Panasonic 2014 Annual Report Download - page 12

Eliminate Major Unprofitable Businesses Improve Financial Position From Customers’ Viewpoint
Have set direction to take
Complete restructuring in FY2015
Significantly improve with
favorable progress
Offer new value working
with partners
Exit PDP, move into new areas in LCD,
reform distribution in US and China
Transform Business Division into separate company,
reorganize operating sites in Japan and overseas
Exit ALIVH business
Consolidate optical pickups and drives businesses
Suspend BtoC smartphone development
Continue promoting efforts to rebuild business in China and
strengthen the business structure for large-scale products
Consolidate with camcorder business and
move into new areas
TV set/panel
Semiconductor
Printed circuit board
Optical device
Mobile phone
Air-Conditioner
DSC
Net cash (Billions of yen) Equity ratio (%)
2012
–962.0
2013
–643.3
2014
2012
29.2
2013
23.4
2014
29.7
–47.6
Mid-term
target
Store solutions business
Experimental store
collaborating with Lawson Inc.
opened in February 2014
Fujisawa SST
opened in April 2014
Smart town business
≤
–220.0
Mid-term
target
≤
25%
Having made recovery in its business and
having worked to generate cash as a whole,
Panasonic’s net cash position was -47.6
billion yen. This was a major improvement
and exceeded the mid-term management
plan target of -220.0 billion yen.
Also, the shareholders’ equity ratio
greatly increased, from 23.4% in the
previous scal year to 29.7%.
which had been positioned as a
challenging business, to return them to
the black. However, a total operating
loss of approximately 100.0 billion yen
remained in scal 2014. Looking ahead,
the Company will take every measure to
eliminate these unprotable businesses
and complete restructuring.
2. Improve Financial Position
Among the ve challenging businesses,
we drastically restructured our
semiconductor business. As a part of the
restructuring, three plants in Hokuriku
region, Japan, were transferred to form
a joint venture with TowerJazz, an Israeli
company, and three plants in Asia were
transferred to UTAC Manufacturing
Services Ltd., a Singaporean company, to
promote fabless production.
Semiconductors are extremely important
devices in the expansion of our business in
the automotive and industrial elds. Based
on the shift from an in-house approach,
we will collaborate with our partners and
strengthen our competitiveness.
3. Expand Business and Improve
Efficiency by Shifting from an
In-house Approach We are gradually beginning to see
tangible results from, for example, the
experimental next-generation convenience
store, a collaborative project with Lawson
Inc., and the smart town business,
Fujisawa sustainable smart town (SST).
In addition to the introduction of
environment-conscious equipment and
systems as well as digital signage
devices, we are working on the creation
of advanced solutions by analyzing
purchase behavior at the experimental
next-generation convenience store.
In the years to come, we will constantly
create new value, working with our partners
in various industries.
4. Growth Strategy from Customers’
Viewpoint
For more details, please refer to “Message from the
CFO” on page 17.
For more details, please refer to Management Topics,
“Enhancing the Competitiveness of the Semiconductor
Business” on page 15.
(Years ended March 31)
▶▶ To Our Stakeholders ▶ President’s Message Performance in FY2014 / Progress with Mid-Term Management Plan / FY2015 Initiatives
About Panasonic Top Message Message
from the CFO Business Overview Corporate Governance
Management
Topics
Panasonic Annual Report 2014 Search Contents Return NextPAGE
11
Highlights
Financial and
Corporate Information