Kyocera Corp., the Japanese company building the world’s largest floating solar power plant, cut its full-year sales and profit forecasts in anticipation that a slowing Chinese economy and the impact of production adjustments for smartphones will lead to a tougher business environment.
Sales for the 12 months ending March 31 will probably total 1.48 trillion yen ($12 billion), compared with an October forecast of 1.53 trillion yen, the Kyoto-based company said in a statement. Full-year operating profit forecast was cut to 85 billion yen from 110 billion yen expected in October.
For the three months ended Dec. 31, Kyocera’s net income fell 71 percent to 8.7 billion yen from the same period a year earlier, according to the statement. Sales fell 4.4 percent to 370.5 billion yen, while operating profit dropped 89 percent to 4.1 billion yen.
Third-quarter revenue at the company’s applied ceramic products group, which includes solar panels, declined 0.8 percent, while operating profit rose 18 percent, according to the company.