Welcome!

News Feed Item

Fujitsu Reports Fiscal 2013 Financial Results

Operating income for the full-year exceeded initial projections, driven by strong recovery in IT spending in Japan and implementation of various structural reforms

Tokyo, Apr 30, 2014 - (JCN Newswire) - Fujitsu today reported consolidated net income of 48.6 billion yen (US$472 million), representing an improvement of 128.5 billion yen from fiscal 2012.

Consolidated net sales for fiscal 2013 were 4,762.4 billion yen (US$46,237 million), up 8.7% from fiscal 2012. Sales in Japan rose by 2.7%. Sales of system integration services increased, primarily to the public sector and financial services sector, and there were also higher sales of network products and PCs. Outside of Japan, sales rose by 20.2%, up by 1% on a constant-currency basis.

Gross profit was 1,269.1 billion yen, up 65.4 billion yen from fiscal 2012. Despite the decline in mobile phone sales, gross profit increased due to the impact of foreign exchange fluctuations and the beneficial effects of initiatives to improve profitability. Selling, general and administrative expenses were 1,126.6 billion yen, an increase of 11.1 billion yen from fiscal 2012, mainly attributable to the weaker yen.

As a result, Fujitsu recorded an operating income of 142.5 billion yen (US $1,383 million), an increase of 54.2 billion yen from the previous fiscal year. Structural reforms in the LSI device business and businesses outside of Japan contributed approximately 30.0 billion yen to this increase, and the impact of workforce-related measures contributed approximately 20.0 billion yen.

"Throughout fiscal 2013, we saw a strong recovery in IT spending in Japan. We achieved significant improvements in profits by taking measures to deal with issues in the LSI device business and businesses outside Japan, as well as by taking workforce-related measures and initiatives to reduce corporate expenses. I'm happy to announce, as a result, that we were able to achieve the initial financial targets we set at the beginning of the year," commented Fujitsu's President Masami Yamamoto. "Fiscal 2014 will be the milestone year to achieve our medium term targets. We will be shifting resources for strategic investment in order to achieve mid- and long-term growth."

Business Segment Results

Consolidated net sales in the Technology Solutions segment amounted to 3,243.0 billion yen (US$31,485 million), an increase of 10.2% from fiscal 2012. Sales in Japan increased 6.1%. In system integration services, sales increased, primarily in the public sector and financial services sector, as customers increased investment spending. In network products, overall sales increased as a result of spending by telecommunications carriers to increase LTE service area coverage and boost transmission speeds. Server-related sales increased due to large-scale systems deals in the public sector. In infrastructure services, sales of outsourcing services remained steady. Sales outside Japan increased 18.2% but were essentially unchanged on a constant-currency basis. The segment posted operating income of 209.1 billion yen (US$2,030 million), up 35.1 billion yen compared to fiscal 2012. In Japan, the increase was mainly owing to higher sales of system integration services and network products, in addition to the effect of workforce-related measures. Outside Japan, operating income benefited from structural reforms and lower amortization expenses for goodwill, as well as from higher sales of network products.

Consolidated net sales in the Ubiquitous Solutions segment were 1,125.4 billion yen (US$10,926 million), up 3.2% from fiscal 2012. Sales in Japan were down by 3.5%. There was a significant increase in enterprise PC sales on higher demand for upgrades in accordance with the ending of support for an operating system product. Sales outside Japan increased 23.9%. On a constant-currency basis, sales increased 7%. The segment posted an operating loss of 22.1 billion yen (US$215 million), a deterioration of 31.7 billion yen from fiscal 2012. In Japan, operating income for mobile phones was adversely impacted by the sharp decline in unit sales, as well as higher costs due to functionality enhancements and the weaker yen.

Consolidated net sales in Device Solutions amounted to 600.2 billion yen (US$582.7 million), an increase of 11.1% compared to fiscal 2012. Sales in Japan fell 1.3%. Sales of LSI devices used in mobile phones increased, but those used in digital audio-visual equipment and IT equipment decreased. Sales outside Japan rose 26.1%. On a constant-currency basis, sales increased by 5%. The segment recorded operating income of 28.3 billion yen (US$275 million), representing an improvement of 42.6 billion yen from fiscal 2012. In Japan, operating income benefited from lower overhead expenses owing to an early retirement incentive plan and other factors in the LSI device business.

Fiscal 2014 Consolidated Projections

The Fujitsu Group will switch from Japanese accounting standards and voluntarily adopt International Financial Reporting Standards (IFRS) for its consolidated financial statements beginning in fiscal 2014.

For fiscal 2014, the company plans to distribute total dividends of 8 yen, 4 yen each for an interim dividend and a year-end dividend.

About Fujitsu Limited

Fujitsu is the leading Japanese information and communication technology (ICT) company offering a full range of technology products, solutions and services. Approximately 170,000 Fujitsu people support customers in more than 100 countries. We use our experience and the power of ICT to shape the future of society with our customers. Fujitsu Limited (TSE: 6702) reported consolidated revenues of 4.4 trillion yen (US$47 billion) for the fiscal year ended March 31, 2013 For more information, please see www.fujitsu.com.



Source: Fujitsu Limited

Contact:
Fujitsu Limited
Public and Investor Relations
www.fujitsu.com/global/news/contacts/
+81-3-3215-5259


Copyright 2014 JCN Newswire. All rights reserved. www.japancorp.net

More Stories By JCN Newswire

Copyright 2008 JCN Newswire. All rights reserved. Republication or redistribution of JCN Newswire content is expressly prohibited without the prior written consent of JCN Newswire. JCN Newswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
SYS-CON Events announced today that DivvyCloud will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. DivvyCloud software enables organizations to achieve their cloud computing goals by simplifying and automating security, compliance and cost optimization of public and private cloud infrastructure. Using DivvyCloud, customers can leverage programmatic Bots to identify and remediate common cloud problems in rea...
Most DevOps journeys involve several phases of maturity. Research shows that the inflection point where organizations begin to see maximum value is when they implement tight integration deploying their code to their infrastructure. Success at this level is the last barrier to at-will deployment. Storage, for instance, is more capable than where we read and write data. In his session at @DevOpsSummit at 20th Cloud Expo, Josh Atwell, a Developer Advocate for NetApp, will discuss the role and value...
In his opening keynote at 20th Cloud Expo, Michael Maximilien, Research Scientist, Architect, and Engineer at IBM, will motivate why realizing the full potential of the cloud and social data requires artificial intelligence. By mixing Cloud Foundry and the rich set of Watson services, IBM's Bluemix is the best cloud operating system for enterprises today, providing rapid development and deployment of applications that can take advantage of the rich catalog of Watson services to help drive insigh...
SYS-CON Events announced today that Tintri, Inc, a leading provider of enterprise cloud infrastructure, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Tintri offers an enterprise cloud platform built with public cloud-like web services and RESTful APIs. Organizations use Tintri all-flash storage with scale-out and automation as a foundation for their own clouds – to build agile development environments...
Cloud promises the agility required by today’s digital businesses. As organizations adopt cloud based infrastructures and services, their IT resources become increasingly dynamic and hybrid in nature. Managing these require modern IT operations and tools. In his session at 20th Cloud Expo, Raj Sundaram, Senior Principal Product Manager at CA Technologies, will discuss how to modernize your IT operations in order to proactively manage your hybrid cloud and IT environments. He will be sharing bes...
A strange thing is happening along the way to the Internet of Things, namely far too many devices to work with and manage. It has become clear that we'll need much higher efficiency user experiences that can allow us to more easily and scalably work with the thousands of devices that will soon be in each of our lives. Enter the conversational interface revolution, combining bots we can literally talk with, gesture to, and even direct with our thoughts, with embedded artificial intelligence, whic...
Every successful software product evolves from an idea to an enterprise system. Notably, the same way is passed by the product owner's company. In his session at 20th Cloud Expo, Oleg Lola, CEO of MobiDev, will provide a generalized overview of the evolution of a software product, the product owner, the needs that arise at various stages of this process, and the value brought by a software development partner to the product owner as a response to these needs.
SYS-CON Events announced today that Cloudistics, an on-premises cloud computing company, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Cloudistics delivers a complete public cloud experience with composable on-premises infrastructures to medium and large enterprises. Its software-defined technology natively converges network, storage, compute, virtualization, and management into a ...
SYS-CON Events announced today that delaPlex will exhibit at SYS-CON's @ThingsExpo, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. delaPlex pioneered Software Development as a Service (SDaaS), which provides scalable resources to build, test, and deploy software. It’s a fast and more reliable way to develop a new product or expand your in-house team.
SYS-CON Events announced today that Technologic Systems Inc., an embedded systems solutions company, will exhibit at SYS-CON's @ThingsExpo, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Technologic Systems is an embedded systems company with headquarters in Fountain Hills, Arizona. They have been in business for 32 years, helping more than 8,000 OEM customers and building over a hundred COTS products that have never been discontinued. Technologic Systems’ pr...
While some vendors scramble to create and sell you a fancy solution for monitoring your spanking new Amazon Lambdas, hear how you can do it on the cheap using just built-in Java APIs yourself. By exploiting a little-known fact that Lambdas aren’t exactly single threaded, you can effectively identify hot spots in your serverless code. In his session at 20th Cloud Expo, David Martin, Principal Product Owner at CA Technologies, will give a live demonstration and code walkthrough, showing how to ov...
With major technology companies and startups seriously embracing Cloud strategies, now is the perfect time to attend @CloudExpo | @ThingsExpo, June 6-8, 2017, at the Javits Center in New York City, NY and October 31 - November 2, 2017, Santa Clara Convention Center, CA. Learn what is going on, contribute to the discussions, and ensure that your enterprise is on the right path to Digital Transformation.
SYS-CON Events announced today that Tappest will exhibit MooseFS at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. MooseFS is a breakthrough concept in the storage industry. It allows you to secure stored data with either duplication or erasure coding using any server. The newest – 4.0 version of the software enables users to maintain the redundancy level with even 50% less hard drive space required. The software func...
New competitors, disruptive technologies, and growing expectations are pushing every business to both adopt and deliver new digital services. This ‘Digital Transformation’ demands rapid delivery and continuous iteration of new competitive services via multiple channels, which in turn demands new service delivery techniques – including DevOps. In this power panel at @DevOpsSummit 20th Cloud Expo, moderated by DevOps Conference Co-Chair Andi Mann, panelists will examine how DevOps helps to meet th...
SYS-CON Events announced today that EARP will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. "We are a software house, so we perfectly understand challenges that other software houses face in their projects. We can augment a team, that will work with the same standards and processes as our partners' internal teams. Our teams will deliver the same quality within the required time and budget just as our partn...