Mitsui Chem FY2005 op profits fall 27%

15 May 2006 07:40  [Source: ICIS news]

SINGAPORE (ICIS news)--Mitsui Chemicals, the Japanese major, said on Monday that its operating profits in the fiscal year 2005 fell by over a quarter on the poor performance of its core petrochemicals and basic chemicals divisions.

Its overall operating profits fell 27% to Yen58.7bn ($534.58m/Euro414.29m), down from Yen80.5bn a year before. Net sales fell by 20% to Yen1.47trn, while net profit increased by 68% to Yen44.1bn.

The petrochemicals division’s operating profits fell by 37% to Yen15.9bn, even though sales grew by 54% to Yen487bn. In the basic chemicals division, operating profit fell 39% to Yen21.8bn despite an 11% growth to Yen474.3bn in sales.

While Mitsui did not give specific reasons for the fall, petrochemical companies around the region have been affected by the high crude oil and naphtha prices since the third quarter of 2005.

The company has projected that sales in the fiscal year ending 31 March 2007 will increase by 15% to Yen1.7trn and operating income by 19% to Yen70bn. Net profit, however, is likely to fall by 20% to Yen35bn.

By: Siva Govindasamy
+65 6780 4359

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly