Japan Industrial Production Rises 1.2%, Weekly Fall of 0.3% in Nikkei

Hiruki Nakamura
12 Jun, 2015
New York City

Nikkei in Tokyo rose and investors digested latest batch of earnings. Industrial production increased for the first time in three months in April. Ateam said third-quarter sales increased 24% and estimated annual sales to increase 29%. Mitsubishi Corp launched a 60-year bond offering.

[R]4:30 PM Tokyo – Nikkei in Tokyo rose and investors digested latest batch of earnings. Industrial production increased for the first time in three months in April. Ateam said third-quarter sales increased 24% and estimated annual sales to increase 29%. Mitsubishi Corp launched a 60-year bond offering to pay for 200 billion yen stock buyback program.[/R]

In lacklustre trading the Nikkei 225 average closed higher and for the week fell 0.3%.

The seasonally adjusted industrial production in April climbed 1.2% from the revised 1% increase in March, the first increase in three-months. In March, production declined 0.8%, the Ministry of Economy, Trade and Industry said.

For the year, industrial production in April edged up 0.1% compared to 1.7% decrease in March.

The department added total shipments in April jumped 0.6% from the previous month and revised inventories gained 0.4% from the initial flat estimate.

The Nikkei 225 Stock Average rose 24.11 to 20,407.08 and the broader Topix index gained 2.60 to 1,651.48.

For the week, Nikkei 225 decreased 0.3%.

The yen closed at 123.65 against a dollar.

Stocks in Review

Ateam Inc rose 0.07% to 2,762 yen after the online games provider said net sales in the third-quarter ending in April climbed 23.8% to 11.26 billion yen from 9.10 billion yen in a year ago period.

Net income in the period soared 82.8% to 1.03 billion yen compared to 592 million yen and diluted earnings per share increased to 55.40 yen from 30.36 yen in the same period a year ago.

The game developer forecasted net sales for the year ending in July to jump 28.8% to 15.5 billion yen and net income to surge 61.8% to 1.20 billion yen.

The retailer forecasted net sales for the fiscal second-half ending in October to climb 14.3% to 42 billion yen and net income to increase 34.1% to 3.3 billion yen.

Ihara Chemical Industry Co., Ltd declined 5.7% to 1,578 yen after the agrochemical maker reported net sales in the second-quarter ending in April soared 17.1% to 21.52 billion yen from 18.37 billion yen in a year ago period.

Net income in the period surged 58.6% to 2.54 billion yen compared to 1.60 billion yen and earnings per share jumped to 55.39 yen from 35.58 yen in the same period a year ago.

The retailer forecasted net sales for the fiscal second-half ending in October to climb 14.3% to 42 billion yen and net income to increase 34.1% to 3.3 billion yen.

Mitsubishi Corporation slipped 0.5% to 2,797.50 yen after the trading company launched a new 60-year subordinated bond to raise cash for share buybacks of 200 billion yen, doubled the issue amount from the original plan.

Shoei Foods Corporation gained 0.2% to 1,101 yen after the food and dairy products maker said net sales in the second-quarter ending in April jumped 9.3% to 55.61 billion yen from 50.89 billion yen in a year ago period.

Net income in the period climbed 68% to 1.86 billion yen compared to 1.10 billion yen and earnings per share advanced to 95.43 yen from 56.81 yen in the same period a year ago.

Zappallas, Inc climbed 4.5% to 645 yen after the mobile content provider stated revenues in the year ending in April declined 7% to 7.58 billion yen from 8.16 billion yen in a year ago period.

Net income in the period plunged 35.5% to 242 million yen compared to 375 million yen and diluted earnings per share dropped to 19.02 yen from 29.72 yen in the same period a year ago.