Connect with us

Hi, what are you looking for?

Capital Business
Capital Business


Toshiba records losses

TOKYO, Jan 29 – Japanese high-tech giant Toshiba Corp. said Friday its net loss shrunk to 118 million dollars for the three months to December on a recovery in its memory chip business.

The Japanese firm said it suffered a group net loss of 10.63 billion yen (118 million dollars) for the October-December quarter, much narrower than a net loss of 121.14 billion yen a year earlier.

Its electric device business improved "substantially" after prices of flash memory chips stabilised, Toshiba said in a statement.

Toshiba\’s memory chip business, previously a drag on earnings, staged a sharp recovery on surging global demand for flash memory chips often used for mobile gadgets and other high-tech digital products.

Analysts say components makers are now racing to expand capacity after running down their inventories last year on expectations of a much longer economic downturn, as cheaper prices for consumer electronics drive demand.

Toshiba\’s operating profit for the third quarter stood at 10.22 billion yen, reversing the operating loss of 157.68 billion yen in the previous year. Revenue rose 6.1 percent to 1.58 trillion yen.

The company said cost-cutting efforts and strong demand for its nuclear power plant businesses contributed to the reduction in its loss. Toshiba owns US nuclear plant maker Westinghouse.

Toshiba downgraded its full-year sales forecast to 6.4 trillion yen from its earlier estimate of 6.8 trillion yen due to "the global recession, which has proved to be more persistent than expected," it said.

But it left its bottom line forecast unchanged, still projecting its net loss to 50 billion yen for the year to March 31. The firm also left its forecast of a 100 billion yen operating profit for the full year unchanged.

Advertisement. Scroll to continue reading.

Toshiba incurred its biggest-ever loss of 343.6 billion yen in the previous financial year and expects to remain mired in the red for the current fiscal year as its chip business continues to recover.

Click to comment

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...


NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...


NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...


NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...


NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...