Japan’s Nippon Steel raises its annual outlook due to enhanced first-half margins
Nippon Steel, Japan's leading steel producer, has revised its net profit forecast for the fiscal year ending in March, citing stronger-than-expected results in the first half.
The improved performance is attributed to higher profit margins and increased gains from its group companies.
According to a report from Reuters, the company now anticipates an annual net profit of 420 billion yen ($2.78 billion), up from its previous projection of 400 billion yen made in August.
This updated guidance compares favorably to the average estimate of 399 billion yen in profit from a survey of 11 analysts conducted by LSEG. It is worth noting that the company reported a profit of 694 billion yen in the previous fiscal year.
In a statement, Nippon Steel disclosed that its net profit decreased by 19.4 percent to 300 billion yen during the April-September period.
However, this figure exceeded its earlier forecast of 200 billion yen, primarily due to a reduced appraisal loss related to its inventory.
