NSG Reports Continued Strong Demand for Architectural Glass

Continuous cost reductions and improvements in sales volume helped Nippon Sheet Glass (NSG) stave off the worst effects of rising input costs, the company reports in its financial analysis for the first half of its 157th fiscal period (FY2023).

NSG reports its architectural glass sector continued to perform well, especially in Europe. Solar glass revenues also remained positive. As a result, NSG was able to deliver year-on-year improved revenue and profit that exceeded forecasts.

NSG reports its architectural glass sector continued to perform well, especially in Europe.

The company claims first half (from April 1 to Sept. 30, 2022) revenues of 75.7 billion yen ($2.7 billion) and operating profits of 14.4 billion yen ($105 million). While NSG expects input costs to increase in the second half of FY2023, led by rising energy costs, it anticipates that the architectural glass sector will remain strong for the foreseeable future.

“The business environment in the second half of FY2023 is expected to continue to be influenced by soaring input costs significantly,” writes NSG. “While the Group needs to be cautious about the potential risk of an economic slowdown, architectural and technical glass businesses are expected to remain strong.”

NSG states that its architectural glass division was the highest revenue generator. The company reports that architectural glass collected 49% of total net revenue. The European sector generated the most revenue (21%), followed by the Americas (14%) and Asia (13%).

NSG writes that its architectural glass division continues to adapt to the world’s changing needs. This includes a renewed focus on coating technologies.

“This old but new material has opened up new possibilities one after another thanks to new technologies such as coating the glass surface with other materials and making changes to the glass composition or surface structure,” writes NSG.

These new coatings include antibacterial and antiviral glass, eco-glass, low-reflection glass, and anti-glare and anti-soiling coatings, among others. The coatings allow NSG to dive deeper into energy creation, safety and health protection, light control and comfort.

Furthermore, NSG’s new float glass plant in Argentina, South America, is now operating. The plant is located in Buenos Aires and is operated by Vidriería Argentina S.A. (VASA). The facility is part of NSG’s push to solve architectural glass supply and demand issues in South America.

“Despite a challenging macroeconomic environment, demand continues to outpace supply for glass due to still growing construction activity,” NSG wrote in a statement announcing the start of production in October 2022. “We believe that the region is a promising market where it can continue to demonstrate our business strength.”