EPSON EYES SMALLER NET LOSS OF $59M.

[Anonymous]

Seiko Epson eyes smaller net loss on fewer taxes
TOKYO, MAI 07- Japanese electronics maker Seiko Epson Corp.  said on Monday it expects a 60 percent smaller net loss on lower-than-expected tax costs.The company revised up its outlook for the year ended March 31 to a net loss of 7 billion yen ($59 million), instead of a previously announced loss of 18 billion yen, due to lower taxes at subsidiaries and a boost in tax credits on its struggling display business.

The market consensus is for a loss of 18.0 billion yen, according to 12 analysts, who revised their outlook in line with Seiko Epson’s previous outlook change last month.Seiko Epson, the world’s second-largest ink jet printer maker after Hewlett-Packard Co. , also nudged up its operating profit outlook by 0.6 percent to 50.3 billion yen, up from 50 billion yen. It revised its recurring profit forecast by 2.1 percent to 49 billion yenSThe company said in March it expects to post its second straight year of losses after writing down a 40.6 billion yen fall in the value of its display business.Seiko Epson’s display unit was 45 percent owned by consumer electronics maker Sanyo Electric Co. , before Seiko bought out Sanyo’s stake earlier this year.Ahead of the announcement, Seiko Epson shares closed up 0.3 percent at 3,570 yen, compared with the benchmark Nikkei average , which gained 0.02 percent. 

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May 3, 2007 at 11:35 AM