Japan's JX oil group posts profit despite quake
Japanese oil firm JX Holdings on Thursday posted a group net profit
of 311.7 billion yen ($3.8 billion) in the year ended March despite a
massive special loss following the March 11 quake-tsunami.
Surging crude oil prices helped the group post the profit as they
boosted inventory valuation, said Japan's largest oil refiner by
capacity. Operating profit came to 334.4 billion yen on revenue of 9.63
No year-on-year comparisons were available as the group was created
through a merger completed in July last year between Nippon Oil and
JX said it incurred special losses of 126 billion yen with two of its
eight refineries severely damaged by the twin disasters. It also
suspended operation of another refinery temporarily and suffered damage
to gas stations and oil tank facilities.
For the current business year, the company expects a net profit of
200 billion yen, down 35.8 percent from the previous year.
President Mitsunori Takahagi said Thursday the firm expected Japanese
demand for oil products to keep falling despite the government's plan to
review nuclear power usage, which could lead to more burning of fossil
"It may be necessary to discuss if it (cutting nuclear power capacity
sharply) is really the right thing to do for a resources-poor country
like Japan," Takahagi said.