Wacom 2005 Annual Report Download - page 18

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The pen sensor component business also performed well due to
increased sales to existing customers and the acquisition of new
customers in response to the expanding Tablet PC market. In the
second half of this fiscal year, we released the W 8002 pen sensor
controller for small information appliances such as mobile phones
and prepared for the mass production and product delivery of
this unit.
As a result, sales grew to ¥16,733 million, or U.S. $156 million (up
8.1% year-on-year), and operating income to ¥2,926 million, or
U.S. $27 million (up 6.0% year-on-year).
Engineering Collaborative Solutions (ECS
) Business
In the ECS business, we launched Ver. 5.0 in September 2004,
featuring an upgraded automatic drawing function for ECAD /dio,
our leading product for electrical CAD , and in March 2005, we
released Ver. 5.5, with an improved PLC* conversion. H aving
improved ease of use and maintenance in these models, we
successfully stimulated replacement demand from our existing
users, with sales exceeding comparable figures for the previous
year in this field.
In the product data management (PD M) business, sales for this
fiscal year fell short of the level for the previous fiscal year due
partly to intensified competition in our diversified sales channels
for SMARTEAM, a key product. W e will strive to develop the
service business in this area, taking advantage of our wealth of
accumulated technologies and expertise.
As a result, sales stood at ¥886 million, or U.S. $8 million (down
12.6% year-on-year), and operating income at ¥110 million, or U.S.
$1 million (down 6.9% year-on-year).
* N ote: A PLC, or Programmable Logic Controller, enables users to control sequencing using keys
without wiring.
Electronic Human Interfaces (EHI) Business
In the EHI business, we have developed a foundation for electronic
seals (“chops”) by improving the social acceptance of electronic
seals through marketing activities, led by the Consortium for
Electronic Seals, and by jointly developing technologies with our
business partners specializing in software solutions. As a result of
these efforts, we were able to successfully introduce the use of
electronic seal systems by local governments and companies that
were seeking paperless operations. W e also promoted the
development of workflow solutions in response to enforcement of
the Law Concerning e-documents and the Law Concerning
Protection of Personal Information. Starting with the fiscal year
ending March 31, 2006, we plan to integrate the EHI business into
the corporate sales department of the ESD business to improve
15,483’04
’05 16,733
(Millions of yen)
(Millions of yen)
Sales
O perating
income
ESD Business
UP 8.1%
2,926
2,761
UP 6.0%
’04
’05
32
18
-71
-114
(Millions of yen)
Sales
O perating
income
EHI Business
UP 82.7%
IMPRO VED
’04
’05
FY 2004
¥16,515
FY 2005
¥17,651
Sales breakdown by business
ESD Business
ECS Business
93.8%
ESD Business 94.8%
6.1%
EH I Business
0.1%
ECS Business 5.0%
EH I Business 0.2%
W acom Co., Ltd. Annual Report 2005
1,014
886
’04
’05
(Millions of yen)
Sales
O perating
income
ECS Business
D O W N 12.6%
110
118
D O W N 6.9%
’04
’05
’04
’05