NSG's Automotive and Specialty Glass Segments Achieve Profit
Building Products revenues were 189 billion yen (~ $2.1 billion), with an operating loss of 4.4 billion yen (~ $49.0 million) before amortization. Revenues in the Automotive segment were 196 billion yen (~ $2.2 billion), with an operating profit of 5.5 billion yen (~ $61.3 million) before amortization. Specialty Glass revenues reached 49 billion yen (~ $545.9 million), with an operating profit of 2.5 billion yen ($27.9 million).
Cumulative results for the first three quarters reflect challenging global market conditions in all major Building Products and Automotive markets. In addition, Specialty Glass demand was hit by the strength of the yen and sluggish export markets. Steady year-on-year volume growth is continuing in NSG’s Solar Energy business.
Continuing benefits from cost reduction programs are helping all business line results. During the first three quarters, 2000 employees left the Group, bringing the total to 6500 out of the 6700 planned reductions. The Group’s restructuring program cost charged to the income statement was 6.6 billion yen (~ $73.5 million) for the first three quarters, in line with the Group’s plan. Cost reduction programs are still expected to contribute 14 billion yen (~ $156.0 million) in savings for the financial year.
The Group’s satisfactory performance in the third quarter has generated a small improvement in the full-year outlook, and seasonal factors are expected to lead to break-even fourth quarter operating profit before amortization. The forecast for the Group’s full-year operating profit before amortization has been increased by 2 billion yen (~ $22.3 million) to a loss of 3 billion yen (~ $33.4 million).
Additional details are available at www.nsggroup.net.