KYOCERA Announces Consolidated Financial Results for Three Months Ended June 30, 2020

KYOTO, Japan–(BUSINESS WIRE)–Kyocera Corporation (TOKYO:6971) today announced its consolidated financial results for the three months ended June 30, 2020 (the “first quarter,” or “FY21-Q1”), as summarized below. Complete details are available at:
https://global.kyocera.com/ir/library/f_results.html

Consolidated Results of Operations: Three Months Ended June 30

Unit: Millions (except percentages and per-share amounts)
  Three Months Ended June 30,
  2019
(FY20-Q1)
in JPY
2020
(FY21-Q1)
in JPY
Change 2020
(FY21-Q1)
in USD
2020
(FY21-Q1)
in EUR
Amount
in JPY
%
Sales revenue: 384,937 317,094 (67,843) (17.6) 2,936 2,621
Operating profit: 22,629 7,574 (15,055) (66.5) 70 63
Profit before income taxes: 45,486 30,411 (15,075) (33.1) 282 251
Profit attributable to owners of the parent: 32,037 22,380 (9,657) (30.1) 207 185
Earnings per share attributable to owners of the parent (basic): 88.56 61.75 0.57 0.51
Note on exchange rates: U.S. dollar (USD) and euro (EUR) conversions are provided above as a convenience to the reader, based on the rates of USD1 = JPY108 and EUR1 = JPY121, rounded to the nearest unit (as of June 30, 2020)

Summary
First-quarter sales revenue and profits both declined as compared to the prior-year period due to weaker demand in major markets, reflecting global economic stagnation caused primarily by the COVID-19 pandemic.

In the Components Business, sales revenue from the Electronic Devices Group declined due mainly to lower sales at AVX Corporation, a U.S. subsidiary, alongside a general slowdown in manufacturing, particularly in the automotive industry. In the Equipment & Systems Business, sales revenue from the Document Solutions Group declined as the trend toward remote work suppressed institutional demand for office equipment and consumables. As a result, total first-quarter sales revenue decreased by JPY67,843 (USD 628) million, or 17.6%, as compared to the prior year’s first quarter, to JPY317,094 (USD2,936) million.

Profit declined as well, due mainly to lower sales revenue in most business segments. Compared to the prior first quarter, operating profit decreased by JPY15,055 (USD139) million, or 66.5%, to JPY7,574 (USD70) million; profit before income taxes decreased by JPY15,075 (USD140) million, or 33.1%, to JPY30,411 (USD282) million; and profit attributable to owners of the parent decreased by JPY9,657 (USD89) million, or 30.1%, to JPY22,380 (USD207) million.

Averaged exchange rates during the first quarter show the Japanese yen strengthening against the U.S. dollar by approximately 1.8%, to JPY108; and strengthening against the euro by approximately 4.1%, to JPY118, as compared with averages from the prior first quarter. This had the effect of decreasing sales revenue by approximately JPY6 billion (USD56 million), and profit before income taxes by approximately JPY1.5 billion (USD14 million).

Consolidated Forecasts: Year Ending March 31, 2021
First-quarter financial results were not far from the company’s original projections as a whole, despite unfavorable impact resulting from the COVID-19 pandemic. Based on our continued assumption that major markets will gradually recover toward the end of fiscal 2021, commencing in the second quarter (i.e., the three months ending Sept. 30, 2020), the company is making no change at this time to the original forecasts for the year ending March 31, 2021 as announced on April 27, 2020. While concerns about the impact of COVID-19 and trade friction between the U.S. and China continue, demand in automotive-related markets seems to have bottomed out, and 5G-related markets are expected to grow. The company will continue to reduce costs and increase productivity thoroughly in our aim to achieve the original forecasts.

Unit: Yen in millions (except percentages, per-share amounts and exchange rates)    
    Fiscal 2020
Results
  Fiscal 2021
Forecast
  Change
(%) from
Fiscal 2020
Results
       
Sales revenue:   1,599,053   1,500,000   (6.2)
Operating profit:   100,193   75,000   (25.1)
Profit before income taxes:   148,826   120,000   (19.4)
Profit attributable to owners of the parent:   107,721   88,000   (18.3)
Earnings per share attributable to owners of the parent (basic):   297.36   242.80 *
Average USD exchange rate:   109   105  
Average EUR exchange rate:   121   115  
Based on the average number of shares outstanding during the three months ended June 30, 2020.

FORWARD-LOOKING STATEMENTS
Please refer to https://global.kyocera.com/ir/disclaimer.html

About KYOCERA

Kyocera Corporation (TOKYO:6971, https://global.kyocera.com/), 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 industrial and automotive components, semiconductor packages, electronic devices, smart energy systems, printers, copiers, and mobile phones. During the year ended March 31, 2020, the company’s consolidated sales revenue totaled 1.6 trillion yen (approx. US$14.7 billion). Kyocera is ranked #549 on Forbes magazine’s 2020 “Global 2000” list of the world’s largest publicly traded companies.

Contacts

KYOCERA Corporation (Japan), Corporate Communications
Kenichi Hara, Tel: +81-(0)75-604-3416 Fax: +81-(0)75-604-3516
webmaster.pressgl@kyocera.jp

SOURC Kyocera


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