Fujitsu second quarter profit tumbles, strong yen weighs

Oct 27, 2010

Japanese information technology services giant Fujitsu said Wednesday its net profit for the July-September period tumbled 76 percent on-year while sales were hit by the impact of a surging yen.

The firm recorded a group of 17.4 billion yen (207 million dollars) for the fiscal second quarter, down 76 percent on-year from 72.4 billion yen, after a huge share-sale gain boosted profits a year earlier.

The company used an exchange rate of 84 yen to the dollar.

It said sales in the quarter fell 3.7 percent to 1.1 trillion yen on-year, because of the impact of the strong yen, which is hovering near 15-year highs against the dollar.

Sales would have risen five percent were it not for the appreciation of the yen and other factors, said the company, which provides technology services for mobile devices and servers.

The yen's strength puts Japan's growth-driving exporters at a disadvantage by making their products more expensive overseas and eroding their repatriated .

For the full fiscal year through March 2011, maintained its forecast of a net profit of 95 billion yen and an of 185 billion.

But it lowered its revenue outlook to 4.670 trillion yen from the 4.800 trillion it announced in July, blaming a weak economic climate forcing clients to cutback on IT spending in the US and Europe, as well as the yen's strength.

Explore further: Huawei reports 2014 profit up 33 percent

Related Stories

Sony rebounds to profit in April-June quarter

Jul 29, 2010

(AP) -- Sony bounced back to profit last quarter and raised its full-year earnings forecast, fueled by stronger demand for its PlayStation 3 gaming consoles, personal computers and televisions.

Fujitsu back in the black for fiscal year

Apr 30, 2010

Japan's Fujitsu, embroiled in a dispute with its former boss, announced a return to profit Friday after massive losses the previous year as cost-cutting measures offset a decline in sales.

Panasonic announces Q1 net loss of 560 mln dlrs

Aug 03, 2009

Japanese high-tech giant Panasonic Corp. announced Monday a big first-quarter loss, blaming weak sales of televisions, digital cameras and other electronic goods during the recession.

Panasonic trims net loss, sees return to profit

May 07, 2010

Japanese electronics giant Panasonic Corp. said Friday it saw a net loss of 1.1 billion dollars in the year to March 2010, much smaller than the previous year, and expected to return to profit soon.

Recommended for you

Huawei reports 2014 profit up 33 percent

6 hours ago

Huawei Technologies Ltd., one of the world's biggest makers of telecommunications equipment, said Tuesday its 2014 profit rose 33 percent, helped by strong sales of smartphones.

Tesla shares jump on Musk 'tease' in tweet

18 hours ago

Tesla Motors shares jumped Monday after co-founder Elon Musk tweeted that the company would unveil as "major" new product line next month, leaving analysts guessing.

Amazon unveils move in local services

Mar 30, 2015

US online giant Amazon said Monday it was launching a services marketplace offering to connect consumers with businesses offering anything from home improvement to piano lessons.

User comments : 0

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.