By Kosaku Narioka


Nidec Corp. reported a doubling of third-quarter net profit but lowered its earnings forecasts as severe competition in China led to costs related to restructuring at its electric-vehicle motor business.

The Japanese electric-motor maker said Wednesday that net profit more than doubled to 39.84 billion yen ($268.5 million) for the three months ended Dec. 31 from Y17.43 billion in the year-earlier period. That beat the estimate of Y38.94 billion in a poll of analysts by data provider Quick.

Nidec's operating profit from its biggest segment--appliance, commercial and industrial products--increased to Y27.36 billion from Y20.63 billion.

Nidec will book restructuring expenses for its EV traction motor business to improve its financial footing and strengthen profitability, it said.

It projected that net profit for the fiscal year ending March would triple to Y135.00 billion, down from its previous forecast of Y165.00 billion, and revenue would increase 2.5% to Y2.300 trillion, compared with its previous forecast of a 1.9% fall.

Third-quarter revenue increased 4.4% from a year earlier to Y594.03 billion, led by gains in U.S. and Europe.


Write to Kosaku Narioka at kosaku.narioka@wsj.com


(END) Dow Jones Newswires

01-24-24 0231ET