Tokyo Electron profit jumps 63 pct, keeps outlook

Written by:
Subscribe to Oneindia News

TOKYO, Nov 13 (Reuters) Tokyo Electron Ltd, the world's second-biggest chip gear maker, posted a 63 percent rise in first-half operating profit on Tuesday on a backlog of orders, and it kept its outlook above the market consensus.

Tokyo Electron, which trails Applied Materials Inc in tools used to make microchips, earned an operating profit of 95.01 billion yen in April-September, up from 58.24 billion yen a year earlier.

Both Tokyo Electron and Applied Materials have seen sluggish orders from memory makers and foundries that reined in spending to deal with excess inventory and tumbling microchip prices.

Tokyo Electron is counting on rising demand from makers of flash memory, used in cellphones and digital music players, and a recovery in flat panel display makers to help it reach its annual outlook of 160 billion yen, above a consensus estimate of 156.5 billion yen by 21 analysts polled by Reuters Estimates.

Chip price concerns have weighed on shares of Tokyo Electron, which have lost 37 percent since January, against a 12 percent fall in the benchmark Nikkei average REUTERS SLD DS1252

Please Wait while comments are loading...