Southern Manufacturing

Japan's Teijin Expects Record Group Profit

13 April 2001

Teijin Ltd. expects consolidated operating profit for the year through March 2002 to increase 33% to 56 billion yen (US$447 million), the first record result in 11 years. The rise is attributed to a jump in sales and profit at NI Teijin Shoji, the new textile trading unit created from a merger of textile subsidiary Teijin Shoji Ltd. and a unit of Nissho Iwai Corp. The aramid fiber business purchased from a Dutch concern is also expected to boost profit as demand for the fiber has been strong from optical-fiber makers.

Consolidated sales will also increase 26% to 950 billion yen, setting a record for the second year in a row. Operating profit at the textile division is expected to grow by 10.5 times to 10.5 billion yen. The strong results can be attributed in part to NI Teijin Shoji, which is expected to boost group sales by 130 billion yen and profit by 2 billion yen. The carbon fiber business has also been brisk at Toho Rayon Co., which became a Teijin unit in 2000.

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