Sheet Glass Sees 18-Percent Drop in Sales for Automotive Sector
May 20, 2009
Nippon Sheet Glass has announced its fiscal year 2009 results.
In the company's automotive glass business, it recorded sales of
approximately $3.1 million and an operating income of $13.6 million.
In the European Original Equipment (OE) and replacement glass sectors,
which comprise 51 percent of the Group's automotive sales, the company
reports that cumulative revenues were below last year, due to significantly
lower demand from OE customers during the third and fourth quarters.
The company reports that replacement glass sector was "less
severely impacted" (than OE). NSG also reports that profits
were down from the previous year in the automotive sector, "especially
within OE during the third and fourth quarters where it was not
possible to reduce capacity and costs quickly enough to match the
In North America, which represents 21 percent of NSG's automotive
sales, replacement glass sales and profits were similar to last
year, the company reports, and sales in OE remained down, "driven
by accelerated lower market demand in the third and fourth quarters."
"This, coupled with higher energy costs during the year and
costs associated with a float re-build, has significantly affected
business performance," writes the company.
Japan represents 16 percent of the NSG's automotive sales. During
the first three quarters of the year, improvements in manufacturing
and operational performance led to increased profitability, according
to the statement issued by the company. However, this market also
saw a rapid decline in the fourth quarter as vehicle manufacturers
cut production due to a decreased demand.
NSG Automotive Glass Results Summary
HERE for full text of statement.
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