In the fiscal year that ended in March 2012, consolidated net sales increased 12.0% to ¥1,564.2 billion mainly because of growth in sales in the steel and petroleum and chemicals businesses. Earnings were supported by the petroleum and chemical business and other business, which offset inventory valuation losses for seafood, steel and other products. As a result, operating income increased 8.1% to ¥14.9 billion. A smaller foreign exchange gain and other factors caused ordinary income to decrease 2.8% to ¥13.1 billion. After valuation losses on investment securities and other items, net income was down 20.0% to ¥4.6 billion.
Shareholders approved a resolution at the 65th Ordinary General Meeting of Shareholders held on June 28, 2012 to pay a year-end dividend of ¥6 per share. With the interim dividend of ¥6 that has already been paid, this results in a dividend of ¥12 per share for the fiscal year that ended in March 2012.
Hanwa started a three-year medium-term business plan in fiscal 2010 with the goal of “adapting to rapid changes in the operating environment and building a highly innovative and powerful base of operations and profit structure.” Reaching the goals of this plan will require accurately meeting the needs of customers in Japan and overseas. We are also aggressively pursuing new business opportunities. I plan to execute business strategies under our medium-term plan with even more vigor. We will work even harder in fiscal 2012, which is the final year of this plan, to achieve the goals of the plan. Furthermore, to strengthen our operating framework, we will continue to implement a strict compliance program and upgrade our corporate governance and internal controls.
By focusing on our strategic objectives, I believe that we can achieve sustained growth of the Hanwa Group and increase the group’s corporate value while making a meaningful contribution to society.
I am firmly committed to doing what is needed to meet the expectations of shareholders and other investors. I ask for your support and understanding as Hanwa continues to take the actions that are required to achieve our objectives.