Message from the President Corporate Information Message from the President
The OKI Group recorded overall net sales were 199.3 billion yen, a 23.7 billion yen decrease year-on-year as sales and operating income in overseas business failed to reach its original target due to the changes in business environment though domestic business was overall steady. Operating loss was 0.6 billion yen, a 4.2 billion yen worsened year-on-year due to the decline in sales volume.
Ordinary loss was 8.9 billion yen, a 11.6 billion yen worsened year-on-year due to recording foreign exchange losses in non-operating expenses of 8.1 billion yen. Loss attributable to owners of parent was 13.5 billion yen, a 14.4 billion yen worsened year-on-year due to recording the loss related to the Antimonopoly Act.
For full-year consolidated earnings projections, OKI has revised it from its previous announcement in light of business performance of the first half of fiscal year 2016. In Mechatronics systems business, China ATM market is in a lull and the situation is likely to continue for a while, although the market still has room to grow including becoming widespread among an inland area in China. In Printers business, expanding sales in high-value-added area are offset by decreasing demand for office printers. In terms of currency exchange, recent trend of strong yen continues for a time, though level of currency exchange fluctuated unsteadily in beginning of this fiscal year.
According to the above reasons, OKI projects full-year performance as follows; net sales of 465.0 billion yen (35.0 billion yen decrease from the previous announcement), operating income of 15.0 billion yen (5.0 billion yen decrease), ordinary income of 6.0 billion yen (12.0 billion yen decrease) and profit attributable to owners of parent of 3.0 billion yen (9.0 billion yen decrease).
In terms of dividend, we will pay an interim dividend of 2 yen per share for fiscal year 2016 as previously announced. A year-end dividend of 30 yen per share is also planned. (OKI consolidated every ten shares of its common stock into one share on October 1, 2016.) OKI is striving to accomplish for generating stable and sustainable profits to our stakeholders as the highest priority.
Moving forward, the OKI Group will make the utmost efforts to achieve its results for the final targets as well as striving to develop new business, although we are in such severe business environment against a backdrop of the impact of appreciation of the yen and shrink and sluggish market.
We are grateful for the continuing support and cooperation of all our shareholders and investors. I ask for your continued and steadfast support as we move forward.
October 28, 2016