Dow Jones Newswires: Fujitsu shares tumble after its Q1 operating profit slips 24%

0
9

Fujitsu Ltd.’s 6702, -6.62% shares fell sharply Monday morning after the company reported its operating profit for the fiscal first quarter slipped around 24%.

The shares fell as much as 9.8% to 16,705.00 yen ($125.25), matching the June 24 intraday low, according to FactSet. The shares were last down 7.8% at Y17,075.00.

The Japanese electronics and information-technology services company said Friday after the market closed that its operating profit for the April-to-June quarter of its fiscal year ending next March dropped to Y25.60 billion from Y33.74 billion a year earlier, mostly owing to effects from scarcity of material supply.

The fiscal first-quarter operating profit represents just 6% progress toward Fujitsu’s unchanged operating target of Y400 billion for the full fiscal year, which has probably increased the risk of undershooting the target, said Citi Research analysts in a research report. The company’s operating profit took a Y12.9 billion hit from component shortages, the analysts added.

Fujtisu’s net profit in the fiscal first quarter fell 28.5% from a year earlier to Y17.28 billion, although its revenue rose 2.1% on year to Y818.86 billion.

This article was originally published by Marketwatch.com. Read the original article here.

Previous articleDow Jones Newswires: Heineken profits rise as brewer tackles cost inflation
Next articleNeed to Know: FAANGs ain’t what they used to be, so beware the bear-market bounce says this hedge fund manager

LEAVE A REPLY

Please enter your comment!
Please enter your name here