Mitsubishi Reports $342M Impairment Charge on Japan’s Offshore Wind
February 6, 2025
Japan's Mitsubishi took a 52.2 billion yen ($342.4 million) impairment charge on its domestic offshore wind projects in the nine-month period ended in December, it said on Thursday.
The trading house said on Monday it is reviewing how to proceed with its offshore wind projects in Japan given a "significantly changed" business environment, showing that the country is not immune to rising costs across offshore wind projects globally.
Mitsubishi-led consortia won all three offshore wind farm projects in Japan's first state-run auctions in 2021.
On Thursday, the company posted a 19% increase in nine-month net profit to December to 827.4 billion yen owing to gains in its liquefied natural gas (LNG) business and asset sales, it said.
Mitsubishi kept its forecast for the full fiscal year ending in March unchanged at 950 billion yen.
($1 = 152.4600 yen)
(Reuters - Reporting by Katya Golubkova, Yuka Obayashi and Satoshi Sugiyama; Editing by Jacqueline Wong and Muralikumar Anantharaman)
