Japan’s biggest electronics industry body projected on Monday that the combined output of member makers will amount to 25.69 trillion yen in 2000, the second-largest output on record.
The Electronics Industries Association of Japan said the projected output, if realized, would signify a 9.2 percent rise over the preceding year and a sharp upward revision from the earlier released projection of 24.44 trillion yen.
The number would be almost identical to the record 25.87 trillion yen output logged in 1997, the association said.
The association traced the projected output surge for the current calendar year to growing demand for products related to information technology as well as an export surge triggered by economic growth in the rest of Asia.
Semiconductor chips, cellular phones and personal computers are expected to continue being major factors behind the upsurge, it said.
Products in this category will see a 17.4 percent output increase during the 12 months through Dec. 31, it said.
Output of electronics equipment for industrial use such as semiconductor-manufacturing equipment is expected to undergo a 20.3 percent upsurge, it said.
The growth in the output of household equipment such as digital cameras and car navigation systems will likely be limited to 3.5 percent, partly because manufacturers are moving production of popular DVD players and other DVD products overseas, it added.
Mitsubishi Electric Corp. has revised its earnings projections upward for the first half of fiscal 2000, due mainly to strong sales of cellular phones and semiconductors in domestic and overseas markets, company officials said Monday.
Its consolidated pretax profit during the April-September period will reach 125 billion yen, more than double an earlier forecast of 60 billion yen. Group sales will reach 1.88 trillion yen, compared with an earlier forecast of 1.75 trillion yen, and consolidated net profit will come to 75 billion yen, up from 40 billion yen.
On a parent-only basis, the company predicts pretax profit of 60 billion yen, up from the previous forecast of 10 billion yen, and sales of 1.3 trillion yen, up from 1.2 trillion yen. Net profit will jump to 7 billion yen, compared with an earlier predicted net loss of 25 billion yen.
For the full business year to March 2001, Mitsubishi estimates a consolidated pretax profit of 200 billion yen, up from an earlier forecast of 115 billion yen, and group sales of 4.2 trillion yen, up from 3.9 trillion yen. Its consolidated net profit is expected to reach 120 billion yen, up from 75 billion yen.
Its unconsolidated pretax profit for fiscal 2000 will rise to 115 billion yen, up from an earlier forecast of 60 billion yen, and sales will increase to 2.95 trillion yen from 2.8 trillion yen. Net profit will reach 32 billion yen, up from 5 billion yen.
Mitsubishi said the impact of a recent recall of 45,000 TV sets on its earnings is not clear.
The products were recalled because they may overheat and catch fire or emit smoke. Repairing the defective sets is expected to cost between 400 million yen and 500 million yen, Mitsubishi officials said.
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