Wacom 2009 Annual Report Download - page 21

0
2,000
4,000
6,000
8,000
10,000
0
5
10
15
20
25
30
40
50
60
70
80
(Millions of yen)
(%)
(%)
’05 ’06 ’07 ’08 ’09
’05 ’06 ’07 ’08 ’09
’05 ’06 ’07 ’08 ’09
(For the year’s ended March 31)
(For the year’s ended March 31)
(For the year’s ended March 31)
Overview of Business Performance
How did the global economy affect
our business in our 26th year?
(ROE)
(ROA)
Note: Common shares were split on a four-for-one basis on November
18,2005. Per share data before 2005.3.F.Y.term reflect the above
share splits.
Wacom Co., Ltd. and Its Subsidiaries
Net income per share (basic)
ROE/ROA
Equity ratio
2,457
5,421
6,886
8,349
6,214
15.2
21.5
19.3
20.1
7.0
12.2 12.4 12.9
14.2
9.4
47.5
63.2 64.9 63.5
69.4
Note 1: ROA equals net income/average total assets.
Note 2: During its 23rd fiscal year, the Group procured through a
public offering approximately 4.2 billion yen in capital funds
by allocating new shares to a third party.
20
Despite a sudden rise in materials our business in fiscal 2008,
the year ended March 31, 2009 was satisfactory with the
highest sales and net profit as a 1H result. On the other hand,
we for the 2H faced the drastic global economic drop of the
century, due to the global recession, caused by the financial
crisis in the US in addition to a rapid appreciation of the
Japanese yen against other currencies.
The Japanese economy entered a recessionary phase for the
first time in six years, due to a decrease of corporate invest-
ment in plant and equipment and sluggish consumer
consumption. In the US., an unprecedented deepening of the
financial crisis led to the bankruptcies of several major
financial institutions, which in turn caused a further reduction
in consumer spending, a corresponding decline in corporate
profit and a credit crunch. The EU area also experienced the
first recession since the introduction of Euro currency, despite
steady growth in Germany at the beginning of the period. The
economy in Asia-Oceania countries showed a slowdown of
growth due to the Sichuan earthquake in China and the global
recession as well as rapid depreciations of Asian local curren-
cies, despite steady economic growth in China and India.
Under the above conditions, our performance in fiscal 2008
was lower compared to the previous fiscal year although the
Company made the greatest efforts in reducing spending and
so on.
On the technology development side, we devoted itself to
developing the touch technology with its own IC technologies
for Microsoft’s next OS, Windows 7. The high-performance
multi-touch sensor technology was announced at WinHEC
(Windows Hardware Engineering Conference) in November,
2008. In new business development, we also developed and
announced the launch of a professional DJ interface device,
“nextbeat” which is scheduled for an initial release in Japan
and Europe next summer. In March, 2009 we announced the
“Intuos4”, the latest product of the company’s main model
Intuos series for the professional graphics field in four and a
half years. The “Intuos4”, enjoys a high reputation for a design
tool to offer high productivity to professional users.
In the ASEAN area, we established a subsidiary in Taiwan and
its logistic base in Singapore to enhance sales, marketing and
customer service. For the intellectual property, we filed patent
infringement lawsuits against Hanwang Technology Corpora-
tion and entered into a comprehensive settlement agreement
in April, 2008. We also enjoyed a smooth start for compliance
with the Financial Instruments and Exchange Law (J-SOX)
from the beginning of fiscal 2008.
As a result, the consolidated business results ended in sales of
¥33.81bn (-8.0% YoY), OP ¥4.31bn (-22.0% YoY), recurring
profit ¥4.18bn (-25.1% YoY), and net profit ¥2.58bn (-26.3%
YoY).