Kyocera Corporation (NYSE:KYO)(TOKYO:6971) today announced its third-quarter financial results for the fiscal year ending March 31, 2017. The results are summarized below, both as an aggregation of Kyocera’s first three fiscal quarters (the “period,” i.e., nine months ended Dec. 31, 2016), and as the third quarter alone (the “quarter,” i.e., three months ended Dec. 31, 2016). Complete details are available at: http://global.kyocera.com/ir/financial/f_results.html
Consolidated Financial Highlights: Nine Months Ended December 31, 2016 | ||||||||||||||
Unit: Millions (except percentages and per-share amounts) | ||||||||||||||
Nine Months Ended December 31, | ||||||||||||||
2015 |
2016 |
Increase |
2016 |
2016 | ||||||||||
Amount | % | |||||||||||||
Net sales: | 1,093,030 | 1,014,628 | (78,402) | (7.2) | 8,672 | 8,249 | ||||||||
Profit from operations: | 66,020 | 67,102 | 1,082 | 1.6 | 574 | 546 | ||||||||
Income before income taxes: | 97,390 | 98,706 | 1,316 | 1.4 | 844 | 802 | ||||||||
Net income attributable to | 59,504 | 70,852 | 11,348 | 19.1 | 606 | 576 | ||||||||
Diluted earnings per share | 162.20 | 192.88 | - | - | 1.65 | 1.57 |
Note on exchange rates: U.S. dollar (USD) and euro (EUR) conversions are provided above and in the Q3 chart below as a convenience to the reader, based on the rates of USD1 = JPY117 and EUR1 = JPY123, rounded to the nearest unit (as of December 30, 2016).
Summary
The principal markets served by Kyocera Corporation
and its subsidiaries (the “Kyocera Group” or “Kyocera”) experienced
mixed results during this period:
- The automotive market enjoyed stable growth, due primarily to rising vehicle sales in China and Europe.
- The information and communications market experienced rising demand for miniaturized, highly functional components; however, stagnating growth rates in smartphone shipments continued.
- The global solar energy market saw continued erosion in the price of photovoltaic (PV) modules, and Japan-market demand decreased due to feed-in tariff changes that reduced the price of power purchased from PV system owners.
Consolidated net sales for this period decreased 7.2% over the prior nine-month period, to JPY1,014,628 (USD8,672) million, due mainly to the impact of the yen’s appreciation; profit from operations increased 1.6%, to JPY67,102 (USD574) million; income before income taxes increased 1.4%, to JPY98,706 (USD844) million; and net income attributable to shareholders of Kyocera Corporation increased 19.1%, to JPY70,852 (USD606) million.
Consolidated Financial Highlights: Third Quarter | ||||||||||||||
Unit: Millions (except percentages) | ||||||||||||||
Three Months Ended December 31, | ||||||||||||||
2015 |
2016 |
Increase |
2016 |
2016 | ||||||||||
Amount | % | |||||||||||||
Net sales: | 370,453 | 361,385 | (9,068) | (2.4) | 3,089 | 2,938 | ||||||||
Profit from operations: | 4,071 | 33,317 | 29,246 | 718.4 | 285 | 271 | ||||||||
Income before income taxes: | 19,390 | 50,128 | 30,738 | 158.5 | 428 | 408 | ||||||||
Net income attributable to | 8,712 | 34,699 | 25,987 | 298.3 | 297 | 282 | ||||||||
(See note above regarding exchange rates.) | ||||||||||||||
Expectations for the Full Fiscal Year
Current conditions in
the solar energy and electronic device markets, combined with a delay in
the launch of new information equipment products, have led Kyocera
Corporation to revise its consolidated financial forecasts for the year
ending March 31, 2017 (“fiscal 2017”). The company’s earlier forecasts
of net sales and profit from operations have been lowered; the forecast
of income before income taxes remains unchanged; and the forecast for
net income attributable to shareholders of Kyocera Corporation has been
revised upward, as shown in the table below. Kyocera will strive
aggressively to capitalize on new business opportunities while reducing
expenses in order to achieve the best possible results.
Consolidated Forecast: Year Ending March 31, 2017 | |||||||||
Unit: Yen in millions (except percentages, per-share amounts and exchange rates) | |||||||||
Fiscal 2016 |
Fiscal 2017 Forecasts |
Increase | |||||||
October |
January | ||||||||
Net sales: | 1,479,627 | 1,520,000 | 1,410,000 | (4.7 | ) | ||||
Profit from operations: | 92,656 | 110,000 | 95,000 | 2.5 | |||||
Income before income taxes: | 145,583 | 130,000 | 130,000 | (10.7 | ) | ||||
Net income attributable to shareholders | 109,047 | 85,000 | 90,000 | (17.5 | ) | ||||
Diluted earnings per share attributable | 297.24 | 231.52 | 245.01 | - | |||||
Average USD exchange rate: | 120 | 104 | 108 | - | |||||
Average EUR exchange rate: | 133 | 115 | 119 | - |
*Forecast of “Diluted earnings per share attributable to shareholders of Kyocera Corporation” is based on the diluted average number of shares outstanding during the nine months ended December 31, 2016.
FORWARD-LOOKING STATEMENTS
Except for historical information
contained herein, the matters set forth in this press release are
forward-looking statements that involve risks and uncertainties
including, but not limited to, product demand, competition, regulatory
approvals, the effect of economic conditions and technological
difficulties, and other risks detailed in the Company’s filings with the
U.S. Securities and Exchange Commission.
About
KYOCERA
Kyocera
Corporation (NYSE:KYO)(TOKYO:6971), the parent and global
headquarters of the Kyocera Group, was founded in 1959 as a producer of fine
ceramics (also known as “advanced ceramics”). By combining these
engineered materials with metals and integrating them with other
technologies, Kyocera has become a leading supplier of printers,
copiers, mobile phones, solar power generating systems, electronic
components, semiconductor packages, cutting tools and industrial
ceramics. Kyocera appears on the “Top 100 Global Innovators” list by
Clarivate Analytics and is ranked #531 on Forbes magazine’s 2016 “Global
2000” list of the world’s largest publicly traded companies.
View source version on businesswire.com: http://www.businesswire.com/news/home/20170130006276/en/
Contacts:
Kenichi Hara, +81-(0)75-604-3416
Corporate
Communications
Fax: +81-(0)75-604-3516
E-Mail: webmaster.pressgl@kyocera.jp
Website:
http://global.kyocera.com/