Crumbs of comfort: Japanese profits drop less steep than feared

Article Abstract:

Japan's corporate losses as revealed in the Tokyo Stock Exchange's report for 1991-92 show an average decline of 10.5% in recurring profits. This is still expected to rise to 12%, but is better than the 15-16% predicted decline. Those reporting the biggest losses were security brokers, consumer electronics, the automobile industry, and Japan's top six trading companies. Banking, pharmaceuticals, specialised steels and the construction industry appear to have escaped the declines. Manufacturers see hope in the increasing demand for imports particularly in the US. Corporate cost savings for 1992-93 meanwhile, gives an improved outlook to the grim picture.

Reports, Profits, Corporate profits

---

Ebbing streams: Japanese firms curtail their overseas forays

Article Abstract:

Japanese overseas direct investment has continued to decline, showing accelerated pace in the fiscal year ending Mar 31 1992. The 30% decline in North America and Europe is drastic compared with 16.3% in Asia. Japanese companies have become more selective with respect to their choice of direct investments abroad. This is due to declining corporate profits as a result of relatively sluggish economic conditions, and the higher costs of capital as a result of the stockmarket crash. Asia is the site of choice because of lower costs and greater potential for market expansion.

Analysis, Foreign investments, Statistics

---

More players, less profit

Article Abstract:

Increasing competition among securities houses in Japan will result in lower profitability in 1993. The imposition of trading limits and increased commissions by the Ministry of Finance (MOF) has only affected Japanese securities houses, with foreign houses managing to sidetrack the controls. Profits of foreign houses fell in 1992 due to increased competition, and only 27 out of 52 houses made profits in FY 1991. The US houses were the most successful, followed by the French and the Swiss. They will all, however, have to cut staff in 1993 to remain in the market.

Securities industry

Similar abstracts:

• Abstracts: Shocking: Japanese warrants. NTT scares the bears. So let's push up dividends: Japanese stock market
• Abstracts: New, improved: Japanese corporate strategy. A flutter too far: CSK. Getting stuck with it
• Abstracts: Western fighter for CPD. A revitalised IDI promises more than products. Hampshire school takes Redland's roofing prize
• Abstracts: Cross currents: Malaysian dam battle produces tentative truce

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