Toshiba Lowers Operating Profit Estimate for FY 2022

Tokyo, Feb. 14 (Jiji Press)--Japan's Toshiba Corp. <6502> said Tuesday that its consolidated operating profit for fiscal 2022 is forecast at 95 billion yen, down from the previous estimate of 125 billion yen.

The profit projected for the year through March represents a drop of 40.2 pct from the previous year.

The downward revision may affect negotiations with a consortium led by investment fund Japan Industrial Partners Inc. on its proposal to acquire Toshiba for about 2 trillion yen.

Toshiba's performance has been hurt not only by temporary factors, such as an impairment loss due to a decline in the stock price of a subsidiary, but also by production delays reflecting materials shortages, soaring transportation costs and a deterioration of the hard disk drive market.

Toshiba also revised down its sales forecast from 3.35 trillion yen to 3.32 trillion yen, down 0.5 pct from the previous year.

[Copyright The Jiji Press, Ltd.]