Tokyo — Tosoh has revised its financial performance for 2016 upwards in the wake of MDI shortages and declining raw material prices.
Net sales in the first half of the 2017 financial year which ended on 30 September were 0.3% lower than forecast at YEN 330 bn ($ 3.2 bn) because of a strong Yen and declines in raw materials prices, said Tosoh. The company added that strong prices for MDI and vinyl chloride resin had fed into an operating income of YEN 41bn compared to an expected YEN 29bn for the first half of 2017.
By the end of 2017, the company expects sales to be lower than forecast because prices of raw materials also are also expected to drop.
However, Tosoh said that it expects its profits "to exceed our forecast based on the upturn in results during the fiscal first half of 2017."
The company has issued operating income guidance of YEN 85bn for 2017 compared with an initially predicted YEN 72bn and an actual operating income of YEN 69.4bn.
Exchange Rates: Xe.com 1 November 2016.
