STOCKS | Japanese Manufacturers' Profit Momentum Strengthens as Nearly Half Raise Net Profit Outlook for Fiscal 2027

According to Jin10, Japanese listed manufacturers reported strong profit growth, and nearly half raised their net profit outlook for the fiscal year ending March 2027, Nikkei reported. Successful price increases, continued strength in investment in artificial intelligence, and a weaker yen contributed to the higher forecasts. However, the market has begun to worry that U.S. technology companies may slow their investment spending. An analysis of about 500 companies on the Tokyo Stock Exchange Main Board focused on manufacturers and non-manufacturers with fiscal years ending in March that had reported first-half results by Friday; listed subsidiaries were excluded. It examined companies that had raised their outlook for the fiscal year ending March 2027 since October. Among 239 surveyed manufacturers, 112, or 47%, raised their net profit outlook. By industry, electrical machinery had the most companies raising forecasts, at 32, followed by chemicals at 27 and machinery manufacturing at 13.