NEC 2011 Annual Report Download - page 24

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1,000.0
600.0
800.0
400.0
2009 2010 2011
200.0
0
848.4
737.7
766.5
40.0
20.0
2009 2010 2011
0
–20.0
–14.2
18.9
–1.9
–1.7%
2.6%
–0.2%
80.0
60.0
40.0
2010 2011
20.0
0
36.8
51.4
5.0%
6.7%
12.0
9.0
6.0
2010 2011
3.0
0
5.0
7.8
FISCAL 2011 PERFORMANCE AND
MAIN ACCOMPLISHMENTS
Business segment sales increased 3.9% year on year to
¥766.5 billion. This increase was mainly due to the business
integration with Casio Hitachi Mobile Communications Co.,
Ltd. and an increase in sales in the overseas display
solutions business, despite sluggish mobile phone sales.
The segment posted an operating loss of ¥1.9 billion, a
change of ¥20.8 billion from operating income in the
previous year. This was mainly due to weak sales of mobile
phones and increased development expenses for
smartphones and other new devices.
In fiscal 2011, NEC launched the MEDIAS N-04C
smartphone in the Japanese market. This model features
the world’s thinnest*1 7.7 mm profile—it weighs an ultra-light
105 g—and is equipped with multiple convenient functions.
Furthermore, NEC launched a notebook PC for individual
customers with new features like a high audio-quality
YAMAHA sound system and 3D display functionality. NEC
also unveiled an energy-efficient PC model for enterprises
featuring a function that automatically turns off monitors
when users leave their seats, and a model that displays
changes in PC power consumption. As a result, NEC’s PCs
held on to the top share of the Japanese market*2.
NEC also introduced Android™-based tablet devices
such as the Cloud Communicator LT-W, which features
operability equivalent to a PC using a built-in keyboard.
Moreover, in fiscal 2011, NEC agreed to a strategic
partnership with Lenovo Group Limited in order to drive
growth in the PC business through a more powerful market
position, enhanced product portfolio and expanded
distribution channels.
FOR FURTHER GROWTH
Looking ahead, NEC will focus on achieving global business
expansion with smartphones, promote new businesses for
tablet devices, and develop leaner operations.
In the mobile phone business, NEC will strive to expand
business by supplying models that combine NEC’s
proprietary thin-profile and lightweight technologies with
Casio Hitachi Mobile Communications’ water-proof, dust-
proof and shock-resistant technologies to customers.
PERSONAL SOLUTIONS BUSINESS
NEC supplies individuals and enterprises with smartphones, mobile phones,
personal computers, Internet services, display solutions and other products.
It is also engaged in the creation of new terminal devices that serve as
interfaces between cloud computing and users, and services that add value
to such terminals. Harnessing cutting-edge technology, NEC develops
products and services that are simple and convenient for everyone.
Takemitsu Kunio
Senior Vice President
SALES
(Billion ¥)
OPERATING INCOME (LOSS),
OPERATING INCOME RATIO
(Billion ¥)
R&D EXPENSES,
R&D EXPENSES RATIO
(Billion ¥)
CAPITAL EXPENDITURES
(Billion ¥)
Operating income (loss)
Operating income ratio
R&D expenses
R&D expenses ratio
*1 Among 3G mobile phones, as of February 24, 2011 (Source: NEC CASIO Mobile Communications, Ltd. research)
23 NEC Corporation
Annual Report 2011