Nippon Sheet Glass: LCD glass sales hit 1H earnings estimate

Nippon Sheet Glass Co. said on 26 September 2003 that its group net profit in the 1H of fiscal 2003-2004 (April-September) will total JPY 500 million, only a quarter of the JPY 50 million previously e…

Nippon Sheet Glass Co. said on 26 September 2003 that its group net profit in the 1H of fiscal 2003-2004 (April-September) will total JPY 500 million, only a quarter of the JPY 50 million previously estimated. The downward revision is being blamed in part on the lower-than-expected sales of glass substrates used for liquid crystal display panels of mobile phone handsets, the company said. An extraordinary loss of JPY 2 billion related to the sale of its glass magnetic disk operations to optical glass maker Hoya Corp. also hit earnings, it said. The company now expects to report zero yen in 1H group recurring profits, compared to an earlier projected profit of JPY 3.5 billion, on sales of JPY 132 billion, down from JPY 140 billion. For the full year to March 2004, Nippon Sheet Glass expects to report a net profit of JPY 3 billion, down from an earlier expected profit of JPY 5 billion. The recurring profit estimate was revised down to JPY 6 billion from JPY 10 billion. Sales are now projected at JPY 260 billion, down from JPY 285 billion. In fiscal 2002-2003 to March 2003, the company incurred a group net loss of JPY 3,152 million.