Fujitsu tumbles into red in first half
Japanese electronics giant Fujitsu Ltd tumbled into the red in the first half, hit hard by unabated declines of hard disc drive and semiconductor chip prices.
By Agencies |
TOKYO: Japanese electronics giant Fujitsu Ltd said Thursday it tumbled into the red in the first half, hit hard by unabated declines of hard disc drive and semiconductor chip prices.
Fujitsu also attributed the profit deterioration to a change in accounting practices as the company, which recently failed to acquire France's GFI Informatique, seeks to go global.
For the six months to September, Fujitsu posted a net loss of 9.34 billion yen (81 million dollars), reversing a profit of 14.85 billion yen in the same period last year, a statement said.
Operating profit was hit by "higher upfront strategic investments" including in next-generation networks and "severe price declines for hard disk drives for notebook computers," the statement said.
Operating profit shrank 13.2 percent to 43.93 billion yen. Revenue, however, rose 6.4 percent to a new record of 2.513 trillion yen.
The results also beat the company's own initial projections due to strong sales of personal computers and cellular phone handsets.
For the full year to March 2008 the company is maintaining earlier guidance, projecting a net profit of 65 billion yen, an operating profit of 195 billion yen and revenue of 5.4 trillion yen.
Fujitsu also attributed the profit deterioration to a change in accounting practices as the company, which recently failed to acquire France's GFI Informatique, seeks to go global.
For the six months to September, Fujitsu posted a net loss of 9.34 billion yen (81 million dollars), reversing a profit of 14.85 billion yen in the same period last year, a statement said.
Operating profit was hit by "higher upfront strategic investments" including in next-generation networks and "severe price declines for hard disk drives for notebook computers," the statement said.
Operating profit shrank 13.2 percent to 43.93 billion yen. Revenue, however, rose 6.4 percent to a new record of 2.513 trillion yen.
The results also beat the company's own initial projections due to strong sales of personal computers and cellular phone handsets.
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For the full year to March 2008 the company is maintaining earlier guidance, projecting a net profit of 65 billion yen, an operating profit of 195 billion yen and revenue of 5.4 trillion yen.
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