Global consolidated net sales rise 8.1 percent
TOKYO- DENSO Corporation today announced global financial results for the third quarter ended December 31, 2004:
• Consolidated net sales totaled 690.9 billion yen (US$6.7 billion), an 8.1 percent increase from the same time period the previous year.
• Operating income totaled 63.3 billion yen (US$614.6 million), a 2.2 percent increase from the previous year.
• Income before income taxes and minority interests for the year totaled 65.8 billion yen (US$638.8 million), a 0.3 percent increase from the previous year.
• Consolidated net income totaled 39.8 billion yen (US$386.4 million), a 5.0 percent increase from the previous year.
"The increase in domestic and overseas car production for Japanese auto manufacturers contributed to the increase in sales," said Nobuaki Katoh, managing officer, DENSO Corporation.
In Japan, sales totaled 517.2 billion yen (US$5.0 billion), a 7.1 percent increase from the previous year, which was led by domestic car production, and a rise in the popularity of car navigation systems. Operating income totaled 56.9 billion yen (US$552.4 million), a 7.2 percent increase from the previous year due to production volume increase and cost reduction.
Strong car production for Japanese auto manufacturers in North America contributed to the increase in sales for the Americas. The total of 136.5 billion yen (US$1.33 billion) is a 5.7 percent increase from the previous year. Operating income totaled 4.4 billion yen (US$42.7 million), a decrease of 35.7 percent, due to new additions to the product line-up, and start-up costs in Arkansas.
In Europe, the sales expansion of car navigation systems, alternators and starters led to increased sales of 93.2 billion yen (US$904.9 million), a 13.3 percent increase from the previous year. However, start-up costs in Hungary contributed to a 3.5 billion yen (US$34.0 million) operating loss.
In Asia and Oceania, sales totaled 75.8 billion yen (US$735.9 million), a 36.0 percent increase from the previous year. Substantial sales increases, especially in ASEAN countries thanks to the TOYOTA IMV project operation, contributed to the increase in sales. Operating income totaled 5.8 billion yen (US$56.3 million), a 28.9 percent increase from the previous year, which was led by the increase in production volume.
DENSO Corporation, headquartered in Kariya, Aichi prefecture, Japan, is a leading global supplier of advanced technology, systems and components. Worldwide, the company employs 95,000 people in 31 countries and regions, including Japan. DENSO common stock is traded on the Tokyo, Osaka and Nagoya stock exchanges in Japan.
(Notes)
U.S. dollar amounts have been translated, for convenience only, at the rate of 103 yen = US$1, the approximate exchange rate prevailing on December 31, 2004. Billion is used in the American sense of one thousand million.
