Panasonic Corp. is expecting net profit to rise 27.2% to ¥210 billion ($1.9 billion) in the current business year through next March, helped by growth in its automotive segment that supplies electric vehicle batteries to U.S. giant Tesla Inc.
The rosy scenario, announced Monday, would follow a year in which the coronavirus pandemic has dented demand for Panasonic in-flight equipment with aircraft production stalled, sending total sales for fiscal 2020 below the ¥7 trillion mark for the first time in 25 years to ¥6.70 trillion. Net profit in the year ended March slumped 26.9% to ¥165.08 billion.
In fiscal 2021, sales are forecast to increase 4.5% to ¥7 trillion, according to the Osaka Prefecture-based company. Operating profit is expected to gain 27.6% to ¥330 billion, which compares with ¥258.60 billion in the previous year.