The share price of electronics company Sharp rose strongly today (May 13th) on the back of the latest financial results revealed by the firm, which showed it has returned to profit.
Sharp has faced a difficult period over the course of the last few years but the future is now looking brighter for the Japanese company after it said it made a net income of 11.6 billion yen (£67 million) for the financial year to the end of March.
Profits were double Sharp's own analysis and this is the first time in three years that the company has been able to finish the year in the black.
In the current financial year, Sharp stated that it is now expecting its net profit to triple to 30 billion yen and investors responded positively to this announcement, with shares in the firm rising by 7.7 per cent at one point in the wake of the news.
The weak value of the yen compared to global rivals in the last 12 months has been good news for Sharp. Asian exporters typically perform much better when the yen is in a weak position against the US dollar and other major currencies from around the world.
Sharp is the largest electronics manufacturer in Japan and is the firm responsible for the liquid-crystal displays used in many of the top smartphones, such as the iPhone from Apple.
A spike in sales was recorded by Sharp at the end of the financial year, as consumers rushed to pick up a bargain before a new sales tax was rolled out on April 1st, reports BBC News.
In a statement, Sharp said it has responded to its testing financial situation in the last few years by pushing boundaries regarding the products it is able to manufacture, citing 4k ultra high definition televisions as one of the areas it has had success with in recent months.
Sharp has also announced that two of its directors – Satoshi Fujimoto and Toshihiko Fujimoto – are to step down from the company's board.
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