Major Japan Firms to Report Lower Annual Net Profits
Tokyo, Feb. 8 (Jiji Press)--Major nonfinancial Japanese companies are expected to post lower consolidated net profits for the first time in three years for the year through next month, a Jiji Press survey showed on Friday.
These firms' combined net profit is likely to fall 3.9 pct from the previous year due mainly to slowing economic growth in China amid trade tensions with the United States.
The survey covered 1,080 companies that announced April-December results by Friday. They account for 83 pct of nonfinancial companies listed on the first section of the Tokyo Stock Exchange.
Of the total, 149 firms, or 14 pct, revised down their net profit estimates for the year, compared with 95 companies that made upward revisions.
In particular, downward revisions were conspicuous in the electronics sector that struggles with China's slowdown and weakening smartphone demand globally.
[Copyright The Jiji Press, Ltd.]