Business / Corporate

Toshiba posts ¥145 billion net loss in first half of fiscal year

Kyodo

Toshiba Corp. reported a net loss Wednesday of ¥145.15 billion ($1.3 billion) for the April-September period, due in part to taking a loss on the sale of a U.S. liquefied natural gas operation.

The company’s net loss compares with a profit of ¥1.08 trillion reported for the same time period a year earlier, when it booked a profit from the sale of a chip unit.

For the first six months of the current fiscal year, the technology conglomerate said its operating profit came to ¥52.05 billion, up from ¥6.98 billion the year before, on sales of ¥1.71 trillion, down 3.7 percent.

The company is continuing its reform efforts following the bankruptcy of its U.S. nuclear power subsidiary in 2017.

For the year through next March, Toshiba maintained its profit guidance, with expectations for annual operating profit to nearly quadruple to ¥140 billion. As for sales, it raised its previous estimate of ¥3.40 trillion to ¥3.44 trillion.

The company did not provide a net profit forecast, citing difficulty in assessing the earnings of an affiliated chip company, Kioxia Holdings Corp., formerly known as Toshiba Memory Holdings Corp., in which Toshiba has a 40.2 percent voting right.

Toshiba sold Toshiba Memory to an international consortium of U.S. private equity firm Bain Capital and South Korean chipmaker SK Hynix Inc. in June last year and reinvested about ¥350 billion in the chip firm.