AI demand and weak yen boosted Japanese profits in fiscal 2024

70% of listed companies reporting early saw earnings rise

20250501N Chips

Strong demand for AI chips and a weak yen lifted corporate profits in Japan over the past fiscal year. © Reuters

RISA SATO

TOKYO -- Nearly three-fourths of listed Japanese companies are reporting strong earnings for the fiscal year ended March 2025, buoyed by a weak yen and strong demand for the tools used to make artificial intelligence semiconductors.

Among the 167 companies that announced their financial results on May 1, 70% reported increased net profit. Looking ahead to the next fiscal year, however, a stronger yen and tariffs in the U.S. will present a challenge for companies to maintain these profit levels.

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