Japanese chip and computer maker Toshiba announced today it had squeezed out a profit, but rival Fujitsu lost more than $1 billion for a second year running.
Fujitsu, Japan's largest computer maker, said it planned to bounce back to profit this year by shaking up its management and appointing a new president, although investors were less confident.
Its net loss of 122.1 billion yen for the year ended March 31st was an improvement on last year's record loss of 382.54 billion yen. Yet it still compared poorly to Toshiba's 18.5 billion profit on the back of booming demand for its chips used in digital cameras.
Rival Toshiba said continued strong demand for chips used in digital cameras and mobile phones were expected to more than double its net profit to 40 billion yen this year.
But with the previous year's record net loss of 254.02 billion yen from hefty restructuring costs still fresh in its mind, Toshiba was not ready to declare a recovery.
Fujitsu's computer software and services business are profitable, but heavy losses from its semiconductor and telecoms equipment divisions continue to erode its balance sheet as it tries to recast itself as a computer services company.