70% of listed Japan firms enjoy profit growth: Jiji survey

October 18, 2017

TOKYO- More than 70 percent of Japanese companies that are listed on the Tokyo Stock Exchange's first section and close their books in February 2018 enjoyed year-on-year growth in group net profit in the first half through August, a Jiji Press survey has found.

Of the 91 firms, mostly retailers and service companies, that announced comparable March-August earnings results, 68 reported net profit rises.

Department store operators posted brisk earnings thanks to strong demand from wealthy customers and foreign visitors. Convenience store operators fared well on the back of robust sales of new products.

Movie distributors Toho Co. and Shochiku Co. logged double-digit profit growth, aided by solid box-office sales.

The 91 companies' combined sales and net profits grew 6.0 percent and 33.4 percent, respectively, from a year before.

Retail giant Aeon Co. returned to the black after suffering a net loss in March-August last year. While the company's general merchandise store business has remained in the red on an operating basis, its earnings continue to be underpinned by financial and real estate operations.

Department store operator J. Front Retailing Co. enjoyed growth in both sales and profit thanks to brisk sales at the Ginza Six commercial complex, which opened in April this year in Tokyo's posh Ginza district.

Demand from wealthy customers and foreign visitors has been robust, but that from middle-class people has been sluggish, J. Front Retailing President Ryoichi Yamamoto said. Jiji Press