Casio 2005 Annual Report Download - page 19

17
ANNUAL REPORT 2005
Sales in the Electronic Components and Others Segment declined 5.7% to ¥111,163 mil-
lion, accounting for 19.9% of net sales. Specifically, sales in the Electronic Components
Category fell 10.0%, to ¥78,230 million. The TFT business expanded, maintaining its top
global share of TFTs for digital cameras. However, the category was affected by worldwide
inventory adjustments for IT-related products from the beginning of fall. Sales in the Others
Category increased 6.2% to ¥32,933 million.
Results by Region
Sales in Japan grew 12.4% to ¥336,363 million, comprising 60.2% of net sales. The increase
in sales is attributable to strong sales of our strategic products – digital cameras, electronic
dictionaries and cellular phones. Sales in North America declined 8.8% to ¥46,698 million,
which accounted for 8.3% of net sales. Sales in Europe rose 9.8% to ¥74,796 million,
accounting for 13.4% of net sales. Sales in Asia and other regions, excluding Japan, declined
3.6% to ¥101,149 million, accounting for 18.1% of net sales. Consequently, overseas sales
declined 0.7% to ¥222,643 million.
RESULTS OF OPERATIONS
For fiscal 2005, operating income after consideration of elimination or unallocated amounts
came to ¥39,040 million, up 42.0% year-on-year. The Electronics Segment posted an operat-
ing income of ¥36,152 million, up 43.3%, and the Electronic Components and Others
Segment posted an operating income of ¥8,661 million, up 22.6%. This rise in operating
income is the result of Casio’s strategy of enhancing value-added by strengthening product
appeal, as well as Company-wide efforts to improve management efficiency and bolster the
Group’s financial base through business reform. The operating income margin rose 1.7 per-
centage points to 7.0%.
Net financial expenses decreased from ¥1,562 million to ¥447 million, due primarily to
repayment of interest-bearing debt. Other expenses came to ¥5,500 million, compared with
¥3,393 million for the previous term. This is due mainly to the non-repetition of the ¥2,753
million gain on the release from the substitutional portion of the government’s Welfare
Pension Insurance Scheme reported in the previous year.
Income before income taxes and minority interests grew 46.8% to ¥33,093 million. Net
income for the period once again renewed the highest record at ¥21,534 million, up 51.9%
from fiscal 2004.
Net income per share came to ¥80.27, up ¥28.28 from fiscal 2004.
FINANCIAL CONDITION
Total assets decreased 0.1% to ¥495,743 million at the term-end. Inventories remained at
the previous-term level, while inventory turnover decreased by 0.1 of a month to 1.9 months.
Shareholders’ Equity Ratio
0
10
20
30
40
0504030201
(%)
Total Assets and
Shareholders’ Equity
0
100
200
300
400
500
0504030201
(Billions of yen)
Total assets
Shareholders’ equity
Capital Investment
0
5
10
15
20
25
30
35
0504030201
(Billions of yen)