TOKYO - Hitachi Ltd., a maker of everything from home appliances to nuclear reactors, returned to profit last quarter as strong Asian demand fueled recovery in the auto and electronics sectors.
The company said Friday it booked a net profit of 86 billion yen (US$989 million) for April through June compared with a loss of 82.7 billion yen a year earlier.
Revenue rose 13.7 per cent to 2.15 trillion yen, while operating profit came to 88.5 billion yen. It posted an operating loss of 50.6 billion yen the previous year.
Hitachi joins other major Japanese electronics companies in reporting dramatic turnarounds. On Thursday, Sony Corp., Panasonic Corp. and Toshiba Corp. were among those that posted robust profits after deep losses last year.
The company said it sold more chip-related manufacturing equipment, construction machinery, automotive systems and consumer electronics.
Sales in Asia soared 41 per cent, while North American revenue grew 12 per cent. Japan sales were up 7 per cent.
The company raised its outlook for the first half through September. It now expects net profit of 100 billion yen compared with 55 billion previously forecast.
It left its annual forecasts unchanged due to looming uncertainties, including currency fluctuations, raw material prices and the health of the global economy. The company continues to expect net profit of 130 billion yen on revenue of 130 billion yen for the full year through March 2011.
In trading Friday, Hitachi shares tumbled 2 per cent to 352 yen, compared with the benchmark Nikkei 225 index’s 1.6 per cent slide.
