Sumitomo Metal Mining - own website release - (Bad Year)
Note : point III, Executive officers have offered to return a part of their compensation...., you now understand why they have only 1 ( one ) person in the Solomon Is office.
February 7, 2017
Revision of Results Forecast and the Return of Executive Compensation
Listed Company Name: Sumitomo Metal Mining Co., Ltd. Listings: Tokyo Stock Exchange Code: 5713 Representative: Yoshiaki Nakazato, President Contact: Tsuyoshi Nozawa, Deputy General Manager, PR & IR Dept. Tel: +81-3-3436-7705
The following revisions have been made to the results forecast announced on November 11, 2016 for the fiscal year ending March 2017 (April 1, 2016 – March 31, 2017), in consideration of recent trends in the Company’s business performance and other factors.
I. Revision of Results Forecast (1) Revision of consolidated results forecast for the year ending March 2017 (April 1, 2016 – March 31, 2017) (yen in millions; %)
Net Sales Operating Income Ordinary Income
Profit attributable to owners of parent
Net profit per share
Previous revised forecast (A) 714,000 48,000 33,000 19,000 34.44 Revised forecast (B) 775,000 76,000 1,000 -15,000 -27.19 Net increase/decrease ((B)-(A)) 61,000 28,000 -32,000 -34,000 Net increase /decrease (percentage) 8.5% 58.3% -97.0% - (Reference) Actual results for the fiscal year ended March 2016 855,407 59,720 -12,764 -309 -0.56
(2) Reasons for forecast revisions Key non-ferrous metal prices have risen since the previous announcement of forecast on November 11, 2016, and the yen has depreciated rapidly through the end of the third quarter accounting period due to expectations toward U.S. economic policy. In light of these conditions, we have revised the results forecast with reference to the current exchange rate and key non-ferrous metal prices. Although operating income is expected to increase compared with the previous results forecast, we expect ordinary income to decline significantly and expect net profit for the period attributable to owners of the parent company to yield a loss, due to factors including the recording of an equity method investment loss resulting from the impairment loss recorded by Sierra Gorda SCM in the third quarter consolidated accounting period.
II. Dividend Forecast There are no changes to the year-end dividend forecast of ¥6.00 per share announced on November 11, 2016.
III. Return of Executive Compensation Regarding this situation, executive officers have offered to return a part of their compensation as below: President & Representative director: 30% of monthly compensation Senior Managing Executive Officer (1 person) :30% of monthly compensation Managing Executive Officer(1 person) :20% of monthly compensation Executive Officer (3 persons) :20% of monthly compensation Period: 3 months from February to April, 2017
Metal price and exchange rate assumptions are as follows.
Cautionary statement: The results forecast and dividend forecast above were created on the basis of information available at the time of the release of these materials. Actual results may diverge from the above forecast values, dependent on a variety of factors.
AVQ Price at posting:
12.0¢ Sentiment: Buy Disclosure: Held