Trend Micro 2014 Annual Report Download - page 5

1 Qualitative Information and Financial Statements
 (Unit: million yen)
(Unit: million yen)
During this term of fiscal year 2014, from January 1 to December 31, the world economy shows brisk
recovery, and US and a part of developed countries have been showing healthy recovery to lead the world
economy. On the other hand, Europe has still remained stagnation and emerging countries have been showing
economic growth slowdown. In addition, there are the demands of a growing geopolitical risks and the fall
in crude prices. The world economy has not been entirely stable.
Even though there are still problems such as continuing trade deficit and consumption tax hike postponed
remaining, under the government's aggressive economic policies and massive monetary easing by the Bank of
Japan, Japan economy has been on a moderate recovery trend with the business sentiment and employment
conditions.
In the worldwide Information Technology Industry, cloud computing including server virtualization and
related services have been still standing out from IT industry market continuously. Although the worldwide
PC shipments are continuously decreasing due to weakness in emerging regions demands, it showed only
slightly increase from the same period in previous year due to short-term factor such as
enterprise’s PC replacement demand in a part of both Western Europe and Japan. On the other hand,
domestic mobile devices shipment started to recoil due to reduction in by the Windows XP replacement
demand. Moreover, a part of smartphone sales shows decrease in sales down. These possibly caused negative
growth in this year domestic mobile devices shipment.
In the computer security industry, "Advanced Persistent Threat (APT)" threats that pertain to
computer intrusions by threat actors that aggressively pursue and compromise chosen targets has plagued
the entire world continuously. APTs are still a big issue for enterprise security. Cyber terrorism
to attack targeting a specific companies or state institution, etc. and its related to some cases of
identity theft in both business client information and personal and private information are as recent
high-visibility incidents. In Japan, there are malware programs to attack internet banking users,
phishing incidents, inside job of carrying out internal information, targeted cyber attack to POS system,
etc. in broad range of targets regardless of business or individuals. Increasing mobile devices
attacking threats, cyber attacks, aim at personal ID and information, shifting its main target from
individuals to companies holding tremendous personal information. It concerns an increase large-scale
improper information acquisitions through such a company and these damages may increase from now on.
Under such environment, our group business conditions are as follows:
With regards to sales in Japan region, consumer business has showed growth with the special benefit from
(1) Qualitative Information on the Consolidated Business Results
Net Sales Operating
income Ordinary Income Net income
before tax Net Income
Y2014 115,205 33,652 35,992 36,024 22,303
Y2013 108,314 29,450 32,456 32,006 19,595
Rate
of Change (%) 6.4％ 14.3％ 10.9％ 12.6％ 13.8％
Net Sales
FY 2014 FY 2013 Rate of Change
(%)
Japan 50,736 48,551 4.5%
North America Reg. 24,948 23,615 5.6%
Europe Reg. 22,778 20,571 10.7%
Asia and Pacific Reg. 13,760 12,925 6.5%
Latin America Reg. 2,982 2,650 12.5%
Total 115,205 108,314 6.4%
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