Reuters 3 min read
Panasonic Corp (6752.T) said first-quarter operating profit surged more than 27 times, handily beating expectations as demand for home appliances and automotive batteries recovered from a particularly weak COVID-hit year.
Profit for April-June rose to 104.4 billion yen ($950 million) from 3.8 billion yen a year earlier, some 50% higher than market expectations and its strongest performance for a first quarter since 2008.
Panasonic, a key supplier of batteries to Tesla Inc (TSLA.O), has moved away from low-margin consumer electronics, and now focuses on electric car batteries, industrial-use components and production machinery.
That said, its home appliances including air conditioners and TVs have sold well this year as people spend more time at home during the pandemic.
It is adding a new production line at the Nevada factory and is looking to build a lithium-ion battery business in Europe that would supply car makers there. The Japanese firm also has a battery partnership with Toyota Motor Corp (7203.T).
Tesla this month posted record vehicle deliveries for the second quarter, weathering a global chip crunch better than rivals, and on Monday it posted market-beating quarterly earnings. read more
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