Japanese producers to boost profits

Taiheiyo Cement Corp and Sumitomo Osaka Cement Co are both expected to raise group operating profit by more than 10 per cent for the year through March next year.  The forecast reflects the newly streamlined operations at the industry leaders, such as the use of waste materials for fuel and more efficient product distribution. 

Taiheiyo will likely record an 18 per cent gain in operating profit to 57 billion yen on a one per cent increase in sales to 880 billion yen. Brisk demand in the post-hurricane US market will contribute to the projected profit growth as will the rationalization of its operations. 

Sumitomo Osaka, which is enjoying strong domestic sales, should expand its operating profit by 13 per cent to 14 billion yen on sales of 188 billion yen, up three per cent.