Sharp guides for higher H1 revenue on good solar cell, LCDs sales

Sep 19, 2013 - Japan’s Sharp Corp (TYO:6753) yesterday lifted its revenue guidance to JPY 1.31 trillion (USD 13bn/EUR 10bn) for the April-September period due to high demand for solar cells and higher-than-expected sales of large-sized LCDs.

The electronics major explained that the increased sales of solar cells were the result of a surge in domestic demand both from the residential and from the large-scale solar project segment. Sales at the health and environmental equipment business are also improving, as well as revenues from electronic devices, it noted.

Previously the company expected revenues of JPY 1.27 trillion for its first fiscal half through September.

The higher sales are also seen to have a positive impact on Sharp’s profits. The company boosted its operating income projections to JPY 30 billion from JPY 15 billion. It also cut its April-September net loss forecast to JPY 10 billion from JPY 20 billion expected previously.

Recently research firm Mercom Capital Group said that Japan will add 7 GW of solar capacity in 2013, making it one of the most attractive destinations for companies from the photovoltaics (PV) segment. Although the country approved a 10% cut in the solar feed-in tariff to JPY 37.8 per kWh as of April 1, the move did not affect the huge interest in the market.

(JPY 100 = USD 1.011/EUR 0.746)

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