Taiheiyo Cement's 1Q net profit jumps to JPY13.53bn

Japan-based Taiheiyo Cement Corp reported a 7.9 per cent increase in revenues to JPY208.85bn (US$1.43bn) in the quarter ending 30 June (1QFY24-25) from JPY193.54bn in the year-ago period.

The company's operating profit improved 5.9-fold to JPY11.05bn in the 1QFY24-25 from JPY1.86bn in the 1QFY23-24. Pretax profit increased four-fold YoY to JPY11.76bn from JPY2.98bn in the equivalent period of the previous year.

Net profit surged from JPY366m in the 1QFY23-24 to JPY13.53bn in the 1QFY24-25.

For the first half of FY24-25, Taiheiyo Cement Corp forecasts a revenue of JPY464bn with operating and pretax profits expected to come in at JPY34.50bn. The company projects a net profit of JPY26.50bn. The results are based on Japanese accounting standards.

Taiheiyo Cement's results have been supported by a steady domestic demand for cement due to urban redevelopment projects and the construction of new semiconductor-related factories. However, rising costs and delays in construction schedules due to labour shortages have resulted in a 4.8 per cent drop in overall demand to 8.17Mt. Meanwhile, on the US West Coast, sales volumes were down due to inclement weather but sales prices were higher when compared with the previous year.