Tokyo - DENSO Corporation today announced global financial results for the fiscal year ended March 31, 2003.
Consolidated net sales totalled 2,332.8 billion yen (US$19.4 billion), a 2.8 percent decrease from the previous year due to the previous year’s irregular 15-month reporting in overseas subsidiaries (6.9 percent increase from the previous year excluding the irregular 15-month reporting).
Operating income totalled 159.9 billion yen (US$1.3 billion), a 19.9 percent increase from the previous year. (23.1 percent increase from the previous year excluding the irregular 15-month reporting).
Consolidated net income totalled 111.0 billion yen (US$925.2 million), a 53.5 percent increase from the previous year due to extraordinary income mainly by liquidation of the entrusted Government’s portion of the benefits provided by Social Welfare Pension Funds. (56.8 percent increase from the previous year excluding the irregular 15-month reporting).
“In Japan, sales totalled 1,730.7 billion yen (US$14.4 billion), a 5.3 percent increase from the previous year, and operating income totalled 123.2 billion yen (US$1.0 billion), an 8.6 percent increase from the previous year, which was led by sales expansion and the increase of exports†said Masatoshi Ano, chief financial officer, DENSO Corporation.
In North, Central and South America combined sales for those regions totalled 540.6 billion yen (US$4.5 billion), a 16 percent decrease from the previous year (5.6 percent increase from the previous year excluding the irregular 15-month reporting due to steady trading volume). An increase in production volume, cost reduction activities and the exit of the handset business boosted operating income that totalled 28.2 billion yen (US$234.8 million), an increase of 54.3 percent (76.2 percent increase from the previous year excluding the irregular 15-month reporting).
In Europe, sales totalled 274.0 billion yen (US$2.3billion), an 11.4 percent decrease (13.1 percent increase from the previous year excluding the irregular 15-month reporting from the previous year due to the depreciated yen to euro exchange rate.) Decreased production volume and changed product mix resulted in 4.0 billion yen (US$ 33.0 million) operating loss.
In Asia and Oceania, sales totalled 185.9 billion yen (US$1.5 billion), a 9.7 percent increase from the previous year (28.4 percent increase from the previous year excluding the irregular 15-month reporting), and operating income totalled 12.4 billion yen (US$103.0 million), a 62.7 percent increase from the previous year (108.4 percent increase from the previous year excluding the irregular 15-month reporting). In addition to cost reduction activities, increased sales in Thailand, Malaysia, and Taiwan drastically increased sales and operating income in the region.
“Income before income taxes and minority interests for the year ended March 31, 2003 totalled 233.5 billion yen (US$1.9 billion), a 68.0 percent increase from the previous year [72.5 percent increase from the previous year excluding the irregular 15-month reporting] due in large part to 67.2 billion yen (US$559.9 million) extraordinary income profit from the liquidation of entrusted welfare pension benefits by the government and a loss from the one-time amortization of goodwill at one of our subsidiaries in Italy†said Ano.
Forecast for Fiscal Year Ended March 31, 2004 is outlined below:
DENSO CORPORATION, headquartered in Kariya, Aichi prefecture, Japan is a leading global supplier of advanced technology, systems and components. Worldwide, the company employs 90,000 people in 31 countries and regions, including Japan. DENSO common stock is traded on the Tokyo, Osaka and Nagoya stock exchanges.
Notes
U.S. dollar amounts have been translated, for convenience only, at the rate of 120 yen = US$1, the approximate exchange rate prevailing on March 31, 2003. Billion is used in the American sense of one thousand million.
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