Kosaku Naruoka
Nidec Corporation is scheduled to report its third quarter results on Tuesday. Here’s what you should know:
Net Profit Forecast: Nidec is expected to post a 31% increase in net profit to ¥42.9 billion ($331.3 million) in the quarter ending December 31, according to an analyst survey by Visible Alpha. This compares to his 32.68 billion yen net profit in the previous year.
Earnings Forecast: According to a Visible Alpha poll, third quarter earnings are estimated to have increased 17% year-on-year to reach 583.27 billion yen.
What to see:
— Outlook: Nidec in October maintained its earnings guidance for the fiscal year ending March, saying the outlook for demand was not optimistic and raw material costs could trend upwards. rice field. Revenue is expected to increase by 9.5% to 2.1 trillion yen, while net profit is forecast to increase by 21.5% to 165 billion yen. Investors are watching for potential earnings forecast changes from management.
— EV motors: Sales of vehicles equipped with Nidec’s electric traction motors nearly tripled in the July-September quarter of the same period last year, driven by growth in Guangzhou Automobile’s Aion Y compact car. I was. Investors are keeping a close eye on the pace of growth in EV motor sales.
–Margins: Nidec’s second quarter operating margin declined to 8.8% from 9.6% a year earlier due to higher raw material costs. Investors are keeping an eye on trends in electronics manufacturers’ profit margins.
Please contact kosaku Narioka at kosaku.narioka@wsj.com.
