Feeds

Toshiba raises forecast as profits surge

PCs and semiconductors lead the charge

Top 5 reasons to deploy VMware with Tegile

Chip maker Toshiba raised its forecasts for the first half of the fiscal year after the firm enjoyed strong sales in the quarter ending 30 June.

The Japanese firm's net profits surged to ¥20.6bn (€126.8m) for the first quarter from ¥4bn (€24.9m) for the same period last year. This represent earnings per share of ¥5.92 (€0.04) for the period, up from ¥1.16 (€0.01) for the first quarter of last year.

Toshiba's sales rose 15 per cent to ¥1.66 trillion (€10.2bn), while operating profit rose 1.6 per cent to ¥21.2bn (€130.5m) in the quarter.

The Japanese chip maker raised its fiscal first-half net profit forecast to ¥40bn (€246.3m), up considerably from its April projection of ¥10bn (€61.6m). Toshiba expects sales for the half to reach ¥3.6 trillion (€22.2bn), compared with April's estimate of ¥3.5 trillion (€21.6bn). Operating profit is expected to hit ¥70bn (€431.2m), ahead of an earlier estimate for ¥40bn (€246.3m).

The firm cited accelerating growth in its PC business and anticipated growth from its semiconductor division as the primary causes for the revised figures. Earlier this week ENN reported that Toshiba enjoyed solid growth in PC shipments in Europe, the Middle East and Africa. Toshiba maintained fifth place overall in the table, which is headed by HP, according to analysts IDC.

The profits were also somewhat inflated by Toshiba completing the sale of its stake in Toshiba-EMI to the EMI Group in June. The Japanese firm made a profit of ¥12.7bn (€78.2m) on the sale of its 45 per cent stake in the firm.

Toshiba kept its full-year net income target unchanged at ¥120bn (€739.1m). Toshiba's president Furnio Muraoka told a press conference that the full year figures may yet bet revised. "We are reviewing and recalculating our full-year projections, and will announce new forecasts at a later date," said Muraoka.

Despite the impressive performance shares in the Japanese firm fell 3.1 per cent to ¥1,115 (€6.87) on the Tokyo Stock Exchange on Friday, though the stock has gained 44 per cent this year.

© 2007 ENN

Beginner's guide to SSL certificates

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
Special pleading against mass surveillance won't help anyone
Protecting journalists alone won't protect their sources
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Apple's iPhone 6 first-day sales are MEANINGLESS, mutters analyst
Big weekend queues only represent fruity firm's supply
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
Bill Gates, drugs and the internet: Top 10 Larry Ellison quotes
'I certainly never expected to become rich ... this is surreal'
Big Content Australia just blew a big hole in its credibility
AHEDA's research on average content prices did not expose methodology, so appears less than rigourous
EMC, HP blockbuster 'merger' shocker comes a cropper
Stand down, FTC... you can put your feet up for a bit
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Beginner's guide to SSL certificates
De-mystify the technology involved and give you the information you need to make the best decision when considering your online security options.