Casio 2008 Annual Report Download - page 22

Financial Condition
Total assets as of the end of March 2008 stood at ¥451,835 million, representing a decline of 14.0% from the
previous term-end. Current assets declined by ¥45,526 million to ¥284,610 million, largely as a result of a decrease
in trade receivables. The value of noncurrent assets decreased by ¥28,122 million to ¥167,225 million, owing to
declines in the value of machinery & equipment and vehicles, as well as the transference of a certain portion of
investment securities to the current assets account.
Total liabilities decreased by 23.6% to ¥220,622 million. As a result of a decrease in long-term debt due for
repayment within one year as well as trade payables, current liabilities declined by ¥40,394 million to ¥187,168
million. Long-term liabilities shrank by ¥27,798 million to ¥33,454 million, due to the transference of corporate
bonds and long-term borrowings to the current liabilities account.
The debt-equity ratio improved sharply, to 0.21 from 0.37 at the previous term-end.
Net assets at the term-end amounted to ¥231,213 million, while the equity ratio rose by 6.8 percentage points,
to 49.4%.
Cash Flow Analysis
Cash and cash equivalents at the reporting term-end came to ¥87,957 million, for a decrease of ¥9,282 million from
the previous term-end. This is attributable to a decrease in working capital (trade receivables, inventory assets, trade
payables) and expenditure for the repayment of long-term debt.
Net cash provided by operating activities came to ¥71,749 million, for an increase of ¥35,800 million over the
previous term. This breaks down into income before income taxes and minority interests in the amount of ¥23,888
million (compared with ¥41,383 million for the previous term), depreciation expenses of ¥33,959 million (compared
with ¥31,613 million), a decline of ¥22,988 million in trade receivables (compared with an increase of ¥21,208
million), a decline in inventory assets of ¥8,150 million (compared with an increase of ¥7,652 million), a decline in
trade payables of ¥4,531 million (compared with an increase of ¥10,076 million), and income taxes paid of ¥14,244
million (compared with ¥14,208 million).
Net cash used in investing activities amounted to ¥36,102 million, for a decrease of ¥1,577 million from the pre-
vious term. This breaks down into expenditure for the acquisition of property, plant and equipment in the amount of
¥22,538 million (¥16,865 million for the previous term), proceeds from the sale of property, plant and equipment in
the amount of ¥6,539 million (¥595 million for the previous term), and expenditure on the acquisition of intangible
assets in the amount of ¥15,521 million (¥17,942 million for the previous term).
Net cash used in financing activities rose by ¥13,772 million from the previous term, to ¥42,485 million. This
breaks down into ¥30,000 million on the repayment of long-term debt (¥20,747 million for the previous term) and
¥10,000 million on the redemption of bonds.
Capital Investment
Capital investment declined by 49.6% from the previous term, to ¥13,515 million. Broken down by business
segment, capital investment in the Electronics segment came to ¥9,335 million, down by 19.9% from the previous
term, while the figure for the Electronic Components and Others segment was ¥3,720 million, down by 73.5%.
Research & Development
R&D expenses decreased by 18.1% to ¥14,750 million. R&D expenses in the Electronics segment amounted to
¥9,029 million, down 25.6%, while expenses in the Electronic Components and Others segment came to ¥1,469
million, down 11.9%.
Management’s Discussion and Analysis
20 CASIO COMPUTER CO., LTD.