Polyester manufacturer Teijin Ltd today posted a 13 per cent drop in fiscal first-half group net profit of 7.2 billion yen ($59.9 million), compared with 8.27 billion yen a year earlier, and said it was cutting its full-year forecast.

For the period ended September 30 group sales grew 24 per cent to 456.1 billion yen from 366.66 billion yen as a result of recent mergers and acquisitions. Pre-tax profit slumped 27 per cent to 12.53 billion yen from 17.15 billion yen.

The company's performance was boosted by a sales surge in its core textile business, up 49 per cent to 252.2 billion yen, with operating profit soaring to 3.91 billion yen from 637 million yen. 

Teijin's first-half results were in line with its forecasts issued in August, but looking ahead it is now forecasting a group net profit of five billion yen and a pre-tax profit of 25 billion yen on sales of 930 billion yen. This is down on earlier predictions of a net profit of 18 billion yen and pre-tax profit of 38 billion yen on revenue of 960 billion yen.