Kyocera forecasts decline in profits

Kyocera issued a profit warning for the first half of its financial year which ends on the 30th of September. The company said it estimates that its profit will fall by 13 per cent compared to the same period last year, with problems in the semiconductor industry blamed for the drop. According to the company, its gross profit will slip to 28.7 billion yen, a decrease of 2.3 billion yen. Meanwhile, sales are expected for the whole financial year to drop by around 10 per cent to 222 billion yen. This is attributed in some part to falling prices of LCD screens as well as the other ceramic packaging business Kyocera undertakes. However, Kyocera expects to do well out of its relationship with the Iridium project. It will release mobile phones for the global satellite market early next month. The company said that its net profits for its 1998 financial year will be around the 53 billion yen mark, a rise of over 13 per cent on the year before. ®