Nidec Corp. surged to a record in Tokyo trading after the Japanese precision-motor maker reported profit that beat its own forecast and Chairman Shigenobu Nagamori disclosed plans to expand into the auto industry.
Nidec rose as much as 8.9 percent and was headed for the highest close since it began trading in September 1998. Japan’s benchmark Topix Index advanced 0.4 percent as of 1:16 p.m.
“It’s difficult to enter the auto parts industry and it would make things faster if we did mergers and acquisitions,” Nagamori said at a briefing yesterday. He gave a target to have 1 trillion yen ($8.3 billion) in sales by 2020 through acquisitions.
Net income rose to 76.2 billion yen in the year ended March 31 from 56.3 billion yen a year earlier, beating the company’s own forecast.