Makino net profit dwindles 81.6% to $65.7m

Blame it on low sales growth.

Singapore listed Makino Milling Machine Co. started its new financial year on a sad note as it posted a whopping 81.6% decline to $65.7m in net profit for the quarter ending in June.

Its net sales spiraled down 7% YoY to $6.3 billion (¥30.94 billion) while its operating income registered 41.4% dip to $205.8 million (¥1,018 billion)

"The main factors which led to a decrease in income were a decline in net sales due to the
appreciation of the yen and loss incurred through currency exchange rates," the group said in a statement.

The group also noted that the volume of domestic orders received have decreased in reaction to its local government subsidies implemented in the previous year.

Meanwhile, overall overseas orders remained at the same level especially in Asian local currencies. However, due to the negative impact of the appreciation of the yen, orders from United States and Europe posted a significant decline.