TOKYO, Oct. 31 (Kyodo) — Among 282 major Japanese companies which had released their earnings reports for the April-September term by last Friday, manufacturers logged a 50.3 percent year-on-yen plunge in net profit as the March 11 earthquake and tsunami affected production, SMBC Nikko Securities Inc. said Monday.
The profit fall for manufacturers is far steeper than the 16.4 percent drop for nonmanufacturing companies, the brokerage house said.
The all 282 nonfinancial companies listed on the First Section of the Tokyo Stock Exchange which had released earnings for the period by last Friday, net profit fell 36.5 percent and sales by 1.9 percent, according to a tally by the brokerage.
"Many companies suffered unprecedented hardships including supply chain disruptions and summer electricity conservation requirement due to the disaster," said Keiichi Ito, a senior analyst at the securities company.
Many manufacturers foresee improved earnings in the second half to March, thanks to a recovery of production to predisaster levels, but now face concerns about the yen's appreciation to record highs and massive Thai floods affecting their production activity, the brokerage said.