Company's interim results The manufacturing industry is affected by trade disputes between the United States and China November 7, 19:05
About 60% of the company's interim financial results were available by the 7th. Some companies, such as Toyota Motor Corporation, have achieved record profits, but in the manufacturing industry as a whole, recurring profits have decreased by more than 20% compared to the same period last year, and the slowdown in overseas economies, such as trade friction between the US and China, has created a structure Is clear.
By the 7th, the Tokyo Stock Exchange has announced the interim financial results from April to September, accounting for approximately 60% of the listed companies listed in the first quarter.
In this interim period, Toyota Motor recorded record highs in net sales and final profits, while Sony and TDK recorded record highs in sales of semiconductors and batteries for smartphones.
But overall, profits have decreased compared to the same period last year.
According to the summary of SMBC Nikko Securities, a major securities company, the ordinary income of the entire manufacturing industry decreased by 21% from the same period last year among the listed companies listed in the first half of the fiscal year ended March 31, which announced interim results by the 6th.
By industry, 60.1% for steel, 39.2% for non-ferrous metals, and 27.3% for transportation equipment including automobiles, etc.
It is clear that the prolonged trade friction between the United States and China and the economic slowdown in China will hurt business performance.
In addition, 142 companies have revised downward the forecast for ordinary income for the year to March next year, greatly exceeding 43 companies that have been revised upward, reflecting the uncertainty of the outlook for overseas economies.
On the other hand, recurring profits for non-manufacturing industries such as retail and restaurant industries have only decreased by 0.8%.
In particular, the ordinary income of the retail industry is positive 11.3%, which is solid performance due to rush demand before the consumption tax rate increase.
Expert "Severe but also some brightness"
“It has been quite harsh, especially in the manufacturing industry. The influence of trade friction in the United States and China has become quite prominent,” said Keiichi Ito, chief quant analyst, analyzing corporate performance at SMBC Nikko Securities. "If there is a further deterioration in business performance, there is a concern that it will affect non-manufacturing performance."
On the other hand, because there are signs of progress in trade negotiations between the United States and China, he said, “I think that the worst period is coming off.”
Furthermore, Mr. Ito pointed out that some companies are seeing a move to increase investments in growth fields, saying, “There will be companies that will increase new investments, focusing on long-term competitiveness rather than short-term results. It ’s a bright material, and I think it ’s very good for the Japanese economy as a whole, that companies are turning to making more profits using money. ”