Japan's NEC sees $1.36 billion net loss

Apr 27, 2012
A customer inspects laptops from Japanese electronics maker NEC at an electrics shop in Tokyo in January. Japanese IT firm NEC said Friday it lost $1.36 billion in the year to March as asset write-downs and tax payments hit its bottom line, even as operating profit rose.

Japanese IT firm NEC said Friday it lost $1.36 billion in the year to March as asset write-downs and tax payments hit its bottom line, even as operating profit rose.

NEC's net loss stood at 110.3 billion yen, multiples of the 12.5 billion yen lost in the previous year.

But operating profit rose 27.5 percent to 73.7 billion yen after the firm offloaded a loss-making entity, on sales of 3.0 trillion yen, down 2.5 percent from the previous year.

The net loss expanded as the company booked 117 billion yen in additional tax payments, saw a 40.5-billion-yen special loss for restructuring, and took a 11.7 billion yen hit from the loss in value of it was holding.

The results come as many of Japan's technology companies have struggled under pressure from the stubbornly strong yen, , increasing material costs and falling prices.

In January, NEC said it plans to axe 10,000 jobs globally.

The flooding in Thailand in autumn depressed sales of its electronics parts, with the natural disaster damaging its factories, while NEC's have failed to attract customers, the company said.

But operating profits rebounded, after the company in the previous fiscal year suffered a special loss from spinning off its loss-making semiconductor unit.

For the current fiscal year through March 2013, NEC forecasts a net profit of 20 billion yen, of 100 billion yen and revenue of 3.15 trillion yen.

Explore further: Ticketfly buying WillCall for on-premise data

add to favorites email to friend print save as pdf

Related Stories

Japan's Fujitsu hit by third-quarter loss

Jan 31, 2012

Japanese high-tech giant Fujitsu plunged into a net loss for the three months to December, it said Tuesday, as it slashed its full-year sales and profit forecast.

NEC sees losses triple

Jan 27, 2011

Japan's NEC said Thursday its net loss in the October-December quarter almost tripled from a year earlier, blaming a delay in the recovery of IT-related capital investment in the country.

Toshiba returns to black on smartphone chip demand

Jan 31, 2011

(AP) -- Toshiba Corp. said Monday it returned to the black in the October-December quarter thanks to robust global demand for the flash memory chips used in digital cameras and smartphones.

Japan's Panasonic set for $10.2 billion loss

Feb 03, 2012

Japan's Panasonic on Friday warned it would see its worst-ever net loss of 780 billion yen ($10.2 billion) for the year to March, blaming the strong yen, flooding in Thailand, and acquisition costs.

Canon profit drops, cuts forecasts due to tsunami

Apr 26, 2011

(AP) -- Canon said its first quarter profit dropped slightly on costs from an acquisition and Tuesday warned that full year earnings would take a hit from disrupted production due to Japan's earthquake and tsunami.

Recommended for you

Oregon sues Oracle over failed health care website

10 hours ago

Oregon Attorney General Ellen Rosenblum says she's filed a lawsuit against Oracle Corp. and several of its executives over the technology company's role in the state's troubled health insurance exchange.

Google buys product design firm Gecko

10 hours ago

Google on Friday confirmed that it bought Gecko Design to bolster its lab devoted to technology-advancing projects such as self-driving cars and Internet-linked Glass eyewear.

Ticketfly buying WillCall for on-premise data

Aug 21, 2014

Ticketfly Inc., a San Francisco-based technology company among several posing a challenge to Ticketmaster, is acquiring WillCall Inc., a crosstown rival that turns your smartphone into a mobile wallet at live events.

HP revenue inches up after years of decline

Aug 20, 2014

Hewlett-Packard on Wednesday reported that its quarterly revenue rose for the first time in three years, nudged by improved computer sales everywhere except Russia and China.

Restaurants experimenting with pay-in-advance tickets

Aug 20, 2014

With restaurant patrons increasingly jumping on the Internet to make reservations, some high-end eateries here and across the country are adding a new tech wrinkle: having their clientele pay for their meal in advance using ...

User comments : 0