Ricoh 2008 Annual Report Download - page 26

25 ANNUAL REPORT 2008
SALES BY GEOGRAPHIC AREA
2007 2008
Percentage of Percentage of Thousands of
Millions of Yen net sales Millions of Yen net sales U.S.Dollars
Japan ¥ 1,002,251 48.4% ¥ 1,016,034 45.8% $10,160,340
The Americas 426,453 20.6 434,799 19.6 4,347,990
Europe 507,158 24.5 603,219 27.2 6,032,190
Other 133,063 6.5 165,937 7.4 1,659,370
Total ¥2,068,925 100.0% ¥2,219,989 100.0% $22,199,890
Financial Position
For Assets, cash and cash equivalents decreased and other
investments including goodwill increased due primarily to the
formation of a joint venture company, InfoPrint Solutions Company,
LLC, with IBM Corporation. As a result, total assets decreased by
¥29.0 billion to ¥2,214.3 billion ($22,144 million).
For Liabilities, interest-bearing debt decreased from the end of the
previous period through the enhancement of cash management
system in Japan, the Americas and Europe. As a result, total
liabilities decreased by ¥39.7 billion to ¥1,075.8 billion ($10,759
million).
In Shareholders’ investment, there was no major change in
common stock or additional paid-in capital, but Accumulated other
comprehensive income decreased due to the decrease in
cumulative translation adjustments. Common stock for treasury
increased by ¥15.5 billion. As a result, total Shareholders’
investment increased by ¥9.2 billion to ¥1,080.1 billion ($10,802
million) due to the increase in retained earnings resulting from
earning profit.
Cash Flows
Net cash provided by operating activities increased by ¥27.0 billion
from the previous corresponding period, to ¥194.3 billion ($1,944
million). While net income and depreciation increased, trade
receivables and financial receivables increased due to the business
expansion.
Net cash used in investing activities increased by ¥82.9 billion from
the previous corresponding period, to ¥198.3 billion ($1,984
million), due primarily to a payment for the formation of a joint
venture company with IBM Corporation.
As a result, free cash flow generated by operating activities and
investment activities decreased by ¥55.8 billion from the previous
corresponding period, to ¥3.9 billion ($40 million).
Net cash used in financing activities amounted to ¥72.1 billion
($722 million) due primarily to a decrease in interest-bearing debt
and purchase of Common stock for treasury, while net cash used in
financing activities was ¥9.2 billion in the previous corresponding
period due mainly to the proceeds from the issuance of convertible
bonds.
As a result of the above, cash and cash equivalents as of the end of
this fiscal year decreased by ¥85.1 billion from the end of the
previous corresponding period, to ¥170.6 billion ($1,706 million).
Capital Expenditures
Ricoh’s capital investments for fiscal years 2006, 2007 and 2008
were ¥102.0 billion, ¥85.8 billion and ¥85.2 billion ($852 million),
respectively. Ricoh directs a significant portion of its capital
investments towards digital and networking equipment, such as
digital PPCs / MFPs, laser and GELJET printers, and manufacturing
facilities to maintain or enhance its competitiveness in the industry.
Ricoh projects that for fiscal year 2009, its capital investments will
amount to approximately ¥90.0 billion ($900 million), which will
principally be used for investments in manufacturing facilities of
digital and networking equipment with new engines, toners,
semiconductors and thermal media.