Electricals and consumer goods retailer Best Denki has forecast that it will notch up profits of ¥150m (£1m) in the year that began March 1, up from a net loss of ¥3.01bn (£21m).

Best Denki blamed weak consumer spending and price deflation for last year’s losses. Sales in the year to the end of February fell 10 per cent to ¥371.9bn (£2.59bn).

The mass discount retailer operates 600 stores in Japan, Hong Kong, Indonesia, Malaysia, Singapore and Taiwan.