MHI shipbuilding division sinks into the red
Wednesday, 01 August 2012 | 16:30
The shipping and ocean development arm of Mitsubishi Heavy Industries (MHI) sank into the red in the first quarter ended 30 June 2012.
The division posted a net loss of JPY2.4bn ($30.8m) as against a net profit of JPY4.5bn in the corresponding period of 2011. Revenue however rose to JPY83.7bn from JPY63.2bn a year ago.
The company blamed the losses mainly to the effects of the stronger yen.
Orders received at the shipping and ocean development division rose to JPY23.1bn during the quarter compared to JPY12.4bn a year earlier.
“Although the orders environment for new commercial ships remained difficult, orders increased from a year ago, thanks to the order for a new-type LNG carrier,” MHI said.
Meanwhile, group net profit for MHI improved 95.7% year-on-year to JPY18.8bn thanks to lower taxes and a gain on sales of investment securities in extraordinary gains.
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