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27
Nikon Corporation Annual Report 2010
Total equity amounted to ¥372,070 million, a decline of
¥7,017 million, primarily because of a drop in retained earnings.
The equity ratio decreased 0.3 percentage point from the end of
the previous fi scal year to 50.2%.
Balance Sheet Analysis
March 31, 2010 and 2009
% of Total Assets
2010 2009
Total assets 100.0% 100.0%
Total current assets 65.4 69.2
Inventories 27.9 35.4
Property, plant and equipment 16.9 16.8
Investments and other assets 17.7 14.0
Total current liabilities 40.5 38.6
Short-term borrowings 2.0 4.8
Long-term debt, less current portion 5.6 8.7
Total equity 50.2 50.6
Cash Flow Analysis
Net cash provided by operating activities amounted to ¥103,497
million in the fi scal year ended March 31, 2010. This was due
mainly to ¥35,170 million in depreciation and amortization and
a decrease of ¥57,391 million in inventories, against the loss
before income taxes of ¥17,672 million.
Net cash used in investing activities amounted to ¥47,108
million. This primarily refl ected ¥33,636 million in expenditures
for purchases of property, plant and equipment and ¥9,429 mil-
lion for the purchase of outstanding shares in Nikon Metrology
NV, against ¥8,212 million in proceeds from a compensation
payment stemming from an expropriation claim.
Net cash used in fi nancing activities amounted to ¥31,477
million. This was mainly due to ¥10,000 million for the redemp-
tion of bonds, a net decrease of ¥20,000 million in commercial
paper and repayment of long-term debt of ¥10,199 million,
against proceeds from the issuance of bonds of ¥19,894 million.
As a result, the balance of cash and cash equivalents at
the end of the fi scal year ended March 31, 2010 amounted to
¥104,670 million, an increase of ¥24,864 million from the end of
the previous fi scal year.
Basic Policy on Shareholder Returns and
Current and Subsequent Term Dividends
Nikon’s basic dividend policy is to “improve refl ection of busi-
ness performance based on paying a steady, continuous dividend
emphasizing the standpoint of investors while also expand-
ing investment for future growth and technological develop-
ment (capital expenditure and R&D development) and striving
to strengthen competitiveness.” Under this basic policy, the
Company has aimed at a total return ratio of at least 25% and
otherwise provided shareholder returns through dividend in-
creases and the acquisition of treasury stock.
For the fi scal year ended March 31, 2010, in view of the de-
clines in both sales and income, Nikon set the year-end dividend
at ¥4 per share, a decrease of ¥1.5 from the previous fi scal year.
As a result, cash dividends for the full fi scal year ended March
31, 2010 totaled ¥8 per share, including a ¥4 interim dividend.
For the fi scal year ending March 31, 2011, Nikon plans to pay
total dividends of ¥19 per share, including a ¥5 interim dividend.