Tokyo, Japan—Tosoh Corporation hereby provides notice of differences between the fiscal 2017 first-half consolidated results it forecasted on May 10, 2016, and the actual financial results for the first half released on November 1, 2016. In view of recent trends, the company also announces revisions to the full-year fiscal 2017 consolidated financial results it likewise forecasted on May 10, 2016.
Differences between forecasted and actual consolidated results for the fiscal 2017 first half (April 1, 2016, to September 30, 2016)
| (Billions of yen unless otherwise noted) | Net Sales | Operating Income | Ordinary Income | Profit Attributable to Owners of the Parent Company | EPS (yen) |
| Previous forecast (A) | 340 | 29 | 29 | 19 | 29.28 |
| Actual performance (B) | 337 | 41 | 37 | 25 | 38.34 |
| Difference (B - A) | (0.3) | 12 | 8 | 6 | |
| % difference | (0.8) | 42.4 | 26.3 | 31.0 | |
| Reference: FY 2016 first-half performance (Period ended September 2015) | 385 | 32 | 33 | 19 | 31.23 |
Revised consolidated financial results for the fiscal 2017 full year
| (Billions of yen unless otherwise noted) | Net Sales | Operating Income | Ordinary Income | Profit Attributable to Owners of the Parent Company | EPS (yen) |
| Previous forecast (A) | 720 | 72 | 72 | 47 | 72.43 |
| Revised forecast (B) | 690 | 85 | 80 | 54 | 83.20 |
| Difference (B - A) | (30) | 13 | 8 | 7 | |
| % difference | (4.2) | 18.1 | 11.1 | 14.9 | |
| Reference: FY 2016 performance (Year ended March 2016) | 753.7 | 69.4 | 65.8 | 39.7 | 62.61 |
Reasons for differences and revisions
First-half fiscal 2017
Net sales declined during the period because of falling product prices in Japan and overseas associated with the strong yen and declines in the prices of naphtha and other raw materials and fuels. Results, however, exceeded our forecast because international market conditions for methylene diphenyl diisocyanate, vinyl chloride resin, and other products were strong and because sales of high-silica zeolite and other specialty products were good.
Full-year fiscal
2017 Net sales for the fiscal year ending March 31, 2017, are expected to fall short of our forecast because of anticipated drops in product prices in Japan and overseas. The strong yen and declines in the prices of naphtha and other raw materials and fuels will contribute to the expected shortfalls in net sales. Profits, however, are anticipated to exceed our forecast based on the upturn in results during the fiscal 2017 first half.
Note: Forecasts are based on information available to the company on the date of the news release. Actual results, therefore, may differ from the forecasts because of unpredictable factors.
TOSOH CORPORATION
WHO WE ARE
Tosoh is the parent of the Tosoh Group, which comprises over 100 companies worldwide and a multiethnic workforce of over 12,000 people and generated net sales of ¥753.7 billion (US$6.3 billion at the average rate of ¥120.15 to the US dollar) in fiscal 2016, ended March 31, 2016.
WHAT WE DO
Tosoh is one of the largest chlor-alkali manufacturers in Asia. The company supplies the plastic resins and an array of the basic chemicals that support modern life. Tosoh’s petrochemical operations supply ethylene, polyethylene, and functional polymers, while its advanced materials business serves the global semiconductor, display, and solar industries. Tosoh has also pioneered sophisticated bioscience systems that are used for the monitoring of life-threatening diseases. In addition, Tosoh demonstrates its commitment to a sustainable future in part by manufacturing a variety of eco-products.
Stock Exchange Ticker Symbol: 4042
DISCLAIMER
This document may contain forward-looking statements, including, without limitation, statements concerning product development, objectives, goals, and commercial introductions, which involve certain risks and uncertainties. Forward-looking statements are identified through the use of the word anticipates and other words of similar meaning. Actual results may differ significantly from the results expressed in forward-looking statements.