FINWIRES · TerminalLIVE
FINWIRES

TYO:6701

14 stories mentioning TYO:6701Updated 1d ago

Every FINWIRES story that references TYO:6701, newest first.

Asia

NEC's Profit Climbs 157% in Fiscal Q1

NEC (TYO:6701) profit attributable to owners of the parent climbed 157% to 49.7 billion yen for the fiscal first quarter from 19.3 billion yen a year earlier.The IT company's earnings per share rose to 37.47 yen from 14.49 yen a year ago, according to a Tokyo bourse filing on Wednesday.Revenue increased 15% to 819.8 billion yen for the three months ended June 30 from 715.7 billion yen a year earlier.For the fiscal year ending March 31, 2027, the company expects attributable profit of 290 billion yen, EPS of 218.65 yen, and revenue of 3.540 trillion yen.NEC plans to pay interim and year-end dividends of 20 yen per share each for the current fiscal year.Shares of NEC rose nearly 3% at market close.

TYO:6701
Asia

Noetra Launches Japan-Made Multimodal AI Model for Robotics

Noetra, backed by Sony (TYO:6758), SoftBank(TYO:9984), NEC(TYO:6701), and Honda (TYO:7267), has initiated full-scale R&D for a domestically developed multimodal foundation model aimed at advancing AI-enabled robots and physical AI.The company has assembled a research organization with engineers seconded from core partners and institutions like AIST and Preferred Networks, according to a statement on Thursday.Noetra also plans to build an AI computing infrastructure with approximately 27,500 NVIDIA Rubin GPUs by mid-2028.Its roadmap progresses from a Japanese-language reasoning model in fiscal 2026 to an omni-modal system by 2028, and a "Real-world Native AI" with spatial-physical awareness by 2030.The models will be released externally in stages, aligning with R&D progress and real-world application readiness.

TYO:6701TYO:6758TYO:7267TYO:9984
Asia

NEC Revises Segment Reporting, Shifts to Non-GAAP Profit Disclosure

NEC (TYO:6701) will revise its reportable segments on consolidated financial results starting from the fiscal first quarter, following organizational changes, according to a Tokyo bourse filing on Friday.Previously, the IT company disclosed both adjusted operating profit and Non-GAAP operating profit for the company as a whole, while reporting only adjusted operating profit for each segment.Going forward, however, NEC will disclose only Non-GAAP operating profit for both the company as a whole and each segment, reflecting a streamlined approach to measuring underlying profitability.Under the new structure, the IT Services segment is forecast to generate 3 trillion yen in revenue and 420 billion yen in Non-GAAP operating profit for the fiscal year 2027, while the social infrastructure segment is expected to contribute 760 billion yen in revenue and 94 billion yen in profit.The aerospace/national security and submarine systems segments are also projected to see growth, with the latter swinging from a loss to a profit of 3 billion yen.

TYO:6701
Asia

Lightstorm, Singtel, Microsoft to Launch India-Southeast Asia Submarine Cable

Lightstorm signed consortium agreements with Singtel (SGX:Z74) Microsoft and Tata Communications (NSE:TATACOMM, BOM:500483) to build a submarine cable system that will link India's east coast to Singapore and Malaysia.The 3,600-kilometer I-2SEA is expected to be service-ready by the fourth quarter of 2029 and is designed for AI workloads, according to a Thursday statement from the city-state's AI connectivity platform operator.Under the agreement, NEC Corp. (TYO: 6701) was named system supplier while ASEAN Cableship was the marine installation partner.

BOM:500483NSE:TATACOMMSGX:Z74TYO:6701
Asia

NEC to Absorb Wholly-Owned Subsidiary NEC Solution Innovators

NEC (TYO:6701) has agreed to merge with its wholly-owned subsidiary, NEC Solution Innovators, effective Oct. 1, through a simplified absorption-type merger requiring no shareholder approval.The merger consolidates over 10,000 IT engineers and domain expertise to strengthen consulting and operations capabilities as customer demand shifts from system integration to AI-driven value creation, according to a Tokyo bourse filing on Wednesday.NEC's name, leadership, and capital structure will remain unchanged post-merger.

TYO:6701
Japan Taps SoftBank-Backed Noetra for AI Push Worth Up to 1 Trillion Yen
US Markets

Japan Taps SoftBank-Backed Noetra for AI Push Worth Up to 1 Trillion Yen

Japan's government has selected a SoftBank Corp.-backed (TYO:9434) consortium to lead a national effort to develop a homegrown artificial intelligence model, with total government investment poised to reach 1 trillion yen over five years.The Ministry of Economy, Trade and Industry (METI) and the New Energy and Industrial Technology Development Organization (NEDO) named Noetra Inc. and the National Institute of Advanced Industrial Science and Technology (AIST) as the implementers of its "Multimodal Platform Model Development Project for AI Robots and Physical AI," according to a press release on Tuesday.It follows a review of 15 proposals submitted during a public tender that ran from March 24 to April 22.The project spans fiscal years 2026 through 2030, with contracts initially signed for the first two years and continuation subject to an annual stage-gate review, NEDO said.Under the arrangement, Noetra will develop and supply "an internationally competitive" multimodal platform model while taking into account the needs of Japanese model development and utilization.AIST will work with domestic and international research institutions to carry out advanced technological development and contribute to the development of what METI described as "a future-oriented, competitive platform model."The AI model is expected to handle a range of data, including language, audio, images, videos, sensor data, and more.The government has already earmarked 387.3 billion yen for the program in its fiscal 2026 budget, funded through GX Economy Transition Bonds, according to METI's budget outline published in April.Noetra is a joint project led by SoftBank Corp., the telecommunications and internet subsidiary of SoftBank Group (TYO:9984). It counts NEC Corp. (TYO:6701), Honda Motor (TYO:7267), Sony Group (TYO:6758), Mitsubishi UFJ Financial Group (TYO:8306), Sumitomo Mitsui Financial (TYO:8316), Mizuho Financial Group (TYO:8411), Nippon Steel (TYO:5401) and Kobe Steel (TYO:5406) as partners.Back in April, METI disclosed its ambition for Japan to capture 30%, or 20 trillion yen, of the global AI robotics market by 2040.The announcement comes amid a broader rally in Japanese AI-linked stocks that pushed the Nikkei 225 to its sharpest quarterly increase on record as of Tuesday. SoftBank Group recently overtook Toyota Motor (TYO:7203) as Japan's most valuable listed company.The Japanese initiative follows a similar push from neighboring South Korea, which also unveiled plans to build semiconductor facilities and AI data centers on Monday, enlisting chipmaker SK Hynix (KRX:000660), Samsung Electronics (KRX:005930) and internet firm Naver (KRX:035420).

Nikkei 225KRX:000660KRX:005930KRX:035420TYO:5401TYO:5406TYO:6701TYO:6758TYO:7203TYO:7267TYO:8306TYO:8316TYO:8411TYO:9434TYO:9984
Asia

SoftBank-Led Consortium to Lead Japan's 1 Trillion Yen National AI Initiative

Japan has selected a consortium backed by SoftBank Corp.(TYO:9434) to spearhead a five-year national project developing a homegrown multimodal AI platform, with total public investment expected to reach 1 trillion yen.The initiative, overseen by the Ministry of Economy, Trade and Industry (METI) and the New Energy and Industrial Technology Development Organization (NEDO), will see the consortium called Noetra Inc. supply the core model while AIST will collaborate with research institutions to advance the technology, according to a joint statement on Wednesday.Noetra, a joint venture led by SoftBank Corp., includes major partners such as NEC Corp. (TYO:6701), Honda Motor (TYO:7267), Sony Group (TYO:6758), Mitsubishi UFJ Financial Group (TYO:8306), Sumitomo Mitsui Financial (TYO:8316), Mizuho Financial Group (TYO:8411), Nippon Steel (TYO:5401) and Kobe Steel (TYO:5406).

TYO:5401TYO:5406TYO:6701TYO:6758TYO:7267TYO:8306TYO:8316TYO:8411TYO:9434
Asia

S&P Upgrades NEC to A- on Improved Profitability

S&P Global Ratings upgraded NEC's (TYO:6701) long-term issuer credit rating to A- from BBB+, according to a recent release.The rating action reflects the better-than-expected increase in the company's profitability due to higher value-added business and a productivity boost. The company's IT services business has expanded orders and earnings in the public sector by obtaining solid system update demand, according to S&P.The rating agency expects the company's EBITDA margin to rise to the high 15% range over the next one to two years amid improving profitability in core segments. The company should retain strong financial metrics, given better cash flow generation and prudent financial management that lead to controlled investments.S&P derives the stable outlook on its view that the company will keep its healthy position with a solid IT service and social infrastructure segment base as well as disciplined financial management.Notable shifts in the company's EBITDA margin or growth investments could trigger future rating actions.

TYO:6701
Asia

NEC to Maintain Strong Financials Despite Software Company Purchase, S&P Says

Japan's NEC (TYO:6701) will retain stable financials in line with its rating after the acquisition of U.S.-based software company CSG, S&P Global Ratings said in a Friday release.The technology company's profitability boost should anchor its financial profile after the 40 billion yen purchase, S&P said.The rating agency sees a moderate expansion in the company's EBITDA due to solid domestic digital transformation and disposal of low-profit segments.S&P expects the debt-to-EBITDA ratio to continue at about 0.6x following the acquisition.The company will be aggressive in increasing its investments, as seen in the planned investment capacity of between 1.2 trillion yen and 1.3 trillion yen for fiscal years 2026 to 2030.The company will keep its solid financial metrics through controlled financial management, but a rating upgrade will depend on its capital allocation plan, S&P said.

TYO:6701
Asia

Market Chatter: NEC Plans JPY100 Billion Undersea Cable Investment to Lift Global Share

NEC (TYO:6701) plans to invest over 100 billion yen over five years to expand its undersea cable business and raise its global market share from just over 20% to nearly 40%, Nikkei reported Tuesday.The strategy includes upgrades at its subsidiary OCC Corporation, which runs Japan's only submarine cable plant in Kyushu and is currently operating at about half capacity despite expected demand growth from AI infrastructure, according to the report.NEC is also investing in multicore fiber technology to boost data capacity, alongside spending on new cable-laying vessels to reduce reliance on chartered ships and improve execution speed, the report said.The global submarine cable market remains dominated by Alcatel Submarine Networks, SubCom and NEC, though China's HMN Tech is gaining share, according to the report.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

TYO:6701
Asia

NEC's Profit Surges 54% in Fiscal Year Ended March

NEC's (TYO:6701) net profit attributable to owners of the parent jumped 54% to 270.2 billion yen for the fiscal year ended March 31 from 175.2 billion yen a year earlier.The information technology company's earnings per share increased to 202.95 yen from 131.49 yen a year ago, according to a Tokyo bourse filing on Tuesday.Revenue rose 4.7% to 3.583 trillion yen from 3.423 trillion yen in the prior year.In a separate disclosure, NEC raised its final dividend payout to 22 yen per share from 16 yen initially planned, and it is payable from June 1.For the fiscal year ending March 31, 2027, the company expects Non-GAAP net profit attributable to owners of the parent of 285 billion yen, Non-GAAP EPS of 214.88 yen, and revenue of 3.5 trillion yen.NEC plans to pay interim and year-end dividends of 20 yen per share, each, for the year, which is higher than the amount paid in the year-ago period.

TYO:6701
Asia

S&P Sees Strong Earnings for Japan's Major Electronics Producers Amid Diversification Efforts

Japanese diversified electronics makers will see robust earnings in the next few years as they compete with peers abroad through efforts that boost and diversify business segments, S&P Global Ratings said in a recent release.The eight major players in the segments have adjusted their business focus over the past 10 to 15 years, resulting in steadier and more profitable business blends, the rating agency said.These changes involve a shift from traditional electronics products to non-electronics segments such as entertainment, service solutions, IT services, and branded consumer appliances.The nontraditional segments offer steady income from subscriptions, long-term contracts, after-sales services, and customer loyalty, S&P said.A narrower risk of technological innovation in these areas also makes sustaining a competitive advantage easier, according to S&P.The major companies include Sony Group (TYO:6758), Hitachi (TYO:6501), Mitsubishi Electric (TYO:6503), Panasonic Holdings (TYO:6752), NEC (TYO:6701), Fujitsu (TYO:6702), Toshiba (TYO:6588), and Sharp (TYO:6753).Further portfolio review and bolstering will be crucial for the companies' credit quality amid elevated competition abroad and a fast-changing business environment, S&P said.Ensuing growth investments could hit the companies' financial metrics, although controlled financial management should be a mitigating factor, S&P said.The rating agency expects the companies to broadly cover expenditure with operating cash flow, with potential asset sales to ease a marked rise in financial burden.

Nikkei 225TYO:6501TYO:6503TYO:6588TYO:6701TYO:6702TYO:6752TYO:6753TYO:6758
Asia

Japan Approves Additional Funding for Chipmaker Rapidus

Rapidus has secured additional funding from Japan's New Energy and Industrial Technology Development Organization (NEDO) for its fiscal year 2026 plans to accelerate next-generation 2nm logic semiconductor development.The approval covers two projects: front-end process R&D for 2nm integration and short-TAT manufacturing, and back-end development for chiplet, package design, and manufacturing tech, according to a statement on Sunday.The approved funding totalled 631.5 billion yen, according to a Reuters News report, citing Japan's industry ministry.In fiscal year 2025, Rapidus verified Japan's first 2nm GAA transistor on 300mm wafers and prototyped the industry's first organic RDL interposer using a 600mm square panel.With the new budget, Rapidus will now progress toward its target of starting mass production in 2027.Rapidus was established in August 2022 with the support of eight major Japanese companies: Denso(TYO:6902), Kioxia(TYO:285A), MUFG Bank (TYO:8306), NEC(TYO:6701), NTT (TYO:9432), SoftBank(TYO:9984), Sony (TYO:6758), and Toyota (TYO:7203)

TYO:285ATYO:6701TYO:6758TYO:6902TYO:7203TYO:8306TYO:9432TYO:9984
Asia

Market Chatter: SoftBank Introduces AI Company with NEC, Honda, Sony as Investors

SoftBank Group (TYO:9984) has launched a new company focused on developing artificial intelligence in Japan, with investments from NEC (TYO:6701), Honda Motor (TYO:7267), and six other firms, Nikkei Asia reported on Monday.The Japanese government is evaluating potential support for the initiative. The venture aims to create a foundational model for "physical AI" to enable autonomous control of robots and machinery through a collaborative public-private effort, the news daily said.Additional investors include Sony Group (TYO:6758), Mitsubishi UFJ Financial's (TYO:8306) MUFG Bank, Sumitomo Mitsui Banking Corp. (TYO:8316), Mizuho Bank (TYO:8411), Nippon Steel (TYO:5401), Kobe Steel (TYO:5406), and AI developer Preferred Networks will also assist in building the model.Softbank Group did not reply to MTNewswire queries at press time.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

TYO:5401TYO:5406TYO:6701TYO:6758TYO:7267TYO:8306TYO:8316TYO:8411TYO:9984

Track with the FINWIRES app suite

FolioX
FolioX
Track TYO:6701 in your portfolio
WheelAI
WheelAI
Analyze TYO:6701 options with the wheel strategy
StockInsider
StockInsider
See market sentiment on TYO:6701