Toshiba still in red but losses shrink

Toshiba Corp. said Friday that while restructuring costs kept its group net balance for the fiscal first half to September mired in the red, the size of its losses shrank markedly.

In its consolidated earnings report, based on U.S. accounting rules, Toshiba said it posted a net loss of 26.41 billion yen, down from a loss of 123.14 billion yen a year earlier, and a pretax loss of 43.81 billion yen, down from 196.55 billion yen.

But group sales rose 5 percent to 2.63 trillion yen in the first half thanks to a strong performance in the digital-media sector, including personal computers and video equipment, and the electronic-device sector, which includes audiovisual equipment, digital cameras and liquid-crystal displays.

On an unconsolidated basis, Toshiba posted a net profit of 47.11 billion yen, marking a turnaround from a loss of 101.42 billion yen a year ago, due largely to a special profit of 108.7 billion yen that the firm posted after returning a portion of the employee pension funds it has been managing and paying on behalf of the state to the government.

As in the previous year, the company will skip an interim dividend payment.

For the full fiscal year, Toshiba forecasts a group net profit of 23 billion yen and a group pretax profit of 40 billion yen on sales of 5.65 trillion yen.

In fiscal 2001, the company logged a group net loss of 254.02 billion yen and a group pretax loss of 376.69 billion yen on sales of 5.39 trillion yen.