Pentax 2002 Annual Report Download - page 28

26
Financial Position
Cash and cash equivalents increased 28.3% to 66,321 million.
This was primarily due to marketable securities sold totaling
¥7,000 million as well as the factors described in the “Con-
solidated Statements of Cash Flows,” though transfers of notes
and accounts receivable trust declined ¥10,356 million after
the Company suspended sales of notes and accounts receiv-
able trusts in May 2001,
Current assets increased 9.6% to ¥169,587 million, fixed
assets declined 3.9% to ¥108,481 million, and total assets grew
3.9% to ¥278,068 million.
Current liabilities fell 20.3% to ¥49,114 million, principally
as a result of decreases in notes and accounts payable, short-
term loans and income taxes payable. Long-term liabilities
declined 3.8% to ¥9,618 million, chiefly as a result of a pay-
ment of retirement benefits in accordance with the Company’s
reforms, which resulted in a reduction in liability for retire-
ment benefits. Thus, total liabilities contracted by 18.0% to
¥58,732 million. The Company’s degree of indebtedness edged
down by 0.5 percentage point to 1.4%, as interest-bearing debt
was reduced by ¥1,107 million to ¥3,947 million.
Retained earnings increased 9.7% to ¥202,255 million. The
equity adjustment from foreign currency translation, which is
1998 1999 2000 2001 2002
40,000
30,000
20,000
10,000
0
(Millions of yen)
Capital Investment
Capital investment (Millions of yen) 19,504 13,654 17,770 39,673 19,585
10.0
7.5
5.0
2.5
0
(Millions of yen)
4.0
3.0
2.0
1.0
0
(%)
R&D expenses (Billions of yen)
R&D expenses/net sales (%)
1998 1999 2000 2001 2002
Research and Development
Expenses
7.5
3.9
7.8
3.9
7.7
3.8
7.3
3.1
7.3
3.1
a debit item against equity, decreased by ¥5,344 million to
¥5,331 million, contributing to a 12.2% rise in total share-
holders’ equity to ¥219,180 million. The equity ratio rose 5.8
percentage points to 78.8%.
Cash Flows
Net cash provided by operating activities totaled ¥41,023
million. This was chiefly composed of income before income
taxes of ¥37,588 million, depreciation and amortization (in-
cluding ¥469 million of goodwill amortization) of ¥20,105 mil-
lion, and income taxes of ¥15,395 million.
Net cash used in investing activities totaled ¥19,654 million,
primarily consisting of purchases of property, plant and equip-
ment totaling ¥19,001 million, that focused on capital invest-
ment in the Electro-Optics division.
Net cash used in financing activities totaled ¥8,186 million,
primarily in the form of repayment of short-term loans and
payment of dividends.
In aggregate, cash and cash equivalents at the end of the
year increased by ¥14,623 million to ¥66,321 million. It is the
Company’s policy to employ cash and cash equivalents in in-
vestments aimed at maximizing corporate value and spurring
renewed growth.