Japanese electronics group NEC Corp posted a smaller first-half loss on November 14 on lower costs to make cellphones and microchips, and it stuck to its full-year forecast. NEC, which also makes servers, computers and telecom equipment, reported a net loss of 4.75 billion yen ($42.8 million) for the six months ended September 30, against a 9.93 billion yen loss the previous year.
The company got a boost from cost cuts and better sales of chips for game consoles and cars at 70 percent-owned microchip unit NEC Electronics Corp, which reported a net loss of 3.03 billion yen from a 7.39 billion yen loss the previous year.
NEC kept its full-year forecast for a net profit of 30 billion yen, below a consensus forecast for 32.5 billion yen, amid a weak yen and concerns about year-end consumer demand for electronics in the United States.
NEC, which has been beset by accounting problems, has been trimming costs as it eyes demand for new networks from Japanese mobile phone operators in the world's biggest market for third-generation phones. Shares of NEC have lost about 8 percent since January, against the benchmark Nikkei average, which fell 10 percent.