Matsushita Electric Industrial Co. said Wednesday it returned to profit for the first time in three years in fiscal 2003, buoyed by robust sales of plasma display panel TVs and DVD recorders.
The Osaka-based consumer electronics giant said it expects its revenue and profit growth to continue for the current fiscal year on the continued strength of digital consumer products.
The company's net profit for fiscal 2003 stood at 42.15 billion yen, up from a net loss of 19.45 billion yen posted a year earlier.
Its operating profit jumped 55 percent to 195.49 billion yen, and revenue was up 1.1 percent to 7.48 trillion yen.
It attributed the strong results to the popularity of digital consumer electronics, including cell phone handsets.
Household appliances such as washing machines, dish washers and air conditioners also enjoyed brisk sales after the company introduced new models.
Sales of cathode-ray tube TVs and videocassette recorders fell, highlighting a shift to flat-screen TVs and DVD recorders.
But the popularity of its digital consumer products does not mean the company is immune to price falls of such products, which sapped operating profit by 249 billion yen during fiscal 2003.
The firm said it more than offset the negative impact by slashing costs.
In fiscal 2003, it spent 92 billion yen on restructuring.
For the current fiscal year, it forecasts net profit of 63 billion yen on revenue of 8.8 trillion yen.
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