Japan's Hitachi said Monday that its quarterly profit plunged 41
percent, pointing to weaker demand for construction machinery and
automotive equipment for the hit to its earnings.
whose products range from diggers to nuclear reactors, said it earned
20.2 billion yen ($217.8 million) in its third quarter to December, down
from 34.2 billion yen a year earlier.
Sales slipped seven percent to 2.11 trillion yen, it said.
For the nine months to December, Hitachi said net profit was down to 50.3 billion yen from 85.1 billion yen a year earlier.
company slashed its full-year to March net profit estimate by 50
billion yen to 150 billion yen on 8.9 trillion yen in revenue.
in the construction equipment unit was largely due to "lower sales of
hydraulic excavators due to the impact of lower demand in China", it
said, as concerns remain over the strength of the world's second-biggest
But Hitachi said its power systems unit as well as
social infrastructure and industrial systems division, which includes
its elevator and escalator business, both saw a boost in sales.
October, Hitachi said it would buy British atomic power venture Horizon
to expand its nuclear business overseas, as the Japanese remain wary
about atomic power after the Fukushima disaster in 2011.
The purchase price was 696 million pounds ($1.09 billion).
planned to build two or three 1,300-megawatt-class reactors at each of
two nuclear power stations in Britain and Hitachi will take over the
task, the Japanese company said at the time.