Casio Shares Tumble 16 Percent

Shares of Casio Computer Co. fell the most in 32 years after the company missed its profit target and unveiled plans to expand in the crowded mobile-phone market. The stock tumbled by the 400-yen daily limit, or 16 percent, to 2,025 yen in Tokyo, erasing $931 million from its market value. Brokerages including HSBC Holdings Plc downgraded the stock after the company reported annual profit of 25.1 billion yen ($209 million), missing its own estimate by 9 percent.

The mobile-phone business was Casio’s second-biggest sales contributor last year, behind electronics such as digital cameras. Revenue from handsets gained 23 percent to 171.3 billion yen in the 12 months ended March 31, compared with a 7.3 percent increase for consumer electronics to 229.4 billion yen.

Casio already makes mobile phones using the CDMA2000 standard for the Japanese, Korean and U.S. markets, and is considering a “broad range of possibilities” to expand the overseas handset business, spokeswoman Mai Kimura said. She declined to provide more details. Full article Here.