Misumi Group Shares Rise Sharply After May Revenue Climbed 5.9%

By Kosaku Narioka

Misumi Group Inc. shares rose sharply Monday morning after revenue in May increased 5.9% compared with the same period a year earlier thanks to greater sales of parts used for factory equipment.

The shares were recently 4.9% higher at 2,924 yen after rising as much as 5.2% earlier.

Misumi said after the market's close on Friday that revenue in May climbed to Y30.54 billion ($225.9 million) as sales rose for parts used in factory automation and the manufacture of cars and electronics equipment. Sales from its distribution business also increased.

Nomura analyst Rei Ogasawara said in a research note that Misumi's sales in June and July could be weighed by the supply-chain disruptions caused by China's pandemic-related lockdowns, before gradually recovering in August.

Misumi said in May it expected revenue to rise 10% to Y403.50 billion and net profit to increase 12% to Y42.00 billion for the fiscal-year that started in April.

The Topix subindex for the wholesale trade sector, which Misumi belongs to, was recently 0.9% higher and the Nikkei Stock Average was up 1.0%.

Write to Kosaku Narioka at [e-mail]

(END) Dow Jones Newswires

06-26-22 2241ET