DENSO Corporation today announced global financial results for its first quarter that ended on June 30, 2013:
- Consolidated net sales totaled 997.6billion yen (US$10.1 billion), a 13.1 percent increase from the previous year.
- Consolidated operating income totaled 102.1 billion yen (US$1.0 billion), a 30.7 percent increase from the previous year.
- Consolidated net income totaled 86.0 billion yen (US$872.7 million), a 75.2 percent increase from the previous year.
“Despite a decrease in vehicle production in Japan, sales and operating income increased due to steady vehicle production in North America and the emerging markets,” said Kenichiro Ito, executive director of DENSO Corporation. “The weak yen also had an effect to the increase in sales and operating income.”
In Japan, along with the decrease in vehicle production, the increase of export sales and the effect of the weak yen led to an increase in sales to 653.6 billion yen (US$6.6 billion), a 5.3 percent increase from the previous year. Despite a decrease in production volume, currency exchange gain and cost reduction efforts led to an operating income of 75.3 billion yen (US$763.5 million), a 36.6 percent increase from the previous year.
In North America, an increase in vehicle production and the effect of the weak yen led to an increase in sales to 207.3 billion yen (US$2.1 billion), a 29.9 percent increase from the previous year. As a result of the increase in production volume, the operating income totaled 6.3 billion yen (US$63.4 million), a 19.6 percent increase from the previous year.
In Europe, the gradual recovery from the economic slump and the effect of the weak yen led to an increase in sales to 117.9 billion yen (US$1.2 billion), a 26.1 percent increase from the previous year. Despite increase in production volume, due to the increase in labor cost and other expenses, operating income totaled 1.7 billion yen (US$17.5 million), a 4.7 percent decrease from the previous year.
In Asia and Oceania, the increase of vehicle production and the effect of the weak yen resulted in a sales increase to 231.5 billion yen (US$2.3 billion), a 32.1 percent increase from the previous year. The increase in production volume led to an operating income of 21.4 billion yen (US$216.6 million), a 25.6 percent increase from the previous year.
In other areas, mainly in reference to the South American region, sales totaled 21.2 billion yen (US$214.6 million), a 51.3 percent increase from the previous year. The operating income totaled 1.0 billion yen (US$9.7 million), a 1.8 percent decrease from the previous year.
“Considering the positive financial results in the first-quarter, we have decided to upwardly revise the original forecasts for the first-half and full-year financial results, ” said Ito. (Foreign exchange rates used for the full-year financial result forecast are: US$= 94yen Euro=124 yen)
Forecast for First-Half Fiscal Year Ending September 30, 2013
| Half-Year Forecast (Original) |
Half-Year Forecast (Revised) |
Changes from Previous First-half |
|
|---|---|---|---|
| Net Sales | 1,883.0 billion yen [US$19.1 billion] |
1,973.0 billion yen [US$20.0 billion] |
+239.9billion yen (+13.8 percent) |
| Operating income | 128.0 billion yen [US$1.3 billion] |
178.0 billion yen [US$1.8 billion] |
+41.7 billion yen (+30.6 percent) |
| Income before income taxes and minority interests |
137.0 billion yen [US$1.4 billion] |
195.0 billion yen [US$2.0 billion] |
+57.6 billion yen (+42.0 percent) |
| Net income | 87.0 billion yen [US$882.4 million] |
137.0 billion yen [US$1.4 billion] |
+58.9 billion yen (+75.5 percent) |
Forecast for Fiscal Year Ending March 31, 2014
| FY Forecast (Original) |
FY Forecast (Revised) |
Changes from Previous FY |
|
|---|---|---|---|
| Net Sales | 3,800.0 billion yen [US$38.5 billion] |
3,890.0 billion yen [US$39.5 billion] |
+309.1 billion yen (+8.6percent) |
| Operating income | 285.0 billion yen [US$2.9 billion] |
335.0 billion yen [US$3.4 billion] |
+72.6 billion yen (+27.7 percent) |
| Income before income taxes and minority interests |
303.0 billion yen [US$3.1 billion] |
361.0 billion yen [US$3.7 billion] |
+79.1 billion yen (+28.1percent) |
| Net income | 194.0 billion yen [US$2.0 billion] |
244.0 billion yen [US$2.5 billion] |
+62.3 billion yen (+34.3 percent) |
