Profit companies

Fujitsu shares rise sharply after forecasting 53% increase in net profit for the year

   By Kosaku Narioka 
 

The shares of Fujitsu Ltd. rose sharply on Monday morning after the company forecast a 53% rise in net profit for the year and announced a share buyback program.

The shares recently rose 4.5% to 19,530 yen after rising 11% earlier.

The Japanese electronics services and information technology company said after the market close on Thursday that it expected net profit to rise 53% to 280.00 billion yen ($2.16 billion). dollars) for the fiscal year that began in April. Its IT services operating profit is expected to more than double, thanks to higher revenues and cost reductions.

Japanese markets were closed on Friday for a public holiday.

Fujitsu also announced a buyback program that could repurchase up to 6.1% of its outstanding shares by the end of this fiscal year. Fujitsu said it could spend up to 150.0 billion yen on the program.

Fujitsu’s net profit fell 9.9% for the year ended in March, as revenue fell 0.1% to 3.587 billion yen.

The Topix sub-index for computer and communication companies recently fell 0.9% and the Nikkei Stock Average fell 0.8%.

 

Write to Kosaku Narioka at [email protected]

 

(END) Dow Jones Newswire

May 01, 2022 10:33 p.m. ET (02:33 GMT)

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