion year on year.」
Ordinary profit in the smelting business declined 71%, from ¥2.867 billion in the same period of the previous year to ¥831 million, as earnings from efficient operations deteriorated. - FY2024-Q1WorsenedAnnual report
「In terms of earnings, in addition to the continued high electricity and other materials costs seen since the previous fiscal year, lower zinc prices reduced free metal revenue, commissioned processing fees increased, and an inventory valuation loss was recorded. Lead and silver were also affected by lower profit from other products, including gold, resulting in an ordinary loss of more than ¥2.6 billion for the business division as a whole.」
The smelting business reported an ordinary loss of ¥610 million due to higher electricity and materials prices, lower zinc prices, higher commissioned processing fees and inventory valuation losses. - FY2023WorsenedAnnual report
「However, in terms of earnings, profit-reducing factors such as higher electricity rates and other materials prices had a significant impact, resulting in a ¥3.647 billion, or 56%, decline in profit from the previous period. Operating profit was ¥2.822 billion.」
Operating profit in the smelting business declined 56%, from ¥6.470 billion to ¥2.822 billion, as higher electricity rates and other materials prices significantly weighed on earnings. - FY2023-Q3WorsenedAnnual report
「In addition, although the performance of the business division, including other products such as sulfuric acid, increased revenue, profit declined year on year as processing costs deteriorated significantly amid higher energy costs, including electricity, and higher prices for other materials.」
Operating profit in the smelting business declined 22%, from ¥5,668 million in the same period of the previous year to ¥4,421 million, as higher energy and other materials costs worsened processing costs and weighed on earnings. - FY2023-Q2WorsenedAnnual report
「Operating profit 3,595 2,860 △735 ( △20 )」
Operating profit in the smelting business declined 20%, from ¥3,595 million in the same period of the previous year to ¥2,860 million. Higher energy costs, including electricity, and other materials prices worsened processing costs, while inventory write-downs under the lower-of-cost-or-market method due to falling market prices also weighed on earnings. - FY2023-Q1WorsenedAnnual report
「In terms of earnings, the resources business posted higher profit, helped by improved ore grades and high metal prices. The smelting business, however, reported lower profit year on year after recording higher energy and other materials costs and an inventory write-down under the lower-of-cost-or-market method due to falling market prices.」
The smelting business reported operating profit of ¥2,055 million, down 18% year on year. Higher energy and other materials costs and inventory write-downs under the lower-of-cost-or-market method due to falling market prices weighed on earnings from efficient operations. - FY2022RestatedAnnual report
「Despite profit-reducing factors such as deteriorating ore purchasing terms and surging electricity and materials prices, higher metal prices and increased processing of recycled materials resulted in a ¥678 million, or 12%, increase in profit from the previous period. Operating profit was ¥6.470 billion.」
Despite headwinds from deteriorating ore purchasing terms and higher costs, the smelting business has maintained profitability and higher profit, supported by high metal prices and increased processing of recycled materials. - FY2022-Q3AdvancedAnnual report
「Although factors reducing profit included lower inventory valuation gains, due to hedging against market risks and the impact of inventory write-downs, as well as deteriorating ore purchasing terms for zinc, profit increased year on year, mainly because higher zinc prices increased free metal revenue and the use of recycled materials boosted profit.」
The smelting business reported operating profit of ¥5,668 million, up 50% year on year. Despite the deterioration in zinc ore purchasing terms, higher free metal revenue and the use of recycled materials were cited as specific drivers of higher profit. - FY2022-Q2Higher profit alongside deteriorating ore purchasing termsAnnual report
「Although higher metal prices also boosted profit, the deterioration in ore purchasing terms, mainly for zinc, and the decline in inventory valuation gains limited the increase to a modest level year on year. In the same period of the previous year, metal prices were rising and the Company recorded substantial inventory valuation gains, whereas in the current quarter, metal prices remained stable at high levels and inventory valuation gains were limited.」
The smelting business reported operating profit of ¥3,595 million, up 4% year on year, but the deterioration in zinc ore purchasing terms and the limited inventory valuation gains restrained the increase in profit. - FY2022-Q1AdvancedAnnual report
「In terms of earnings, the smelting business reported a ¥1.6 billion year-on-year increase in profit, reflecting higher metal prices and the benefits of stable operations, among other factors.」
The benefits of stable operations, among other factors, were cited as drivers of higher profit in the smelting business, with operating profit increasing from ¥920 million in the same period of the previous year to ¥2,495 million. - FY2021AdvancedAnnual report
「In terms of earnings, improved ore purchasing terms, processing costs and inventory valuation gains and losses had a significant impact, resulting in a sharp increase of ¥15.858 billion from the previous period. Operating profit was ¥5.791 billion.」
The smelting business swung from an operating loss of ¥10.067 billion in the previous period to operating profit of ¥5.791 billion, demonstrating concrete progress in earnings through improved ore purchasing terms, processing costs and inventory valuation gains and losses. - FY2021-Q3AdvancedAnnual report
「Meanwhile, operating profit increased sharply by ¥9.7 billion year on year and the Company returned to profitability, helped by the recognition of an inventory valuation gain (versus an inventory valuation loss in the same period of the previous year), higher sales of gold and silver, and lower non-ferrous slag processing costs.」
The smelting business returned to profitability, from an operating loss of ¥5,933 million in the same period of the previous year to operating profit of ¥3,771 million. Inventory valuation gains, higher sales of gold and silver, and lower non-ferrous slag processing costs were cited as specific factors behind the improvement. - FY2021-Q2AdvancedAnnual report
「Meanwhile, operating profit increased substantially by ¥9 billion year on year and the company returned to profitability, partly because an inventory valuation gain was recorded, compared with an inventory valuation loss in the same period of the previous year, and because sales of gold and silver increased and processing costs for non-ferrous slag products declined.」
Operating profit in the smelting business turned from an operating loss of ¥5,512 million in the same period of the previous year to operating profit of ¥3,468 million. Specific earnings improvements were reported, including improved ore procurement terms, higher sales of gold and silver, and lower processing costs for non-ferrous slag products. - FY2020WorsenedAnnual report
「The smelting business, the company's core business, recorded segment losses, on an operating profit basis, for 2 consecutive years in fiscal 2018 and fiscal 2019. In particular, it recorded a loss of more than ¥10 billion in fiscal 2019, making the recovery of the business an urgent priority.」
The smelting business recorded segment losses for 2 consecutive years, with its operating loss widening to ¥10,067 million in fiscal 2019. - FY2020-Q3WorsenedAnnual report
「Operating profit declined by ¥3.3 billion year on year and became an operating loss of ¥5.9 billion, partly because the sharp fall in zinc prices resulted in substantial inventory valuation losses and costs were recorded for processing non-ferrous slag products.」
The operating loss in the smelting business widened to ¥5.9 billion due to inventory valuation losses resulting from lower zinc prices and costs for processing non-ferrous slag products. - FY2020-Q2WorsenedAnnual report
「Operating profit declined by ¥2 billion year on year and became an operating loss of ¥5.5 billion, partly because the sharp fall in zinc prices resulted in substantial inventory valuation losses and costs were recorded for processing non-ferrous slag products.」
The smelting business deteriorated to an operating loss of ¥5,512 million due to inventory valuation losses resulting from lower zinc prices and costs for processing non-ferrous slag products. - FY2020-Q1WorsenedAnnual report
「Operating profit declined by ¥4.2 billion year on year and turned into an operating loss of ¥3.8 billion, partly because the sharp fall in metal prices resulted in substantial inventory valuation losses and costs were recorded for processing non-ferrous slag products.」
Operating profit in the smelting business turned from ¥408 million in the same period of the previous year to an operating loss of ¥3,788 million, worsening the earnings conditions related to efficient operations. - FY2019RestatedAnnual report
「The smelting business continues to face a challenging environment, including higher processing costs. A major challenge is to eliminate the impact of market conditions as far as possible through thorough cost reductions. It is necessary to establish an optimal operating structure, including the use of recycled raw materials and improvements to the manufacturing process.」
The smelting business continues to identify efficient operations as a key challenge, citing cost reductions, the use of recycled raw materials and improvements to the manufacturing process. - FY2019-Q3WorsenedAnnual report
「Operating profit declined by ¥6.8 billion year on year and turned into an operating loss of ¥2.7 billion, partly because the sharp fall in metal prices resulted in substantial inventory valuation losses.」
The smelting business recorded a ¥6.8 billion year-on-year decline in profit and turned into an operating loss of ¥2.7 billion due to substantial inventory valuation losses. - FY2019-Q2WorsenedAnnual report
「Operating profit declined by ¥5.5 billion year on year and turned into an operating loss of ¥3.5 billion, partly because the sharp fall in metal prices resulted in substantial inventory valuation losses.」
Operating profit in the smelting business turned from ¥1,979 million in the same period of the previous year to an operating loss of ¥3,548 million, worsening the earnings conditions related to efficient operations. - FY2019-Q1Higher profit in the smelting businessAnnual report
「In addition, performance in this segment, including sulfuric acid and other products, improved year on year, with revenue increasing slightly despite lower sales of lead and silver, partly due to higher metal prices. Operating profit also increased year on year, partly as a result of improved gains and losses from the lower-of-cost-or-market valuation.」
Operating profit in the smelting business rose from an operating loss of ¥52 million in the same period of the previous year to operating profit of ¥408 million in the current quarter. Improvements in gains and losses from the lower-of-cost-or-market valuation and other factors were cited as drivers of higher profit, but there was no new disclosure on measures specifically aimed at efficient operations. - FY2018-Q3Lower profit due to worsening ore procurement termsAnnual report
「Although metal prices rose, profit in the smelting business declined year on year due to worsening ore procurement terms and other factors.」
While rising metal prices had a favorable impact, worsening ore procurement terms and other factors caused profit in the smelting business to decline, identifying a revenue-side obstacle to efficient operations. - FY2018-Q1Higher smelting and processing costsAnnual report
「Improved market conditions were offset by higher smelting and processing costs in the smelting business.」
Although higher metal prices had a favorable impact, worsening ore procurement terms and other factors caused operating profit in the smelting business to decline from ¥69 million in the same period of the previous year to an operating loss of ¥52 million. - FY2017RestatedAnnual report
「The smelting segment will achieve even more efficient operations in order to meet stakeholder expectations.」
The policy of pursuing efficient smelting operations remains in place. - FY2016First statedAnnual report
「The smelting segment will achieve even more efficient operations in order to meet stakeholder expectations.」
The smelting segment has set the achievement of efficient operations as a goal.