Jan. 31 (Bloomberg) -- Kyocera Corp. reduced its forecast for net income for the year ending March 31 because a slump in demand for digital consumer products offset gains from its solar energy business.
The Japanese electronics maker based in Kyoto said it expects its profit to drop 24 percent to 57 billion yen ($627 million). The solar energy business in Japan will grow “significantly” in the three months ending March 31, it said in a statement today. Kyocera said in October it projects a net income of 75 billion yen.
Japan began an incentive program for clean energy in July that’s boosting solar panel installations across the country. Kyocera has been developing solar cells since 1975.
Net income in the three months ended December rose 22.6 percent to 33 billion yen from a year ago, according to Kyocera. Sales rose 13.2 percent to 318 billion yen.
Net income for the April-December period fell 37.6 percent to 45 billion yen on year, while revenue rose 4.6 percent to 927 billion yen, Kyocera said in a filing.
Sales for its applied ceramic products increased during the nine months because of growing demand in the solar business in Japan as well as higher revenue from sales of cutting tools, the company said.
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