(Associated Press via NewsEdge) Hitachi trimmed its losses and Toshiba posted its first profit since it began reporting first-quarter earnings in 2002 in the latest signs of recovery among Japanese electronics makers.
Japanese electronics companies have suffered a slump in recent years, battered by competition from cheaper rivals and price drops, but some have been making comebacks.
Hitachi said it reduced its loss for the April-June quarter compared with the same period last year on strong demand for flat-panel TVs, data storage products and electronics parts.
Hitachi's loss for the period totaled 22 billion yen ($192 million), down from 24 billion yen ($209 million) the previous year. Quarterly sales rose 10% to 2.2 trillion yen ($19 billion) from 2 trillion yen ($17.5 billion), it said.
Toshiba posted a 4 billion yen ($34.9 million) profit for the quarter through June, reversing a loss of 8.9 billion yen ($77 million) in the same quarter of 2005.
The turnaround in the latest three months came on the back of better sales in TVs, flash-memory chips, mobile displays and medical equipment, Toshiba said. Quarterly sales rose 12% on year to 1.45 trillion yen ($12.6 billion) from 1.3 trillion yen ($11.3 billion).
Toshiba posted sales improvements in Japan, North America, Europe and the rest of Asia.
Hitachi said it also was helped by strong sales in the US, China and other Asian nations, especially of digital products including plasma TVs.
Toshiba kept its April forecast for the full year unchanged at 90 billion yen ($785 million) profit on 6.6 trillion yen ($57.6 billion) sales.
Hitachi maintained its full year forecast for a 55 billion yen ($480 million) profit on 9.7 trillion yen ($84.6 billion) sales.
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