No Slowdown Seen in Japan Earnings

As Japan’s earnings season swings into full gear, the strong performance by major companies is expected to continue into the next year despite a struggling economy and conservative outlooks from corporations.

The annual earnings announcements will pick up pace from Tuesday, with results from 173 companies, including Nomura and Daiwa, Japan’s two leading brokerages, as well as Honda Motor.

Analysts say Japan Inc will continue to post solid profit growth this and the next year, buoyed by cheaper oil prices, recovery in domestic demand and the sharply weakened yen.