Daicel Corporation reported a 17.9% year-on-year increase in sales revenue to 404.5 billion yen for the third quarter ending March 2023, driven by price revisions and favorable foreign exchange impacts.
02
Operating income declined by 6.9% to 36.6 billion yen due to rising costs for raw materials, fuel, and logistics, alongside weakened demand in key sectors.
03
Performance was negatively impacted by sluggish automobile production, semiconductor shortages, and COVID-19-related lockdowns in China, which hindered recovery in the automotive and LCD panel markets.
04
While the Materials and Engineering Plastics segments exceeded internal profit plans, the Medical/Healthcare, Smart, and Safety segments performed below expectations.
05
The company is implementing corrective measures including rigorous expense reviews and inventory reduction, while focusing on growth in high-demand areas like acetate tow and cosmetic ingredients.
06
A comprehensive revision of the mid-term management strategy is scheduled for release in May 2023 alongside the full-year financial results to address current market realities.
Insights
01
Daicel Corporation reported a 17.9% year-on-year increase in sales revenue to 404.5 billion yen for the third quarter ending March 2023, driven by price revisions and favorable foreign exchange impacts.
02
Operating income declined by 6.9% to 36.6 billion yen due to rising costs for raw materials, fuel, and logistics, alongside weakened demand in key sectors.
03
Performance was negatively impacted by sluggish automobile production, semiconductor shortages, and COVID-19-related lockdowns in China, which hindered recovery in the automotive and LCD panel markets.
04
While the Materials and Engineering Plastics segments exceeded internal profit plans, the Medical/Healthcare, Smart, and Safety segments performed below expectations.
05
The company is implementing corrective measures including rigorous expense reviews and inventory reduction, while focusing on growth in high-demand areas like acetate tow and cosmetic ingredients.
06
A comprehensive revision of the mid-term management strategy is scheduled for release in May 2023 alongside the full-year financial results to address current market realities.