Profit slips at Japanese technology firms; four top companies post weak results, and more are expected to follow

Article Abstract:

Hitachi Ltd, Toshiba Corp, NEC Corp and Mitsubishi Electric Corp report decreases in unconsolidated pretax profit for the first half ended Sep 30, 1991, signaling that impacts of the US recession are wide-reaching. Hitachi pretax profit fell 27 percent to 80.16 billion yen; Toshiba pretax profit fell 63 percent to 38.53 billion yen; NEC's fell 6.8 percent to 52.06 billion yen; and Mitsubishi's fell 25 percent to 46.84 billion yen. Toshiba, NEC and Mitsubishi all reduced previously announced profit forecasts for the year ending Mar 31, 1992. Compared to record high earnings the year previous, the companies are affected by Japan's slowing economy and a weak computer market in the US. To cope, the companies reduce capital spending and delay product introduction. The end result could be that Japanese companies shift from trying to make many types of products to focusing on specific technologies.

Household audio and video equipment, NEC Corp., Mitsubishi Electric Corp., Financial Report, Second Quarter, First Quarter, Profit Analysis

---

Computer makers agree on a standard for new memory cards for laptops

Article Abstract:

Meetings in Tokyo between major manufacturers involved with laptop microcomputers have resulted in an industrywide standard for integrated circuit memory cards. The memory cards are credit-card sized replacements or supplements for floppy or hard disks that eliminate the need for the moving parts necessary for disk drives, thus reducing the weight and energy consumption while increasing durability. Laptops made with the cards can weigh in at from one to five pounds and run for up to 100 hours. The standards agreement means that software developers will be more inclined to develop applications and prices for the machines will come down. The memory cards cost around $20, compared with floppy disks that sell for approximately 50 cents.

Standards, Standard, Standardization, Computer memory, Laptop computers, Portable computers, Smart cards, Laptop/Portable Computer, Semiconductor Memory

---

Japan's top technology firms gird for less profit, spending and output

Article Abstract:

Technology companies in Japan are expected to cut their planned capital expenditures in the semiconductor and the computer industries, responding to negative economic conditions. Demand is slow and prices are down. Hitachi Ltd will cut planned expenditures for the year ending Mar 31, 1992, by 20 percent. Hitachi expects pretax profits to be down about 30 percent for the current fiscal year, and Toshiba Corp expects that its profits will be down about 20 percent. NEC Corp also is pessimistic. Japanese companies, generally speaking, are less inclined spend money. A decline in the stock market and high interest rates are cited as reasons.

Semiconductor industry, Technological forecasting, High technology, Capital investments, Industry Analysis, Outlook, Capital Investment, Preview of Coming Year

Similar abstracts:

• Abstracts: Adobe Systems, a cheap technology stock, may seem tempting but more drops expected. Shares of Computer Associates decline on earnings news
• Abstracts: Prime Computer's forte is technology, not finance: with sound basic operations, company is still in peril from too much debt
• Abstracts: Borland blames 'pack analysis' for decline in its stock; company and some who follow it say earnings downgrades are overdone
• Abstracts: Ameritech plans to spend $1.05 to modernize and speed up its network
• Abstracts: Philips's Timmer faces challenge rousing sleepy electronics giant: decade of dismal results leaves shares depressed, operations in disarray

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.