TOKYO: Japan’s Nikkei share average ended slightly higher on Monday, as gains were capped by domestic firms’ dim forecasts, with Sony soaring on 73% rise in its quarterly profit.
The Nikkei ended 0.08% higher at 39,533.32, while the broader Topix inched down 0.09% at 2,739.68.
“A significant number of companies revised down their outlook. That negative surprise has made investors cautious about buying local stocks,” said Shigetoshi Kamada, general manager at the research department at Tachibana Securities.
“The market is awaiting the outcome of SoftBank (Group) and banks to confirm the outlook trend.” Results of Honda Motor, which reported a surprise 15% drop in second-quarter operating profit last week, was particularly a big surprise, said Kamada. The stock slipped 0.14% on Monday.
Nissan fell for a second session, falling 4.31% after announcing last week it would cut 9,000 jobs and 20% of its manufacturing capacity as it struggles with sales in China and the United States.
Toyota slipped 0.34%.
Sony jumped 6% after the audio equipment and game maker’s operating profit rose 73% in the July-September quarter.
Home appliances retailer Nojima jumped 4.63% after announcing it would buy Vaio, a computer business originally owned by Sony, from an investment fund Japan Industrial Partners.
Suzuki Motor added 4.39% after raising its annual operating and net profit forecasts for the year to March 2025.
Home security services provider Secom fell 4.97% to drag the Nikkei the most. Air conditioner maker Daikin Industries shed 2.71%.
Of more than 1,600 stocks trading on the Tokyo Stock Exchange’s prime market, 42% rose, 55% fell and 2% traded flat.
Comments
Comments are closed.