Konica Minolta 2007 Annual Report Download - page 15

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13
As a result, consolidated sales for the fiscal year ended March 2007 were ¥1,027.6 billion, while sales in our two
main business lines of Business Technologies and Optics were ¥658.7 billion and ¥139.0 billion respectively. As the
Photo Imaging business is in the process of being wound down, related sales recorded a decline of 3.8% year-on-year,
while sales in all other business areas recorded year-on-year growth.
In terms of earnings, operating income increased ¥20.6 billion year-on-year to ¥104.0 billion, and net income was
¥72.5 billion, both of which represented historical highs. By major segment, Business Technologies operating income
was ¥80.0 billion, while Optics operating income was ¥21.0 billion.
Both of these sales and operating income results were significantly higher than the numerical targets established in
FORWARD 08 for the fiscal year ended March 2007.
Further, we now expect to completely exit from the Photo Imaging business, which was also a theme of
FORWARD 08, by the end of September 2007.
One Milestone toward Sustainable Growth
As can be seen, we have unfailingly exceeded our targets in the first fiscal year of FORWARD 08. However, we are
still not satisfied. We believe that we must continually pursue sustainable growth. Now that we have established one
milestone on the road to sustainable growth under FORWARD 08, we need to carefully build the base for the next
stage of growth.
In order to do this, FORWARD 08 outlines a growth strategy to strengthen and develop our core businesses, expand
our domain in areas peripheral to our core businesses, and to nurture future businesses. From this perspective, we
were also checking the progress in our growth strategy as we were meeting our numerical targets for the fiscal year
ended March 2007. Our conclusion is that we cannot afford to be complacent. Going forward, we will be brushing up
our strategies in the pursuit of further growth and will also be seeking to accelerate the speed at which we reach the
plan’s goals and targets.
In addition, in the technology development area, we also made progress in enhancing our R&D capabilities as
stipulated by FORWARD 08. For further details, please refer to the FORWARD 08 section which follows.
Emphasis on Shareholder Value
The Konica Minolta Group recognizes that enhancing shareholder value is an important management issue. As a
result, based on our medium-term management plan which aims to enhance corporate value through Group growth,
we seek to provide returns to shareholders while at the same time expanding retained earnings, actively promoting
strategic investment in growth areas, and strengthening our financial condition.
In summary, we have made a good start in our FORWARD 08 medium-term management plan. Rather than relaxing,
however, we remain strongly committed to achieving the goals in the plan, and continue to build the platform for
further growth brick by brick in order to build a solid base for continuous growth.
We look forward to your continued support and guidance in this effort.
June 2007
Yoshikatsu Ota
President and CEO