NSK Ltd. Provides Earnings Guidance for the Fiscal Year 2020
November 05, 2020 at 11:30 pm EST
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NSK Ltd. provided earnings guidance for the fiscal year 2020. Moving on to the fiscal 2020 consolidated business forecast, have not made any changes to full year earnings forecast. Although demand has been recovering at a slightly faster pace than expected, can't help but wonder whether this trend is sustainable. In Europe and the U.S., are seeing a new wave of COVID-19 cases and the new lockdowns in Europe, namely in France, Spain and the United Kingdom, are certainly cause for concern. The U.S. presidential election is now in full swing, and although Biden is close to winning a majority of electoral votes, it will take some time before a final decision is made, which may cause some confusion in the stock market for the time being. It is for these reasons that have not changed full year earnings forecast. If demand at this level of JPY 720 billion is met, are determined that will be able to achieve a positive operating income. Although net income will be close to 0, expect to issue a year-end dividend of JPY 10 per share, which, when combined with the interim dividend, would give a total of JPY 20 per share.
NSK Ltd. specializes in manufacturing and marketing high precision industrial equipments and components. Net sales break down by family of products as follows:
- automotive equipments (55.8%): transmission systems, steering system, needle bearings, etc.;
- industrial machine bearings (40%). The group also provides precision components and machines;
- other (4.3%).
At the end of March 2022, NSK had 66 production sites worldwide.
Net sales break down geographically as follows: Japan (36.7%), China (21%), Asia (14.9%), the Americas (14.5%) and Europe (12.9%).