Johnson Electric’s profit plummets on forex effects
Electric motor maker Johnson Electric Holdings Ltd. (0179.HK) said on Friday it expects to report its profit fell by more than half in the first half of its current fiscal year, mostly due to losses related to changes foreign exchange rates.
The company said it expects to report a profit of $50 million to $58 million for the six months through September, down 56% to 62% from the $133 million it reported a year earlier. It said it expects total sales for the period to remain roughly the same as the year-ago figure.
It cited foreign exchange-related effects as the primary factor behind the big profit drop, saying that impact was responsible for between $49 million and $55 million of the profit decline. It also cited pricing actions it took in response to competition, rising raw material costs and provisions for customer credits.
Johnson Electric previously reported its sales were roughly flat at $3.65 billion in its latest fiscal year through March 2026. Its net profit for the 12-month period fell 23% to $202 million.
Johnson Electric’s stock opened lower on Monday, and was down about 19% at HK$13.71 midway through the afternoon trading session. The stock is down about 54% this year.
By Doug Young
To subscribe to Bamboo Works weekly free newsletter, click here
Related Articles
RELATED ARTICLES
-
JBM Healthcare gets bitter pill from investors on anemic performance
2161.HK -
Forex losses, fair-value changes weigh on Sanhua Intelligent’s profit
2050.HK002050.SHE
- BRIEF: ZTE first quarter profit tumbles on forex swing
-
Harbin Electric records strong profit growth in first half of 2026
1133.HK
-
Sunmi Technology swings to the red as forex and listing costs weigh
6810.HK
- Budget air con giant catches chill from tepid home economy, Middle East war
- MicroPort MedBot serves up inaugural profit on booming exports
