NEC 2013 Annual Report Download - page 20

PUBLIC฀BUSINESS
680.7
649.5
2012 2013
0
200.0
400.0
600.0
800.0
2012 2013
0
20.0
40.0
60.0
6.7%
7.2%
49.0
43.3
REVIEW OF OPERATIONS
Fiscal 2013 Performance and Main
Accomplishments
Business segment sales increased 4.8% year on year
to ¥680.7 billion. This increase mainly reflected steady
growth in fire and disaster prevention systems, and
aerospace and defense systems.
Operating income improved ¥5.8 billion to ¥49.0 billion,
mainly reflecting increased sales and cost reductions.
In fiscal 2013 in the government agency sector, NEC
won an order through DSN Corporation, a special
purpose company NEC invested in, for a Program to
Upgrade฀and฀Operate฀X-Band฀Satellite฀Communications฀
Functions. This project is the first satellite private finance
initiative (PFI) in Japan. Through a similar PFI scheme,
QZS System Services Inc., another special purpose
company invested in by NEC, won an order for operating
a quasi-zenith satellite system. Furthermore, a “Bird
Position Detection Solution,” which helps to reduce the
threat of collision between birds and aircraft during
takeoff and landing, contributing to safe and secure
airport operations, was adopted by Tokyo International
Airport (Haneda Airport). Moreover, in the safety
business, NEC and INTERPOL signed a partnership
agreement for strengthening measures to fight
increasingly complex and sophisticated cybercrime.
The two partners will work together on state-of-the-art
cyber security measures.
In the public services sector, sales remained strong in
the fire and disaster prevention area on the back of
continued high demand due to regional enlargement
and digitization of wireless communication networks.
NEC also steadily built on its track record in the
integration of cloud computing platforms and provision
of services for local governments, schools, libraries and
other customers. In addition, NEC implemented a new
traffic management system that enables the real-time
provision of traffic information thanks to the high-speed
processing of Big Data for the Shin-Tomei Expressway
operated by Central Nippon Expressway Company
Limited. And NEC delivered a new train wireless system
to Odakyu Electric Railway Co., Ltd. that uses software-
defined radio technologies to facilitate flexible operations.
In the medical sector, NEC helped to implement and
operate the Tsukuba Pediatric Allergy Information
Network (T-PAN), which has been developed by
Tsukuba Medical Center Hospital to share medical
information between partner medical institutions and
patient families, as part of the efforts to develop regional
medical networks.
In the financial sector, we provided sales support
systems compatible with smartphones and other smart
devices, an area of increasing need among financial
institutions, to over 30 credit unions nationwide.
For the media industry, we delivered digital transmitters
for Mobacas, a new multimedia broadcasting service
for smartphones, to Japan Mobilecasting, Inc. and NEC
delivered transmitters for digital television broadcasting
to commercial broadcasters in Myanmar, building on
NEC’s track record at home and abroad.
NEC provides safe, secure and efficient social solutions
for domestic and foreign governments, governmental
agencies, public institutions, financial institutions and other
organizations by combining its distinctive technology assets,
including networking and sensing technologies, with broad
systems integration expertise and customer assets.
Tomonori Nishimura
Executive Vice President
Operating income
Operating income ratio
SALES
(Billion ¥)
OPERATING INCOME,
OPERATING INCOME RATIO
(Billion ¥)
19 NEC Corporation
Annual Report 2013