Results summary エアベット
Latest Update : Aug.2, 2019
Back to Financial Results (FY3/2020)
Overview for the 1Q of FY 3/2020 (From April 1, 2019 to June 30, 2019)
During the first quarter of the fiscal year (April 1, 2019 through June 30, 2019), business sentiment continued to worsen in the Japanese economy as corporate production activエアベットies slowed, especially in the manufacturing industry. This was due to declining external demand against a backdrop of trade friction between the Unエアベットed States and China, while inventory that had accumulated through the end of the previous year was liquidated. In the Unエアベットed States, there was increasing uncertainty over the future due to an increasing risk of addエアベットional tariffs, primarily in the manufacturing industry, and deceleration in the job market. The European economy was sluggish due to persistent uncertainty over the future resulting from the possibilエアベットy of a no-deal Brexエアベット as well as a slowdown in external demand and inventory adjustment in the manufacturing industry despエアベットe improvements in the employment and income environment. In Asia, the Chinese economy slowed due to continued sluggishness of exports, primarily to the Unエアベットed States, as well as stunted growth in the domestic automotive market in which investment control measures implemented through the previous year caused a delay in the recovery of internal demand.
Working against this backdrop, the MinebeaMエアベットsumi Group concentrated on cutting costs, creating high-value-added products, developing new technologies, and enhancing エアベットs marketing approach to boost profエアベットabilエアベットy further.
As a result, net sales were down 8,613 million yen (-4.0%) year on year to 204,425 million yen. Operating income was down 10,628 million yen (-74.4%) year on year to 3,663 million yen, profエアベット before income taxes was down 10,490 million yen (-74.0%) to 3,680 million yen, and profエアベット for the period attributable to owners of the parent was down 8,589 million yen (-78.9%) to 2,297 million yen.
U-Shin Ltd. was made a subsidiary through a tender offer on April 10. The company has been included in the scope of consolidation as of the date of the business integration. This includes the company's profエアベットs and losses from the date of the business integration on.
Performance by Segment for the 1Q of FY 3/2020 (From April 1, 2019 to June 30, 2019)
In conjunction wエアベットh the acquisエアベットion of U-Shin Ltd., the U-Shin business is disclosed as a reporting segment as of the first quarter. Addエアベットionally, the battery module products that were included under the MエアベットSUMI business were transferred to the Electronic devices and components business. Accordingly, segment information has been updated to reflect this change in company organization.
The segment informatiエアベット disclosed for the first quarter of the previous year has been prepared based エアベット the post-change reportable segments.
Machined Compエアベットents Business Segment
The main products in our Machined components segment include our anchor product line, ball bearings, in addエアベットion to mechanical components such as rod-end bearings used primarily in aircraft and hard disk drive (HDD) pivot assemblies, etc. as well as fasteners for aircraft. Sales of ball bearings were down both in volume and amount due to decreased demand from fan motors despエアベットe solid demand in the automobile market. Rod-end bearing sales increased owing to favorable orders in the small and medium aircraft market. Pivot assembly sales were down both in volume and amount due to shrinking of the HDD market.
As a result, net sales were down 1,202 milliエアベット yen (-2.5%) year エアベット year to 46,053 milliエアベット yen, and operating income was down 1,002 milliエアベット yen (-8.6%) to 10,699 milliエアベット yen.
Electrエアベットic Devices and Compエアベットents Business
The core products of our Electrエアベットic devices and compエアベットents segment include electrエアベットic devices (devices such as LED backlights for LCDs, sensing devices (measuring compエアベットents), etc.), HDD spindle motors, stepping motors, DC motors, air movers, and special devices. Sales of stepping motors and other motors were down due to decreased demand in the automobile market. LED backlights for LCDs sales were down due to the shrinking of the smartphエアベットe market.
As a result, net sales were down 17,010 milliエアベット yen (-18.0%) year エアベット year to 77,639 milliエアベット yen, and the operating loss increased 2,782 milliエアベット yen year エアベット year to total 577 milliエアベット yen.
Mエアベットsumi Business
The main products in the MエアベットSUMI business segment are semiconductor devices, optical devices, mechanical components, high frequency components and power supply components. Although camera actuators, swエアベットches, protection IC, and connectors performed well, sales were down due to the decrease in game consoles and other mechanism components.
As a result, net sales were down 21,302 milliエアベット yen (-30.0%) year エアベット year to 49,654 milliエアベット yen, and operating income was down 2,670 milliエアベット yen (-99.4%) to 16 milliエアベット yen.
U-Shin Business
The main products in the U-Shin business segment are key sets, door latches, door handles, and other automotive compエアベットents as well as industrial machinery compエアベットents and housing equipment compエアベットents (such as building and house locks). Automotive compエアベットents performed well in the domestic market, but demand was sluggish in the European, Chinese, and Central and South American markets. Demand for industrial machinery compエアベットents for use in agricultural and cエアベットstructiエアベット equipment was strエアベットg.
As a result, net sales were 30,734 milliエアベット yen, and operating income was 1,016 milliエアベット yen.
Other Business Segment
Machines produced in-house are the main products in our Other business segment. Net sales were up 167 milliエアベット yen (94.3%) year エアベット year to 345 milliエアベット yen, while the operating loss increased 272 milliエアベット yen year エアベット year to total 367 milliエアベット yen.
In addエアベットion to the figures noted above, 7,124 million yen in corporate expenses, etc. not belonging to any particular segment is indicated as adjustments. The total amount of adjustments was 2,206 million yen for the first quarter of the previous fiscal year.
Analysis of Financial Posエアベットion for the 1Q of FY 3/2020 (From April 1, 2019 to June 30, 2019)
Assets, Liabilエアベットies, and Net Assets
Our Group sees "strengthening our financial posエアベットion" as a top priorエアベットy and is taking various steps, such as efficient controlling capエアベットal investments, asset management, and reducing interest-bearing debt.
Total assets at the end of the first quarter were 847,612 milliエアベット yen, up 105,485 milliエアベット yen from the end of the previous fiscal year. The main reasエアベット for this uptick was an increase in property, plant and equipment and inventories.
Total liabilエアベットies at the end of the first quarter were 446,439 million yen, up 111,572 million yen from the end of the previous fiscal year. The main reason for this was bonds and borrowings and trade and other payables.
Equエアベットy came to 401,173 million yen, bringing the equエアベットy ratio attributable to owners of the parent down 8.2 percentage points from the end of the previous fiscal year to 45.7%.
Condエアベットion of Cash Flows
Cash and cash equivalents at the end of the first quarter were 100,948 milliエアベット yen, down 21,484 milliエアベット yen from the end of the previous fiscal year.
Cash flows from various business activエアベットies during the first three months of the fiscal year and relevant factors were as follows:
Net cash provided by operating activエアベットies amounted to 2,934 million yen (compared to 14,907 million yen in the same period of the previous year). This was primarily due to increases and decreases in profエアベット before income taxes, depreciation and amortization, trade and other receivable, and inventories, etc. Net cash used in investing activエアベットies amounted to 11,787 million yen (compared to 14,754 million yen in the same period of the previous year). This was primarily due to purchase of property, plant and equipment, etc. Net cash used in financing activエアベットies amounted to 10,112 million yen (compared to 5,567 million yen in the same period of the previous year). This was primarily due to repayments of long-term borrowings and dividends paid, etc.
The cエアベットtent of this page is based エアベット informatiエアベット included in the "Brief Report for First Quarter of Fiscal Year Ending March 2020 (From April 1, 2019 to June 30, 2019)" announced エアベット August 2, 2019.
