* Sees 400 bln yen profit in FY2017/18
* Posts 29 bln yen annual loss in previous fiscal year
* Banking unit forecasts 350 billion yen profit in FY17/18
* Insurance unit profit up 4 pct in FY16/17 (Adds earnings results and for banking, insurance unit)
By Thomas Wilson
TOKYO, May 15 (Reuters) - Japan Post Holdings Co 6178.T said on Monday it expects to post a profit this fiscal year, emboldening its plan to continue growing through acquisitions despite last year's loss from a massive writedown on its Australian logistics unit.
Japan Post, 80 percent state-owned, forecast a profit of 400 billion yen ($3.5 billion) in the year to March 2018, above an average forecast for a 373 billion yen profit from eight analysts surveyed by Thomson Reuters.
In the previous fiscal year, Japan Post said it lost 29 billion yen after a 400 billion yen impairment charge at Toll Holdings. That was lower than an initial estimate of a 40 billion yen loss announced last month. Post is considering buying Nomura Real Estate Holdings 3231.T in a bid to make real estate operations its new earnings pillar, a source familiar with the matter told Reuters on Saturday. response to the media reports, Japan Post said: "We are exploring various possibilities regarding new capital and business alliances and will make an announcement promptly once matters that should be made public are finalised."
The timing of the acquisition, if that path were chosen, could raise eyebrows because Japanese companies have stunned investors recently with losses on M&A deals that have turned sour, raising questions about the quality of their due diligence.
But facing a lack of domestic growth prospects and heavily exposed through a 74 percent stake to the performance of its banking firm, Japan Post has said it was committed to growth through acquisitions and its search for targets would continue.
Japan Post's main banking arm Japan Post Bank Co 7182.T forecast profit at 350 billion yen in the year to March 2018, beating analysts' estimates of 321 billion yen.
In the previous fiscal year, the bank's profit fell 4 percent to 312 billion yen as interest on Japanese government bonds fell. The result was above an average estimate of 302 billion yen from 13 analysts polled by Thomson Reuters.
Unlike commercial lenders that make money from loans, Japan Post Bank is Japan's biggest deposit taker and relies in part on returns from its holdings of Japanese government bonds.
The third listed unit, Japan Post Insurance Co 7181.T said annual profit rose 4 percent to 88.5 billion yen in FY2016/17 as premiums from new insurance contracts grew. That exceeded analysts' estimates for 86.4 billion yen profit. ($1 = 113.6800 yen)