Konica Minolta 2001 Annual Report Download - page 21

Konica Corporation/ Annual Report 200 1
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Cash Flows
Net cash provided by operating activities in the year under
review totaled ¥5 0 .9 billion. This resulted in part from an
increase in notes and ac c ounts payable ( a net dec line of
¥ 2 1 .5 billion) , which offset a dec rease in notes and
accounts receivable ( a net increase of ¥ 1 0 .9 billion) .
Net cash used in investing ac tivities totaled ¥ 8 .1 billion.
This resulted from payment for acquisition of fixed assets,
which was balanced by inc reases in proceeds from the sale
of fixed assets, marketable sec urities and investment
securities.
Net cash used in financing activities totaled ¥42 .6 billion,
reflecting redemption of preferred stock of affiliates that
were dissolved. Substantial progress was made, however,
toward repaying long-term debt. As for cash and cash
equivalents, though liabilities such as loans decreased, as a
result of ¥1 8 .9 billion from the sale of fixed assets and
investment securities, an increase of ¥ 1 .6 billion was
recorded. Consequently, c ash and cash equivalents at the
fiscal year-end rose to ¥5 6 .6 billion.
Outlook
Deflation of the Japanese economy and the slowdown of the
world economy present extremely unfavorable economic
conditions. In addition, due to the rapid progress of
digitization— the IT revolution– global competition ac ross
industries has become increasingly severe, and our
operating environment is changing rapidly.
Faced with this difficult environment and in line with SAN
Plan 2 0 0 4 formulated in January 2 0 0 1 , our entire group will
implement sharply focused management measures aimed at
achieving a profit of ¥ 2 7 .0 billion and ROE of 1 2 % by the
fiscal year ending in March 2 0 0 5 .
We have implemented a new internal company system to
respond to the changing management environment with
rapid decision-making and fast action.
To strengthen our corporate structure, in June 2 0 0 0 we
introduced an exec utive officer system to define as clearly as
possible the functions of decision-making and supervision,
as well as the task assignment of business exec utive
functions. The system aims eventually will reinforce our
operational capabilities.
At the time we introduc ed our exec utive offic er system,
we also streamlined the board of directors, reduc ing its
membership from 1 7 to 1 1 to allow appropriate discussion
while facilitating swift, sound decision-making. SAN Plan
2 0 0 4 lays the groundwork to c reate the premier imaging
solution c ompany.