Nikon 2006 Annual Report Download - page 22

Download and view the complete annual report

Please find page 22 of the 2006 Nikon annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 54

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54

REVIEW OF OPERATIONS
OTHER
Sales in Other, including intercompany elimination, increased
12.6% year-on-year to ¥49,832 million, while operating
income improved signifi cantly to ¥1,929 million compared
with a loss of ¥647 million in the prior year. The leading
business developments during the year were as follows.
1. Sales were strong in customized products and
glass-related operations.
2. Signifi cant sales growth was posted in the sport
optics products business as a result of efforts to
expand sales of new products such as in the Laser
Rangefi nder and Fieldscope series.
3. Sales of ophthalmic products declined owing to
business structure reforms amid a continued harsh
market environment. Despite this, profi tability
improved substantially.
Aggressive development of new
businesses
Nikon continued working to foster new business areas
leveraging its core technologies such as precision technol-
ogy, optical technology and image processing technology.
One example is the fi eld of Chemical Mechanical Polishing
(CMP) systems designed to make LSI chip surfaces even.
Despite a delay in the use of ultra low-k insulation materi-
als, which are the main target application, Nikon continued
to attract more interest from chipmakers. Nikon intends
to proceed with future developments in this area while
keeping a close eye on market trends. In glass-related
operations, Nikon is concentrating on expanding external
sales including ultra-high-grade silica glass, a fi eld in which
it has a competitive advantage. In solid-state lasers, Nikon
continues to promote the development of high-reliability
deep UV laser light sources and their applications as a
means to expanding into new areas.
sport optics products,
surveying instruments,
ophthalmic frames,
sunglasses
20
49,832
44,253
39,643
06
05
04
NET SALES*
(millions of yen)
*The above fi gures include intersegment sales.
OPERATING INCOME
(LOSS)
(millions of yen)
1,929
06
(647)
(3,232)
05
04
Years ended March 31
Years ended March 31