Air Water increased net sales by 6.4% with operating income up 2.8%, ordinary income up 5.1% and profit attributable to owners of parent for the term up 5.1% comparing with the previous year. With the increased sales as a whole represented by the industrial gas thanks to the good regional demands, Air Water renewed its record-high performance. In the increased portion, the effect of the new consolidation by M&A amounted to 20.1 billion yen.
The sales of industrial gas-related business increased by 10.8% with the ordinary income up 5.9% compared with the previous term. After the recovery of on-site supply to the blast furnace which suffered operational trouble in the previous term, the oxygen supply increased. There was also a satisfactory increase in the delivery by tank trucks and cylinders in tie-up with the regional partner through VSU.

The sales of the chemical segment increased by 11.3% with the ordinary profit up 99.8%. There was also increases in the sales of coke oven refined gas and crude benzene. The successful revision in the price of fine chemicals also contributed.

The medical-related sales increased by 3.4% with the ordinary income down 4.4% compared with last year. Although there were decreases in the quantity sold of medical gases and the number of construction projects of hospital facilities, there was an expansion in the transactions of medical services like SPD or sterilization. Among the medical equipment, hyperbaric oxygen therapy device and nitric acid inhalation therapy sold well.

The energy-related sales increased by 2.5% with the ordinary income up 1.8% compared with last year. The selling price of LPG rose in conjunction with the CP price to raise the volume of delivery. The delivery of kerosene was sluggish due to the warm winter.

The agriculture/food related sales increased by 2.1% with the ordinary income up 1.1% compared with last year. Fruit and vegetables and agricultural machines sold well. There was also a contribution of M&A. Logistics-related sales increased by 6.7% with the ordinary income up 40.3% compared with last year. Delivery to convenient stores increased. All of the other fields also grew including sea water, aerosol and information electronic materials.

The capital investment for the term amounted to JPY78.5 billion which includes new VSU, International Medical House for Living and Atsugi Logistic Center. For this year an investment in the amount of 74.4 billion yen for a new logistic base and a biomass power generation plant. The term-end dividend remained at 21 yen and the annual dividend became 40 yen.

The company will arbitrarily apply the International Financial Reporting Standard (IFRS) from FY2020 commencing in March. According to an anticipated annual account of this year based on IFRS, the sales revenue is expected to increase by 11.9% amounting to JPY830 billion with operating income up 12.5% amounting to JPY48 billion and current profit for the year up 6.0% amounting JPY30 billion in comparison with the account of FY2019 ending March. The industrial gas segment in these figures is assumed to include increases in on-site supply for the blast furnace and electronics fields with a forecast of sales up 15.8% amounting to JPY202 billion and operating income up 7.1% amounting JPY18 billion.