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
"Outscale was founded in 2010, is based in France, is a strategic partner to Dassault Systémes and has done quite a bit of work with divisions of Dassault," explained Jackie Funk, Digital Marketing exec at Outscale, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"We were founded in 2003 and the way we were founded was about good backup and good disaster recovery for our clients, and for the last 20 years we've been pretty consistent with that," noted Marc Malafronte, Territory Manager at StorageCraft, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
Kubernetes is an open source system for automating deployment, scaling, and management of containerized applications. Kubernetes was originally built by Google, leveraging years of experience with managing container workloads, and is now a Cloud Native Compute Foundation (CNCF) project. Kubernetes has been widely adopted by the community, supported on all major public and private cloud providers, and is gaining rapid adoption in enterprises. However, Kubernetes may seem intimidating and complex ...
While the focus and objectives of IoT initiatives are many and diverse, they all share a few common attributes, and one of those is the network. Commonly, that network includes the Internet, over which there isn't any real control for performance and availability. Or is there? The current state of the art for Big Data analytics, as applied to network telemetry, offers new opportunities for improving and assuring operational integrity. In his session at @ThingsExpo, Jim Frey, Vice President of S...
"DivvyCloud as a company set out to help customers automate solutions to the most common cloud problems," noted Jeremy Snyder, VP of Business Development at DivvyCloud, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"We focus on SAP workloads because they are among the most powerful but somewhat challenging workloads out there to take into public cloud," explained Swen Conrad, CEO of Ocean9, Inc., in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"As we've gone out into the public cloud we've seen that over time we may have lost a few things - we've lost control, we've given up cost to a certain extent, and then security, flexibility," explained Steve Conner, VP of Sales at Cloudistics,in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"We provide IoT solutions. We provide the most compatible solutions for many applications. Our solutions are industry agnostic and also protocol agnostic," explained Richard Han, Head of Sales and Marketing and Engineering at Systena America, in this SYS-CON.tv interview at @ThingsExpo, held June 6-8, 2017, at the Javits Center in New York City, NY.
DX World EXPO, LLC., a Lighthouse Point, Florida-based startup trade show producer and the creator of "DXWorldEXPO® - Digital Transformation Conference & Expo" has announced its executive management team. The team is headed by Levent Selamoglu, who has been named CEO. "Now is the time for a truly global DX event, to bring together the leading minds from the technology world in a conversation about Digital Transformation," he said in making the announcement.
"I think DevOps is now a rambunctious teenager – it’s starting to get a mind of its own, wanting to get its own things but it still needs some adult supervision," explained Thomas Hooker, VP of marketing at CollabNet, in this SYS-CON.tv interview at DevOps Summit at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"We are still a relatively small software house and we are focusing on certain industries like FinTech, med tech, energy and utilities. We help our customers with their digital transformation," noted Piotr Stawinski, Founder and CEO of EARP Integration, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"We've been engaging with a lot of customers including Panasonic, we've been involved with Cisco and now we're working with the U.S. government - the Department of Homeland Security," explained Peter Jung, Chief Product Officer at Pulzze Systems, in this SYS-CON.tv interview at @ThingsExpo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"We're here to tell the world about our cloud-scale infrastructure that we have at Juniper combined with the world-class security that we put into the cloud," explained Lisa Guess, VP of Systems Engineering at Juniper Networks, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"Peak 10 is a hybrid infrastructure provider across the nation. We are in the thick of things when it comes to hybrid IT," explained , Chief Technology Officer at Peak 10, in this SYS-CON.tv interview at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.
"I will be talking about ChatOps and ChatOps as a way to solve some problems in the DevOps space," explained Himanshu Chhetri, CTO of Addteq, in this SYS-CON.tv interview at @DevOpsSummit at 20th Cloud Expo, held June 6-8, 2017, at the Javits Center in New York City, NY.