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Business trends

Corporate Japan's earnings poised to slip for second year

Manufacturing profits sink on trade war and auto slowdown

The electrical machinery sector is headed for the biggest decline in net profit, with Funuc forecasting a 62% drop for the current fiscal year.

TOKYO -- Manufacturers are driving aggregate earnings at Japan's listed companies toward a second consecutive annual decline, an analysis by Nikkei has found, risking the first back-to-back drop since the global financial crisis.

Combined profit at 972 listed businesses will slide 4% on a net basis during the year ending March 2020, based on projections from earnings reports released through Thursday. The forecasts trace a downturn of roughly 10% from the all-time high posted in fiscal 2017.

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