August 2, 2009

Japanese companies show improved earnings

Earnings for major Japanese companies returned to the black in the latest quarter, suggesting a rebound, a securities firm said.

For April to June, the combined pretax profits for the 410 companies totaled 1.03 trillion yen, a turnaround from a loss of 2.19 trillion yen the previous quarter, Kyodo News Service reported.

The companies represent about 30 percent of those listed in the First Section of the Tokyo Stock Exchange that close their books at the end of March, Nikko Cordial Securities Inc. said.

Despite signs of progress over the previous quarter, however, the combined profits of the companies declined more than 70 percent from the April-June quarter in 2008, reflecting the global economic downturn.