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Автор: Beaverage
<doudarev@creditlyonnais.ru>

Дата: 04.08.00, @13:57

 
13:48 04Aug2000 UPDATE 1-Pioneer profit beats forecasts with DVDs, displays

By Yuka Obayashi
TOKYO, Aug 4 (Reuters) - Japanese audio equipment maker Pioneer Corp <6773.T> scored a better-than-expected group net profit of 2.8 billion yen ($25.8 million) in the April-June quarter, buoyed by brisk sales of DVD players and plasma displays.
Group operating profit also jumped to 4.6 billion yen, more than six times the figure for the same period last year, aided by cost-cutting efforts.
"Operating profit was much higher than our estimate of 3.0 billion yen, mainly due to a stronger-than-expected performance in DVD-related products and plasma displays," said Kazuharu Miura, an analyst at Daiwa Research Institute.
The Tokyo-based company had recorded a net loss of 2.2 billion yen in the same period last year, mainly due to a strong yen, which reduces the yen value of Japanese exporters' income earned overseas.
Despite a further yen appreciation against the dollar and the euro in the latest quarter, the company's consolidated revenue, including royalties, rose 3.4 percent to 143 billion yen.
In line with the robust results, the company said it would raise its interim dividend to 7.5 yen from the previous year's 5.0 yen.
PROFIT TARGET MAY BE RAISED
For the half-year to September, Pioneer expects a group net profit of 5.5 billion yen on revenue of 300 billion yen, against a 1.9 billion yen net loss on revenue of 285 billion yen a year earlier. It is sticking to its May forecast for the full business year to next March of a group net profit of 15 billion yen, up 14.7 percent, on a revenue of 650 billion yen, up 5.5 percent.
Analysts predict, however, that the company will increase its profit target later this year.
"The company didn't raise its forecast because of concerns about a global shortage of electronics parts and future yen movements, especially a potential further appreciation on the euro," Daiwa's Miura said. "But as long as its DVDs and plasma displays do well, the firm will boost the estimate."
Prior to the announcement, Pioneer's shares ended Friday trade on the Tokyo stock market at 3,880 yen, up 90 yen or 2.37 percent, despite declines in many other high-technology stocks and in the benchmark Nikkei average.
The company's upbeat earnings prospects had already been reflected in the share price, which has risen more than 40 percent so far this year despite a nearly 20 percent drop in the Tokyo Stock Exchange's electric appliance sector index.
"The share price will still have room to rise if the company's sales continue to beat its original targets," Daiwa's Miura added.
In addition to rising global demand for DVD-related products and plasma displays, the company cited climbing domestic sales of car navigation systems and car minidisk players, as well as strong U.S. demand for settop boxes for digital TVs, as factors boosting overall revenue.
((Tokyo Equities Desk +81-3 3432 9404
tokyo.newsroom@reuters.com))
($1=108.39 Yen)
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