Japanese motor maker Nidec Corp. reported a steep decline in profits for the six months to September, with consolidated operating profit falling 82.5% to 21.1 billion yen and net profit down 58.6% to 31.2 billion yen.
The sharp drop was driven by heavy losses in its automotive products business, including 36.4 billion yen in provisions for electric vehicle motor control contracts and 31.6 billion yen in impairment losses on nonfinancial assets.
Despite the setbacks, Nidec posted record sales of 1,302.3 billion yen, led by strong demand for motors used in hard disk drives and other devices.
The company is also under investigation by a third-party panel over irregularities, including trade issues at its Italian subsidiary and accounting problems at a Chinese unit.
