Fujitsu shares fall sharply after falling 24% year over year

by Ronnie Harui

Shares of Fujitsu Ltd fell sharply on Monday morning after the company reported a nearly 24% drop in its operating profit for the first quarter of the fiscal year.

According to FactSet, shares fell 9.8% to 16,705.00 yen ($125.25), matching their June 24 intraday lows. Shares were last down 7.8% at Y17,075.00.

The Japanese electronics and information-technology services company said after the market close on Friday that its operating profit for the April-to-June quarter of its fiscal year ending next March declined to Y25.74 billion from Y33.74 billion a year ago. 60 billion, mostly due to the impact of material supply shortages.

Analysts at Citi Research said in a research report that fiscal first-quarter operating profit represented just 6% progress toward Fujitsu’s unchanged operating target of Y400 billion for the full fiscal year, which likely raised the risk of undercutting the target. Have given. Analysts said the company’s operating profit suffered a loss of Y12.9 billion from the component shortfall.

Fujitsu’s net profit fell 28.5% from a year earlier to Y17.28 billion in the first quarter of the fiscal year, though its revenue rose 2.1% to Y818.86 billion.

Write Ronnie Harui at [email protected]

(END) Dow Jones Newswires

July 31, 2022 22:49 ET (02:49 GMT)

Copyright (c) 2022 Dow Jones & Company, Inc.

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