Taiheiyo Cement cut its ordinary profit forecast for the current fiscal year by 21%, lowering its full-year ordinary profit outlook to ¥55.5 billion. Results through the second quarter were also disclosed, along with the second-half earnings outlook.
Taiheiyo Cement announced that it would cut its consolidated ordinary profit forecast for the current fiscal year by 20.7%, from the previous forecast of ¥70.0 billion to ¥55.5 billion. As a result, the decline in profit is expected to widen to 26.1% year on year.
According to the earnings summary, ordinary profit for the latest 3 months, the second quarter covering July–September, was ¥16.4 billion, down 28.5% year on year, while the operating margin on sales declined from 10.0% to 7.6%.
The company cited lower domestic sales volumes and higher costs as reasons for the revision. Based on first-half results and the full-year plan, second-half ordinary profit is expected to be ¥26.7 billion.