JVC 2010 Annual Report Download - page 5

JVC KENWOOD Holdings, Inc. 3
as Japanʼs leading specialty AV manufacturer. To this end,
we are implementing a policy to transform ourselves into a
next-generation specialty AV manufacturer with car-mounted
components, radio equipment, professional AV equipment,
and solution business—where we are able to make the most of
our long-established strengths, such as technological prowess,
marketing and development capabilities, reliability, sales network,
and high brand recognition—at the core.
In the Car Electronics business—which is a business common
to JVC and Kenwood, and where we enjoy No. 1 share in the
consumer market (sales of both companies combined) in Europe
and the U.S.—we will concentrate marketing activities on
emerging markets where high growth can be expected. At the
same time, we are focusing our resources on the development of
new car navigation systems, for which we expect a new market to
emerge that combines previous car navigation systems and PND,
thus consolidating our position as the No. 1 company in this field
worldwide. Furthermore, we are working to develop car electronics
that are compatible with next-generation new media and services.
With respect to the land mobile radio segment, Kenwood is
ranked second in the world and top in Japan by market share in a
market where high levels of public safety are required. Meanwhile,
JVC is active in the business solutions segment, marketing security
and audio/visual equipment that use state-of-the-art technologies
accumulated in the consumer market. By strengthening the
integrated management of these segments in the Professional
Systems Business, where absolute reliability is required, we are
working to transform the segment into a comprehensive solution
business fusing sound, visual, and telecommunication.
Furthermore, to make the corporate vision of being
unconventional a reality, the JVC Kenwood Group is developing
products and services that, through unique ideas, will stimulate
peopleʼs sensitivities and awaken latent demand, and also bring
surprises and changes to everyday lifestyles. We will launch new
products onto the market, and take the first step toward creating
new added value.
Please see “Mid-term business plan” on pages 7-9 and
“Outline of Business and Priority Measures” on pages 10-19 for
further details.
Meeting expectations and building a company
trusted by society
—Perpetual reform centered on each and every individual
The JVC Kenwood Group considers it a prerequisite of a
corporation that intends to develop continuously to respond
to the expectations of all stakeholders and to be trusted by
and contribute to society. We will return to this basic idea, and
implement the following measures on a group-wide basis to
prevent a recurrence of adjustments to previous earnings results:
(1) establish management and internal control systems to change
the corporate culture; (2) reform the accounting system and
structure; and, (3) enhance monitoring capabilities. At the same
time, we will do our utmost to regain trust.
In addition to carrying out compliance as a matter of course
in all our activities, we will reinforce corporate governance,
promote highly transparent management, and contribute to
preserving the environment for the next generation.
In particular, our video and audio equipment business
and software businesses support cultural activities that foster
peopleʼs sensibilities, and our mobile radio business supports
communication of vital information among people. Keeping this
mission and our responsibilities in mind, all of the employees
of the JVC Kenwood Group will fulfill their responsibilities in
accordance with our guidelines for business conduct based on
the idea of continuous change centered on each individual.
We sincerely request your continued understanding and
support.
September 2010
Haruo Kawahara
Chairman, President and CEO
150
100
50
0
5
0
-5
-10
Net Sales (Billions of yen)
Operating income / Ordinary income
(Billions of yen)
* Since the management integration, operating income hit a
record high for the second quarter in a row.
* We posted an ordinary income for the first time since the
management integration.
1Q - Financial Results - Quarterly financial results
Operating income
Ordinary income
1Q ’10/3 2Q 3Q 4Q 1Q ’11/33Q ’09/3 4Q
Management Mes sage