Alpine 2008 Annual Report Download - page 15

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offset shifts in new car demand toward smaller models, leading to a decline in sales.
As a result, sales of this segment decreased 4.9% compared with the previous fiscal year.
Overall, for consolidated performance during the fiscal year under review, net sales decreased
4.9% to ¥252,072 million (US$2,515.9 million), operating income fell 30.6% to ¥7,012 million
(US$70.0 million), and net income decreased 38.0% to ¥3,554 million (US$35.5 million). Net
income per share was ¥50.95 (US$0.51).
The number of consolidated subsidiaries changed to 27 companies, with 8 companies in
Japan and 19 overseas. The number of companies accounted for by the equity method at the
end of the fiscal year remained 1.
Investment
Capital expenditures increased 8.3% to ¥13,673 million (US$136.5 million). By segment,
investment in the Audio Products business totaled ¥8,068 million (US$80.5 million), and that in
the Information and Communication Equipment business amounted to ¥5,452 million (US$54.4
million).
R&D expenses decreased 3.3% to ¥29,337 million (US$292.8 million). R&D expenses
amounted to 11.6% of net sales, up 0.2 percentage points.
Cash Flows
For the fiscal year under review, cash and cash equivalents at the end of the period totaled
¥30,159 million (US$301.0 million), a decrease of ¥7,348 million (US$73.3 million), or 19.6%,
compared with the previous fiscal year-end.
Cash flows from operating activities
Net cash provided by operating activities amounted to ¥9,963 million (US$99.4 million), a
decrease of 39.2%. This was mainly the result of inflows provided by net income before taxes
and other adjustments of ¥6,345 million (US$63.3 million), depreciation and amortization of
¥10,655 million (US$106.3 million) and decrease in notes and accounts receivable of ¥5,779
million (US$57.7 million), decrease in notes and accounts payable of ¥1,624 million (US$16.2
million), and income taxes paid of ¥5,275 million (US$52.6 million) from the payment of income
and other taxes.
Cash flows from investing activities
Net cash used in investing activities was ¥14,101 million (US$140.7 million), up 18.6%
compared with the previous fiscal year. Principal components were payments for the
acquisition of tangible and intangible fixed assets of ¥11,029 million (US$110.1 million) and
¥2,945 million (US$29.4 million), respectively.
Cash flows from financing activities
Net cash used in financing activities totaled ¥2,290 million (US$22.9 million), up 48.6%. The
principal component was cash dividends paid of ¥1,744 million (US$17.4 million).
Financial Position
Total assets at the end of the year decreased 7.4% to ¥167,785 million (US$1,674.7 million),
primarily due to a decrease in cash and cash equivalents, notes and accounts receivable, and
investment in securities. As a result of the decrease in unrealized holding gains on securities
and foreign currency translation adjustment, total net assets shrank 3.8% to ¥116,265 million
(US$1,160.4 million). The equity ratio rose 2.7 percentage points to 68.5%.
Return on equity was 3.0%, a decrease of 1.9 of a percentage point. Return on assets was
2.0%, a decrease of 1.2 of a percentage point.

(Millions of yen)
2004
3,032
2005
10,491
2006
12,472
3,021
2007
12,887
3,229
2008
16,399
4,512


Cash Flows from Operating Activity
Free Cash Flow

(%)
2004
3.8
2005
9.4
2006
9.4
4.9
2007
6.2
5.3
2008
5.0
3.3 

Return on Equity
Ruturn on Assets

(¥)
2004
17.5
2005 2006
20.0 20.0
2007 2008
25.0