Fiscal Year 2003
(fiscal year ending March 2004)
First Quarter Financial Results
August 6, 2003
Disclaimer
When reviewing this information please note that the information was created as
of the date of the information, should be considered in the context of the
circumstances prevailing at that time and is only correct as of that date. The
information contains certain forward-looking statements that are subject to known
and unknown risks and uncertainties that could cause actual results to differ
materially from those expressed or implied by such statements. Such risks and
uncertainties include, but are not limited to, the competitive environment, market
trends, general economic conditions, exchange rate fluctuations and our ability to
continue to timely introduce new products and services.
This report is a simple translation of the Japanese version of 1st quarter result
explanatory presentation prepared in Japanese. No reclassification nor
rearrangement has been made.
Numerical values: Any portion of an amount less than the unit stated
st ated is disregarded.
Percentages: Rounded off to one decimal place.
2
FY 2003 1Q Financial Results
First Quarter Financial Results Highlights
Xcomparison with the same period last year
Unit:
in hundreds of
millions of yen
FY2002
1Q Actual
FY2003
% over
net sales
Net sales
2,923
Operating
Income
43
1.5%
142
Ordinary
Income
10
0.4%
before income taxes
7
0.3%
Net income
-10
Net income
EPS
Exchange
rates
3
-7.07
-
1Q Actual
-
3,151
% over
net sales
-
Amount % change
+227
+7.8%
4.5%
+98
+227.8%
128
4.1%
+117
+1084.2%
122
3.9%
+115
+1516.8%
59
1.9%
+70
-
38.62 yen 38.57 yen
USD 127.04 yen
118.50 yen
EUR
134.66 yen
116.57 yen
Increase/decrease
Amount after adjustment
of potential stocks
FY 2003 1Q Financial Results
First Quarter Financial Results Highlights
Xcomparison with the previous outlook
Unit:
in hundreds of
millions of yen
FY2003
1Q Outlook
FY2003
% over
net sales
Operating
Income
57
1.7%
142
4.5%
+85 +149.3%
Ordinary
Income
49
1.5%
128
4.1%
+78 +158.5%
Net income
before income taxes
43
1.3%
122
3.9%
+79 +180.8%
Net income
23
0.7%
59
1.9%
+36 +158.6%
Exchange
rates
4
-
Amount % change
3,350
11.99 yen
3,151
% over
net sales
Net sales
EPS
-
1Q Actual
Increase/decrease
-198
-5.9%
38.62 yen 38.57 yen
USD
120 yen
118.50 yen
EUR
118 yen
134.66 yen
Amount after adjustment
of potential stocks
FY 2003 1Q Financial Results
Business Results Forecast for FY 2003
Xcomparison with the previous period
Unit:
in hundreds of
millions of yen
FY2002
Actual
FY2003
% over
net sales
Net sales
13,224
Operating
Income
493
3.7%
Ordinary
Income
417
Net income
before income taxes
Net income
EPS
Exchange
rates
5
Current
Outlook
% over
net sales
Amount % change
－
+875
6.6%
630
4.5%
+136
27.6%
3.2%
550
3.9%
+133
32.1%
316
2.4%
432
3.1%
+116
36.9%
125
0.9%
234
1.7%
+108
87.1%
80.01 yen
－
14,100
Increase/decrease
119.17 yen
USD 121.95 yen
116 yen
EUR
130 yen
121.04 yen
FY 2003 1Q Financial Results
Business Results Forecast for FY 2003
Xcomparison with the previous outlook
Unit:
in hundreds of
millions of yen
FY2003
Previous
outlook
FY2003
% over
net sales
Current
Outlook
% over
net sales
Amount % change
Net sales
14,693
Operating
Income
630
4.3%
630
4.5%
0
－
Ordinary
Income
550
3.7%
550
3.9%
0
－
Net income
before income taxes
432
2.9%
432
3.1%
0
－
Net income
234
1.6%
234
1.7%
0
－
EPS
Exchange
rates
6
－
14,100
Increase/decrease
121.96 yen
119.17 yen
USD
120 yen
116 yen
EUR
118 yen
130 yen
－
-593
-4.0%
FY 2003 1Q Financial Results
Summary of Business Results Forecast
Summary
•
•
Compared to the previous fiscal year: Increase in sales. Significant increase in income.
Compared to the previous outlook :
9 Sales – 4.0% decrease due to a decline in sales prices in the information-related
equipment segment
9 Income - remains unchanged for full-year outlook, w ith positive factors such as
further promotion of cost reduction and reviews of exchange rates, and negative
factors such as the uncertainty of market environment and lower price competition.
( Income w ill increase for half-year outlook)
Information
Information-related equipment
Information-related
• Net sales w ill increase compared to the previo us fiscal year as a result of factors such as
increased sales of multi-function printers and projectors for the home market. However,
due to the fact that lower price competition is progressing faster than expected, yearly
sales w ill fall short compared to the previous outlook.
Electronic devices
•
7
Increased demand is expected because of the continuing spread of mobile pho nes w ith
color displays outside Japan. Increased unit sales w ill absorb intense price competitio n.
Net sales w ill increase compared to the previo us fiscal year slightly surpassing the
previo us outlook.
FY 2003 1Q Financial Results
1
FY 2003 First Quarter Financial Results
Results業績予想
Forecast for FY 2003
2 Business
2
2003年度
8
FY 2003 1Q Financial Results
Quarterly Sales StatisticsXBy Business Segment
Increase/decrease
compared to 1Q 2002
(In hundreds of
millio ns of yen)
2,923
3,095
3,095
3,797
3,797
3,407
3,151
4,500
4,000
3,500
3,000
2,500
59
199
732
53
213
61
206
967
89
177
945
896
-19 (-9.8%)
976
Electronic
devices
2,046
2,077
2,706
2,328
2,051
500
-500
9
Precisio n
products
+243 (+33.2%)
1,500
0
+6 (+11.4%)
66
180
2,000
1,000
Other
Information-related
equipment
+5 (+0.3%)
-114
2002/1Q
-143
2002/2Q
-145
-133
2002/3Q 2002/4Q
-122
2003/1Q
Eliminatio ns
FY 2003 1Q Financial Results
Quarterly Sales Statistics X
Information-related equipment
(In hundreds of
millio ns of yen)
2,046
2,046
2,077
2,077
2,706
2,328
2,328
2,051
Increase/decrease
compared to 1Q 2002
3,000
267
266
2,500
2,000
1,500
1,000
268
209
273
226
System devices,
PCs and Others
315
234
268
171
Visual instruments
2,211
1,601
1,611
1,820
-37 (-18.0%)
1,644
500
0
-500
10
±0 (±0%)
Imaging and Info
products
+43 (+2.7%)
-32
-34
-39
-42
-33
Eliminations
2002/1Q
2002/2Q
2002/3Q 2002/4Q
2003/1Q
FY 2003 1Q Financial Results
Quarterly Sales Statistics X
Electronic devices
(In hundreds of
millio ns of yen)
732
732
896
967
945
945
976
976
Increase/decrease
compared to 1Q 2002
1,200
92
1,000
800
600
92
85
311
0
-200
11
319
337
Quartz Devices
+4 (+4.9%)
Semiconductors
270
+67 (+24.8%)
400
200
351
90
90
444
-67
563
625
621
665
Displays
+220 (+49.7%)
-71
-101
-84
-116
Eliminations
2002/1Q
2002/2Q
2002/3Q 2002/4Q
2003/1Q
FY 2003 1Q Financial Results
Quarterly Statistics of
Selling, General and Administrative Expenses
(In hundreds of
millio ns of yen)
718
900
721
851
851
841
841
24.7%
24.6%
（Compared to sales）
24.2%
800
700
23.3%
600
500
427
761
761
411
472
433
98
101
91
96
62
63
200
44
53
56
62
100
192
191
188
187
201
2002/1Q
2002/2Q
2001/3Q
2002/4Q
2003/1Q
0
12
+5 (+1.4%)
+18 (+40.5%)
Sales promotion
expenses
400
300
Other
Advertising
expenses
456
22.4%
Increase/decrease
compared to 1Q 2002
+10 (+19.9%)
Salaries and
wages
+8 (+4.4%)
FY 2003 1Q Financial Results
Quarterly Statistics of Operating Income
X By Business Segment
(In hundreds of
millio ns of yen)
Increase/decrease
compared to 1Q 2002
43
43
79
152
-300
13
Information-related
equipment
Electronic
devices
155
124
+150 (-)
-0
-1 1
7 -1 1
6
1
-6 -8
-100
-200
142
142
-30 (-16.2%)
200 185
0
41
41
341
300
100
329
329
-79
0
-5
-26
-51
7 1
0
-23
2002/2Q
+2 (-)
Other
-23 (-)
-142
2002/1Q
Precision
products
2002/3Q
2002/4Q
2003/1Q
Eliminatio ns and
Corporate
FY 2003 1Q Financial Results
Operating Income Fluctuation Cause Analysis
Change in
sales volume
(In hundreds of
millio ns of yen)
+136
Cost fluctuations
+117
142
-41
Impact of
exchange rate
fluctuations
Increase in
selling,
general and
administrating
expenses
+52
-19
Other
-147
43
Price fluctuations
Increase by 98 hundred million
0
14
Operating
Income
Operating
Income
2002/1Q
2003/1Q
FY 2003 1Q Financial Results
Statistics of Balance Sheet Items
(In hundreds of
millions of yen)
14,000
12,000
10,000
8,000
6,000
4,000
2,000
0
(In hundreds of
millions of yen)
2,500
2,000
1,500
1,000
500
0
15
Total Assets
9,371
12,743
12,416
11,976
12,921
End of March
2000
End of March
2001
End of March
2002
End of March
2003
End of June
2003
Inventories
1,523
2,116
1,730
1,674
1,828
End of March
2000
End of March
2001
End of March
2002
End of March
2003
End of June
2003
FY 2003 1Q Financial Results
Statistics of Balance Sheet Items
(In hundreds of
millions of yen)
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0
(In hundreds of
millions of yen)
5,000
4,000
3,000
2,000
1,000
0
16
（%）
Interest-bearing liabilities , Ratio of interest-bearing liabilities
48.6
51.0
46.7
39.3
38.7
3,681
4,929
6,033
6,109
6,032
End of March
2000
End of March
2001
End of March
2002
End of March
2003
End of June
2003
Shareholders’ equity , Debt/Equity ratio
25.4
（%）
29.9
22.8
60
50
40
30
20
10
0
22.6
23.5
2,381
2,907
2,803
2,813
3,869
End of March
2000
End of March
2001
End of March
2002
End of March
2003
End of June
2003
35
30
25
20
15
10
5
0
FY 2003 1Q Financial Results
17
1
FY 2003 First Quarter Financial Results
2
Business Results Forecast for FY 2003
FY 2003 1Q Financial Results
Sales Forecast for FY 2003 XBy Business Segment
(In hundreds of
millions of yen)
16,000
14,000
13,224
13,224
263
797
12,000
10,000
14,693
14,693
289
824
4,081
3,542
14,100
1.8%
5.5%
28.0%
260
800
4,100
on previous FY
on previous outlook
Precision
products
on previous FY
+557
on previous outlook +18
on previous FY
9,158
10,042
64.8%
9,490
Information-related
equipment
2,000
on previous FY
0
18
+2
-24
Electronic
devices
6,000
-2,000
-3
-29
on previous outlook
8,000
4,000
Other
on previous outlook
-537
-545
-550
FY2002
Actual
FY2003
FY2003
Previous outlook
Current outlook
+331
-552
Eliminations
Note : Ratios are calculate d by the amount
before the inte r-segment eliminations
FY 2003 1Q Financial Results
Sales Forecast by Segment X
Information-related equipment
(In hundreds of
millions of yen)
11,000
9,158
9,158
10,000
9,000
8,000
7,000
10,042
10,042
1,140
1,125
1,040
937
9,490
9,490
1,120
990
on previous outlook
+52
on previous outlook -50
7,244
8,000
7,520
Imaging and Info
products
2,000
on previous FY
1,000
on previous outlook
0
-1,000
19
-5
-20
on previous FY
5,000
3,000
on previous FY
Visual instruments
6,000
4,000
System devices,
PCs and Others
-148
-137
-140
FY2002
FY2003
FY2003
Previous outlook
Current outlook
Actual
+275
-480
Eliminations
FY 2003 1Q Financial Results
Sales Forecast by Segment X
(In hundreds of
millions of yen)
3,542
3,542
4,500
4,000
3,500
3,000
361
Electronic devices
4,081
4,081
4,100
4,100
380
380
1,400
1,410
1,252
Quartz Devices
+18
on previous outlook ±0
on previous FY
Semiconductors
+157
on previous outlook　+9
on previous FY
2,500
2,000
1,500
1,000
2,254
2,703
2,720
+465
on previous outlook +16
on previous FY
500
0
-500
20
Displays
-325
-402
-410
FY2002
FY2003
FY2003
Actual
Previous outlook
Current outlook
Eliminations
FY 2003 1Q Financial Results
Operating Income Forecast for FY 2003 XBy Business Segment
Information-related
equipment
(In hundreds of
millions of yen)
493
493
1,000
800
630
630
630
630
-224
on previous outlook -53
on previous FY
804
633
Electronic
devices
580
600
+440
on previous outlook +41
on previous FY
400
200
-37
-200
21
+13
on previous outlook　+6
on previous FY
20
13
0
-400
160
118
6
Precision
products
Other
-135
-130
-280
Y2002
Actual
FY2003
Previous outlook
-92
on previous outlook　+5
on previous FY
FY2003
Current outlook
FY 2003 1Q Financial Results
Capital Expenditures ,
Depreciation and Amortization Expenses Forecast for FY 2003
(In hundreds of
millions of yen)
2,500
2,000
1,500
1,000
500
0
(In hundreds of
millions of yen)
1,400
1,200
1,000
800
600
400
200
0
22
Capital expenditures
Note: Capital expenditures includes tangible fixed assets,
software and land lease rights.
1,153
2,316
1,628
744
877
End of March
2000
End of March
2001
End of March
2002
End of March
2003
End of March
2004 Forecast
Depreciation and Amortization Expenses
712
951
1,291
1,258
1,190
End of March
2000
End of March
2001
End of March
2002
End of March
2003
End of March
2004 Forecast
FY 2003 1Q Financial Results
Free Cash Flows Forecast for FY 2003
(In hundreds of
millions of yen)
2,000
1,500
1,512
1,000
500
0
-500
-1,000
801
1,595
515
995
1,602
635
-321
-1,123
-708
-1,704
-1,500
-1,079
-967
FY2002
FY2003
Forecast
-1,270
-2,000
-2,500
-3,000
23
Cash flows from investing act ivities
Cash flows from operat ing act ivities
-2,783
Free c ash flows
FY1999
FY2000
FY2001
FY 2003 1Q Financial Results
Statistics of Main Management Indices
ROA: Ordinary inc ome / T ot al asset s (average balance)
20.0
ROS: Ordinary inc ome / Net sales
ROE: Net income / Shareholders’ equit y (average balanc e)
15.0
13.0
10.0
14.0
9.9
6.8
8.3
5.0
7.5
4.5
6.9
4.6
3.4
1.5
0.0
1.5
-5.0
-6.5
-10.0
24
FY1999
FY2000
FY2001
3.2
FY2002
3.9
FY2003
FY 2003 1Q Financial Results