MOSCOW (MRC) -- Asahi Kasei's net income surged to yen (Y) 140.7bn in April-December 2021, up by 75.9% year on year from the same period of 2020, supported by record high sales and operating income, said the company.
Net sales, operating income and net income were all at new record highs for the April-December period, the company said in a statement.
In the Material business, operating income more than doubled to Y91.7bn in April-December 2021 compared with Y42.8bn in the same period a year earlier amid higher petrochemical prices as well as increased shipments of engineering plastics.
The company expects its operating net income to more than double to Y185.5bn for its financial year ending 31 March 2022, compared with Y79.8m in the previous year.
Operating net sales are expected to rise by 16.5% year on year to Y2.45 trillion for the year ending 31 March.
The company expects a "large increase in net sales and operating income" in the Material business for the year ending 31 March compared to the year-ago period which was significantly impacted by the COVID-19 pandemic.
As per MRC, Asahi Kasei’s net profit for the fiscal year ending March 2021 slumped by 23.2%, weighed down by weakness in its materials business, and as the company booked a one-off loss for the period. The materials segment was hit by global economic deterioration amid the coronavirus pandemic. Sales for the segment declined by 9.3% year on year to Y991.2bn, with operating profit falling by 28% to Y66.5bn.
As MRC informed before, in July 2019, Asahi Kasei decided to expand its plant for the artificial suede LamousTM in Nobeoka, Miyazaki Prefecture, Japan, by four million m2/year, increasing the total production capacity to 14 million m2/year upon completion in 2021.
Asahi Kasei Corporation is a multinational Japanese chemical company. Its main products are chemicals and materials science. It was founded in May 1931, using the paid in capital of Nobeoka Ammonia Fiber Co., Ltd, a Nobeoka, Miyazaki based producer of ammonia, nitric acid, and other chemicals. Now headquartered in Tokyo, with offices and plants across Japan, as well as China, Singapore, Thailand, USA and Germany.