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Nippon Electric Glass: 1H net profit up 223.2%

Japanese Nippon Electric Glass Co. Ltd. reported a JPY 21.325 billion net profit for the half year to 30 September 2006, a 223.2% increase from the previous year, on revenue up 14.6% to JPY 165.984 bi…

Japanese Nippon Electric Glass Co. Ltd. reported a JPY 21.325 billion net profit for the half year to 30 September 2006, a 223.2% increase from the previous year, on revenue up 14.6% to JPY 165.984 billion. Operating profit of the company was up 55.4% to JPY 42.967 billion and ordinary profit increased 67.7% to JPY 40.85 billion. The increase in revenue followed a rise in income in the information and telecommunication related segment, owing to an expansion in PD glass sales, as well as the favourable performance by glass fiber and thermal glass. The increase in operating and ordinary profits was due to an improvement in operating deficit caused by the restructuring and downsizing of the CRT glass business. The rise in profits took place thanks to a decline in selling and general administrative costs related to changes in product line, as well as a positive effect from the company“s effort to improve profitability. Despite the posting of JPY 12.9 billion extraordinary loss including impairment loss, the substantial increase in net profit was due to a decrease in taxation. Forecast for the full year is for JPY 43 billion net profit on JPY 335 billion in revenue and JPY 83 billion operating profit and JPY 78 billion ordinary profit.

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