Epson 2013 Annual Report Download - page 26

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25
Minority interests in income
Minority interests in income for the period under review were ¥168 million, a decrease of ¥16 million
(8.9%) compared to the previous period.
Net income (loss)
Epson posted a net loss of ¥10,091 million, a ¥15,123 million decline compared to the previous period.
(2) Liquidity and capital resources
Cash flow
Net cash provided by operating activities was ¥42,992 million, an increase of ¥16,313 million compared to
the previous period. While certain factors negatively affected cash flow from operating activities, such as a
¥19,101 million decrease in income before income taxes and minority interests, which includes
litigation-related losses, and a ¥21,991 million effect from a decrease in trade accounts payable, cash from
operating activities increased on the whole due to additive factors such as a ¥38,948 million effect from a
decrease in inventory and a ¥12,635 million effect from an increase on provision for bonuses.
Net cash used in investing activities totaled ¥39,511 million, an increase of ¥7,983 million compared to the
previous period. This increase was mainly due to a ¥7,138 million increase in outlays associated with the
acquisition of property, plant and equipment and intangible assets.
Net cash provided by financing activities totaled ¥21,298 million. Cash used in financing activities
decreased by ¥78,705 million compared to the previous period. This is due to a ¥58,440 million net
increase in interest-bearing liabilities and a ¥20,414 million decrease in cash used in the acquisition of
treasury shares.
As a result of the foregoing factors, cash and cash equivalents at the end of the fiscal year stood at
¥184,639 million, an increase of ¥34,609 million compared to the end of the previous fiscal year, giving
Epson sufficient liquidity.
The total of short-term loans payable, long-term loans payable, and bonds payable was ¥271,126 million,
an increase of ¥32,314 million compared to the end of the previous fiscal year, due to increased borrowing
to ensure liquidity.
Long-term loans payable [excluding the current portion] amount to ¥52,500 million as of March 31, 2013,
at a weighted average interest rate of 0.79% and with a repayment deadline of November 2017. These
borrowings were obtained as unsecured loans primarily from banks.
Financial condition
Total assets were ¥778,547 million, an increase of ¥37,778 million compared to the end of the previous
fiscal year. The majority of this increase is accounted for by a ¥34,586 million increase in cash and deposits
and short-term investment securities.
Total liabilities were ¥519,740 million, an increase of ¥27,111 million compared to the end of the previous
fiscal year. While notes and accounts payable-trade declined by ¥20,177 million, total liabilities increased
mainly because of a ¥4,702 million increase in a provision for bonuses, a ¥5,896 million increase in the
provision for retirement benefits, and a ¥32,314 million total net increase in short-term loans payable,
long-term loans payable, and bonds payable.
Total net assets were ¥258,806 million, an increase of ¥10,666 million compared to the end of the previous
fiscal year. Although the company recorded a net loss and there was a ¥14,742 million decrease in retained
earnings due to the payment of dividends, total net assets increased chiefly due to weakening of the yen,
which led to a ¥25,160 million increase in foreign currency translation adjustments.
Working capital, defined as current assets less current liabilities, was ¥192,769 million, an increase of