The combined pretax profit of companies listed on the Tokyo Stock Exchange's first section shrank 7.0 percent in April-June from the same quarter last year, according to SMBC Nikko Securities Inc.
The total came to ¥5.08 trillion, the brokerage said Tuesday.
The yen's continued strength against other major currencies and the global slowdown underpinned by the eurozone debt crisis hit the Japanese manufacturing sector, which has a high overseas sales ratio.