Kyocera 6-K 2005
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For the month of October 2005
Commission File Number: 1-07952
6 Takeda Tobadono-cho, Fushimi-ku,
Kyoto 612-8501, Japan
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
Form 20-F X Form 40-F
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Registration S-T Rule 101(b)(1):
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Registration S-T Rule 101(b)(7):
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes No X
If Yes is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b); 82-
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereto duly authorized.
Date: October 27, 2005
Information furnished on this form:
Results for the Six Months Ended September 30, 2005
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Consolidated Results of Kyocera Corporation and its Subsidiaries
for the Six Months Ended September 30, 2005
The consolidated financial statements are in conformity with accounting principles generally accepted in the United States of America.
Date of the board of directors meeting for the interim consolidated results : October 27, 2005
1. Results for the six months ended September 30, 2005
(1) Consolidated results of operations :
1. Equity in (losses) earnings of affiliates and unconsolidated subsidiaries :
2. Average number of shares outstanding during the period :
(2) Consolidated financial condition :
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(4) Scope of consolidation and application of the equity method :
Number of consolidated subsidiaries : 167
Number of subsidiaries accounted for by the equity method : 2
Number of affiliates accounted for by the equity method : 12
(5) Changes in scope of consolidation and application of the equity method :
2. Consolidated financial forecast for the year ending March 31, 2006 :
Net income per share amounts is computed based on Statement of Financial Accounting Standards (SFAS) No.128.
Forecast of earnings per share is computed based on the diluted average number of shares outstanding during the six months that ended September 30, 2005.
With regard to forecasts set forth above, please refer to the accompanying Forward Looking Statements on page 21.
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Kyocera group consists of Kyocera Corporation, 169 subsidiaries and 12 affiliates.
(Chart of the group companies)
Note: Others include affiliates that are accounted for by the equity method.
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1. Management Goal and Strategies
Kyocera Corporation and its consolidated subsidiaries (Kyocera) strive to be a creative company that continues to grow in 21st century. To achieve this goal, Kyocera promotes high-value-added diversification in accordance with the following criteria and management system.
Value added business is defined as a business generating pre-tax profit ratio of 15% or more. Whether or not to remain in a field is based on a judgment of the existence of an evident need in the relevant markets and the possibility of serving that market need from the current or future attainable technologies.
2) Management System
Kyoceras unique management system allows it to make accurate and swift assessments of individual business conditions to facilitate timely decision-making and maximize synergies among businesses.
By promoting the development of business diversification, Kyocera aims to drive stable and continuous corporate growth in a rapidly changing business environment.
The most important management resource for successful business diversification is technological prowess. Based on this conviction, Kyocera strives to expand and diversify applications through advancement and specialization of its technical expertise, thereby promptly responding to the variety of market needs brought about by rapid changes in society. Kyocera also views sales competency and brand awareness as vital management resources for business expansion, and constantly works to strengthen these elements.
Further, Kyocera will maintain a sound financial position to enable to pursue new business development and market creation.
2. Specific Policies
1) Efficient Resource Management
Kyocera will concentrate management resources into value added fields and its candidates. With the objective of outstripping the competition and becoming leader in each business area, Kyocera will create new markets and technologies through the integration of Group resources, including technical and sales competencies, while utilizing external management resources when it is necessary.
Authorization of decision-making on planning, execution and control of the business is delegated to each Corporate Business Division and Business Division to act as an independent company, in order to speed up management decision-making processes.
A prime emphasis is placed on cash flows, in particular, boosting returns on capital investment, improving inventory control and shortening lead-times.
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2) Emphasizing Consolidated Group Results
Kyocera will increase its profitability of each operating segment on a consolidated basis by strengthening ties between Kyocera Group companies and each Corporate Business Group of Kyocera Corporation, and by maximizing synergies. Kyocera will also employ a global strategy in each business and optimize R&D, production and sales structures.
3) Focusing on Stockholder Value
In order to increase stockholder value (market capitalization), Kyocera seeks to generate a higher return on investment to maximize future profits and cash flows. A stock option plan will be extended to senior managers within Kyocera to further increase value by ensuring their interests in agreement with stockholders and investors.
3. Basic Profit Distribution Policy
Historically, Kyocera has set dividend amounts with the goal of maintaining stable payment of dividends. In the interest of shareholders, however, Kyocera has decided, commencing with the year end dividend relating to the fiscal year ended March 31, 2005 (fiscal 2005), to change this policy to establish a greater linkage between dividend amounts and the Groups performance. In particular, Kyocera will determine dividend amounts based on an overall assessment that will take into consideration capital expenditures necessary for the further development of Kyocera from a medium to long-term perspective, while also aiming for a payout ratio of approximately 20 to 25% on a consolidated basis.
Kyoceras goal of constantly enhancing profitability will ensure greater returns for stockholders to meet their expectations. In order to be a creative company that continues to grow in the 21st century, Kyocera will aggressively strive to cultivate new businesses and markets and to develop new technologies, acquiring external management resources when necessary. Kyocera will maintain a healthy and stable financial position and therefore, internal reserves shall be utilized for this purpose.
Kyocera aims to be a creative company that continues to grow in the 21st century by promoting high-value-added diversification as its core management strategy. To achieve this goal, Kyocera seeks to make its component and equipment businesses highly profitable, and has set the target of a pre-tax profit ratio of over 15% in the medium to long term.
In the components business, Kyocera will conduct strategic investments aimed at boosting profitability through a strengthened business basis. Specifically, investments will be aggressively channeled into businesses focused on large ceramic parts for LCD fabrication equipment, ceramic packages, organic packages, solar energy products, cutting tools and organic EL displays.
In the equipment business, Kyocera seeks to swiftly raise profitability in the two business areas of telecommunications equipment and optical equipment. In the telecommunications equipment business, Kyocera completed structural reforms that saw it outsource the manufacture of mobile phone handsets of a U.S. subsidiary in the first half in order to considerably transform cost structure and reduce manufacturing costs. In the optical equipment business, Kyocera proceeded its structural reforms and began concentrating on the optical components business, and in particular, on camera modules for mobile phones. From the second half onward, we will strive to expand sales and profits by maximizing the positive effects of structural reforms implemented in recent times.
5. Corporate Governance Guidelines and Policy Implementation
1) Basic Guidelines concerning Corporate Governance
Kyoceras corporate governance is designed to ensure extremely sound, transparent and effective management and thereby best protect the interests of stockholders. No discussion of corporate governance at Kyocera would be complete without first looking at the Kyocera Philosophy, which provides both the moral and intellectual backbone for Kyoceras management style.
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The Kyocera Philosophy was created by Kyoceras founder, as he codified his views on the subject of business management. He was convinced that one of the most important points for the management of the company was that the Kyocera Philosophy should apply to the actions of all who work for the enterprisedirectors, managers and employees alike. The Kyocera Philosophy embodies many principles, covering subjects ranging from the fundamentals of business management to the specifics of day-to-day operations. Its principles demand impartial, fair and totally transparent management, while emphasizing the importance of maximizing profits by eliminating waste, minimizing expenses and maximizing revenues. The Kyocera Philosophy demands particularly high standards of ethical behavior from all leaders within the company. Managers are never allowed to put their personal interests ahead of the companys interests. From the beginning, Kyocera has been guided by principles that have naturally worked toward achieving the corporate governance goals mentioned above.
Kyoceras management believes that the standards and criteria applied by all members of the enterprise hold the key to achieving the aims of corporate governance. At its core, the Kyocera Philosophy exhorts workers to use the criterion of what they judge the right thing to do as human being as the basis for guiding all actions and decisions. Because of their universal nature, the principles of the Kyocera Philosophy are as applicable to Kyoceras worldwide operations as they are to any other business.
During fiscal 2005, Kyocera managers and employees in Japan attended an aggregated total of 49,998 training and education sessions designed to promote deeper understanding of the Kyocera Philosophy. The Kyocera Philosophy also formed an important part of our orientation efforts for new recruits and on-the-job training programs. A total of 1,011 managers at Kyocera subsidiaries outside Japan received training along these lines in fiscal 2005.
Kyocera emphasizes a so-called amoeba management system in which operations are managed at the level of small groups. This system is believed to reflect the Kyocera Philosophy best, and is regarded as the source of Kyoceras strength in creating highly motivated management by getting all employees involved in the daily operation of the company. Explicit delegation of responsibilities to small groups has the added advantage of promoting transparency in all details of management, while creating a system that promotes efficiency. In Kyoceras experience, these processes maintain sound business management practices, which in turn translate into greater benefits for all stakeholders.
To make these principles work in practice, a system of checks and balances is also crucial. Kyocera has adopted the corporate governance model outlined in the Commercial Code of Japan that is based on the use of corporate auditors. In this system, the board of corporate auditors oversees the management decisions of the board of directors and policy execution by executive officers. In addition, to ensure a systematic and sustained approach to compliance management throughout Kyocera, Kyocera established a Risk Management Department.
By respecting the Kyocera Philosophy as a corporate culture and completing internal management control system apart from management aspect, Kyocera aims to achieve solid corporate governance as our stockholders expect.
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2) Corporate Governance Policy Implementation
a) Corporate Governance System
The Kyocera Management Research Institute was established so that the principles and values contained in the Kyocera Philosophy could be shared and further understood among Kyocera worldwide. The Philosophy education programs for managers and executives take place in the training center in the Institute constantly and on a large scale.
Kyocera introduced an executive officer system in June 2003 to increase management efficiency. At the same time, the number of members on the Board of Directors was reduced from 26 to 13 thereby promoting more effective discussions on important issues related to management and speeding up decision-making. Kyocera also employs a corporate auditor system. Of the five corporate auditors, three are appointed externally.
Kyocera makes routine audits to ensure that business operations throughout the Group comply with all pertinent regulations and internal rules. An Internal Audit Division has been set up to report the findings of the audit to all directors and corporate auditors. Furthermore, as a company listed on the New York Stock Exchange (NYSE), Kyocera is promoting the establishment of an internal control system in accordance with Section 404 of the U.S. corporate reform law (Sarbanes-Oxley Act), which will be applied from fiscal 2007. In May 2005, Kyocera set up Global Audit Division which deals with the requirements of the Sarbanes-Oxley Act of 2002 in addition to Internal Audit Division. Kyocera will develop its internal control system which underpins the foundations of corporate governance and strengthen the internal management compliances of Kyocera.
Kyocera has also created a risk management system based on the following key objectives: to predict potential risks in corporate activities as a preventative measure; to ensure risk contingencies that minimize physical loss (human, material and financial) and a decline in brand image if the need arises; and, to help realize philosophy and policy by making management more stable and maintaining and enhancing societal trust. Kyoceras risk management system connects a vertical structure of risk managers in each business division, led by the Risk Management Department at Headquarters, and a horizontal structure of risk management departments in each business location. It also enhances compliance management by promoting the appropriate observance of laws and regulations, high moral standards in the workplace and the implementation of audits, including legal audits. As part of the system, an Emergency Management Department has been established as a complement to the crisis management manual to ensure appropriate actions are taken to limit damage in times of crises.
Kyocera conducts corporate auditors meetings in order to determine auditing standard, auditing policies, auditing plan and to delineate the work responsibilities of corporate auditors. In addition, auditors attend monthly Board of Directors meetings as well as other important meetings, giving them the opportunity to listen firsthand to the Business Execution Department and gain an understanding of the progress of business execution. Through this, they can effectively review the extent to which a directors duties are being fulfilled. Furthermore, each auditor periodically receives reports from the Internal Audit Division.
Kyocera has contracted Chuo Aoyama Audit Corporation to act as the auditor responsible for its audits, until now, under Japanese Commercial Code and Stock Exchange Act. The audit system in fiscal 2006 is as follows.
Names of the certified public accountants to audit and terms of auditing until fiscal 2006
Members to assist auditing
b) Outline of Vested Interest with External Auditors
Of Kyoceras three external auditors, one is Kyoceras corporate lawyer.
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Business Results and Financial Condition
1. Business Results for the Six Months Ended September 30, 2005
(1) Economic Situation and Business Environment
The Japanese economy showed steady signs of recovery during the six months ended September 30, 2005 (the first half), especially in terms of private sector demand, spurred primarily by increasing private capital investment and moderate revitalization in personal spending due to an increase in employees income. Overseas, the economy lacked strength in Europe, while the U.S. economy continued to expand through personal consumption and healthy growth was manifest in the Asian economy.
In the electronics industry, which is a key market for Kyocera, despite a moderate rebound in production activities, which had slowed since last summer, the decreasing market price for digital consumer equipment caused component prices to fall in the components business. As a result, the business situation continues to be tough.
(2) Operating Highlights
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(3) Consolidated Financial Results
Consolidated net sales and profits in the first half decreased compared with the six months ended September 30, 2004 (the previous first half).
Although Applied Ceramic Products Group, which includes solar energy products and cutting tools, posted an increase in sales and profits compared with the previous first half due to burgeoning demand, component prices dropped significantly while component demand for electronic equipment did not recovered rapidly. Consequently, overall sales and profits in the components business fell short of levels recorded in the previous first half. Sales and profits in the equipment business declined compared with the previous first half mainly because KWC was in the process of executing structural reforms, in Telecommunications Equipment Group.
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Consolidated sales and operating profit result by reporting segment is as follows,
Kyocera had previously classified its operations into four reporting segments: Fine Ceramics Group, Electronic Device Group, Equipment Group and Others. Kyocera changed its segmentation to make clarify the nature of each operations and to make its management structure more efficiently. Kyocera currently has the following eight reporting segments: Fine Ceramic Parts Group, Semiconductor Parts Group, Applied Ceramic Products Group, Electronic Device Group, Telecommunications Equipment Group, Information Equipment Group, Optical Equipment Group and Others. Consolidated results for the six months ended September 30, 2004 have been reclassified accordingly.
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1) Fine Ceramic Parts Group
There was a drop in demand in the key product area of ceramic parts for semiconductor fabrication equipment due to delayed recovery of demand. In addition, sapphire products for LCD projectors were negatively impacted by a decline in unit prices caused by intensifying market competition. As a result, sales and operating profit in this segment decreased compared with the previous first half.
2) Semiconductor Parts Group
Slower recovery of demand for components for digital consumer equipment led to lower revenue from the ceramic package business, and consequently, sales and operating profit in this segment decreased compared with the previous first half. Nonetheless, in the organic package business, demand of packages and substrates for servers and digital consumer equipment grew steadily.
3) Applied Ceramic Products Group
Sales and profits in this segment increased compared with the previous first half. Sales of solar energy products increased significantly due to rising demand, particularly in Europe. Meanwhile, sales of cutting tools also grew due to healthy production activity in the automobile industry. In the medical materials business, Japan Medical Materials Corporation, established in fiscal 2005, has fully contributed to sales in this segment since the start of fiscal 2006.
4) Electronic Device Group
Despite steady growth in sales of thermal printheads, sales of other core products such as crystal-related components, ceramic capacitors and connectors were severely impacted by falling component prices. As a result, sales and profits in this segment decreased compared with the previous first half, when performance was strong.
5) Telecommunications Equipment Group
Sales and profits in this segment decreased compared with the previous first half. Although sales of mobile phones in the domestic market increased due to the launch of new models, revenues were down overseas as KWC was in the process of executing structural reforms. In the PHS-related business, sales of PHS handsets and base stations for the Chinese market decreased. The introduction of flat rate voice charges in Japan, however, has driven steady growth in subscriber numbers, and as a result, sales of PHS handsets and base stations in the domestic market increased.
6) Information Equipment Group
Sales in this segment increased compared with the previous first half as Kyocera enjoyed steady growth in sales of page printers and digital multifunctional products in Europe and the United States. Operating profit declined, however, due to the impact of a decline in unit prices and increasing development costs for new products, notably color models scheduled for release from the second half of the year ending March 31, 2006 (the second half).
7) Optical Equipment Group
Sales in this segment decreased compared with the previous first half owing to the downsizing of the camera equipment business. With regard to operating profit, loss from the camera equipment business was kept to a minimum owing to the positive effects of structural reforms.
Kyocera Communication Systems Co., Ltd. (KCCS) posted solid growth from its telecommunications engineering business. And sales of one of KCCSs subsidiaries which was newly consolidated into Kyocera Group during the fiscal 2005, were included from the start of fiscal 2006. Consequently, sales in this segment increased. Operating profit in this segment decreased compared with the previous first half due mainly to the impact of a decline in sales and profits at Kyocera Chemical Corporation.
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(5) Consolidated Orders and Production by Reporting Segment
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(6) Consolidated Sales by Geographic Area
Sales in Japan decreased compared with the previous first half, because sales in components business for digital consumer equipment stayed low. In addition, sales of Optical Equipment Group decreased due to the reduction of camera equipment business. On the other hand, sales of telecommunications engineering business and solar energy business increased.
Although sales of Information Equipment Group increased, sales of mobile handsets declined. Consequently, the sales decreased compared to the previous first half.
Sales in components business and Telecommunications Equipment Group decreased.
Sales increased compared with the previous first half because demand for solar energy products was strong.
Sales decreased compared with the previous first half due mainly to decreased sales of mobile handsets in Latin America.
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2. Cash Flow
Cash and cash equivalent at September 30, 2005 decreased by ¥56,707 million to ¥253,885 million compared with at March 31, 2005.
(1) Cash flow from operating activities
Net cash provided by operating activities for the first half decreased by ¥17,119 million to ¥71,772 million from the previous first half of ¥88,891 million. This was due mainly to a decrease in net income by ¥18,335 million to ¥24,214 million compared with the previous first half.
(2) Cash flow from investing activities
Net cash used in investing activities in the first half decreased by ¥21,086 million to ¥123,091 million from the previous first half of ¥144,177 million. This was due mainly to increases in proceeds from sales of investment securities and an investment in an affiliate, which exceeded increases in payments for purchases of investment securities and property, plant, equipment and intangible assets.
(3) Cash flow from financing activities
Net cash used in financing activities for the first half decreased by ¥43,925 million to ¥9,657 million from the previous first half of ¥53,582 million. This was due mainly to a significant decrease in payments of long-term debt.
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3. Capital Expenditures and Depreciation
In this first half, Kyocera made aggressive capital expenditures including the establishment of new production bases and the expansion of production capability in order to expand organic packages, solar energy products and so on in the future. Due to these factors, capital expenditures for the first half increased significantly compared with the previous first half.
4. Non-Consolidated Financial Results
5. Business Risk
Please see Forward-Looking Statements on page 21 for details of business risk.
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1. Consolidated Forecasts for the Year Ending March 31, 2006 (Announced on October 27, 2005)
Kyocera has made the following revisions to forecasts for the fiscal year ending March 31, 2006 (April 1, 2005 to March 31, 2006), which was announced on April 27, 2005.
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< Consolidated Forecasts by Reporting Segments >
Consolidated forecasts by reporting segments are revised, accordingly, as follows,
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With regard to the business environment in the second half, component demand is projected to increase compared with the first half in line with expected new digital consumer products for the Christmas season. Meanwhile, the decline in component prices is expected to ease somewhat compared with the first half due to an improved demand-supply situation. Accordingly, Kyocera expects to be able to increase profitability in the components business in the second half compared with the first half. The equipment business is forecast to have improved profitability compared with the first half due to sales growth in PHS-related products, information equipment, and particularly mobile handsets overseas.
Nevertheless, component prices on the whole are projected to decline more than previous estimates, on a full-year basis. Also, sales of mobile handsets and PHS-related products overseas are expected to fall short of previous estimates. As a result, consolidated net sales are forecast to fall below previous estimates by ¥40 billion. This in turn means that profits are also forecast to drop short of previous estimates.
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2. Non-Consolidated Forecasts for the Year Ending March 31, 2006 (Announced on October 27, 2005)
Note: Forward-Looking Statements
Certain of the statements made in this document are forward-looking statements (within the meaning of Section 21E of the U.S. Securities and Exchange Act of 1934), which are based on our current assumptions and beliefs in light of the information currently available to us. These forward-looking statements involve known and unknown risks, uncertainties and other factors. Such risks, uncertainties and other factors include, but are not limited to: general economic conditions in our markets, which are primarily Japan, North America, Europe, and Asia, including in particular China; changes in exchange rates, particularly between the yen and the U.S. dollar and euro, respectively, in which we make significant sales; our ability to launch innovative products and otherwise meet the advancing technical requirements of our customers, particularly in the highly competitive markets for ceramics, semiconductor parts and electronic components; and the extent and pace of future growth or contraction in information technology-related markets around the world, including those for communications and personal computers; fluctuations in the value of securities and other assets held by us and changes in accounting principles; business performance of other companies with which we maintain business alliances; laws and regulations relating to the taxation, and to manufacturing and trade; events that may impact negatively on our markets or supply chain, including terrorist acts and outbreaks of diseases; and the occurrence of natural disasters, such as earthquakes, in locations where our manufacturing and other key business facilities are located. Such risks, uncertainties and other factors may cause our actual results, performance, achievements or financial position to be materially different from any future results, performance, achievements or financial position expressed or implied by these forward-looking statements. We undertake no obligation to publicly update any forward-looking statements included in this document.
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CONSOLIDATED BALANCE SHEETS
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CONSOLIDATED STATEMENTS OF INCOME
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CONSOLIDATED STATEMENTS OF STOCKHOLDERS EQUITY
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CONSOLIDATED STATEMENTS OF CASH FLOWS
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SUPPLEMENTAL CASH FLOW INFORMATION
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1. Operating segments :
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2. Geographic segments (Sales and Operating profits by geographic area) :
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3. Geographic segments (Sales by region) :
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INVESTMENTS IN DEBT AND EQUITY SECURITIES
Available-for-sale securities are recorded at fair value, with unrealized gains and losses excluded from income and reported in other comprehensive income, net of tax. Held-to-maturity securities are recorded at amortized cost.
Investments in debt and equity securities as of September 30, 2005, March 31, 2005 and September 30, 2004, included in short-term investments (current assets) and in securities and other investments (non-current assets) are summarized as follows :
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BASIS OF PREPARATION OF CONSOLIDATED FINANCIAL STATEMENTS
1. Scope of consolidation and application of the equity method :
2. Changes in scope of consolidation and application of the equity method :
3. Summary of significant accounting policies
Kyoceras consolidated financial statements are in conformity with accounting principles generally accepted in the United States of America.
(1) Valuation of inventories
Finished goods and work in process are mainly stated at the lower cost of market, the cost being determined by the average method. All other inventories are mainly stated at the lower cost of market, the cost being determined by the first-in, first-out method.
(2) Valuation of securities
Kyocera adopts Statement of Financial Accounting Standards No.115, Accounting for Certain Investments in Debt and Equity Securities.
Held-to-maturity securities are recorded at amortized cost.
Available-for-sales securities are recorded at fair value, with unrealized gains and losses excluded from income and recorded in other comprehensive income, net of tax.
(3) Depreciation method of Property, Plant and Equipment
Depreciation is computed at rates based on the estimated useful lives of assets using the declining balance method.
(4) Goodwill and other intangible assets
Kyocera adopts Statement of Financial Accounting Standards No. 142, Goodwill and Other Intangible Assets.
Goodwill and intangible assets with indefinite useful lives are not amortized, but instead are tested for impairment at least annually.
Intangible assets with definite useful lives are amortized over their respective estimate useful lives.
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( 5 ) Accounting for allowance and accruals
Allowance for doubtful accounts :
Allowances for doubtful accounts are provided at an estimated amount of the past actual ratio of losses on bad debts.
Certain allowances are provided for estimated uncollectible receivables.
Accrued pension and severance cost:
Kyocera adopts Statement of Financial Accounting Standards No. 87, Employers Accounting for Pensions, pension and severence cost is accrued based on the projected benefit obligations and the fair value of plan assets at the balance sheet date. If the accumulated benefit obligation (i.e., obligations deducting an effect of future compensation levels from projected benefit obligations) exceeds the fair value of plan assets, a minimum pension liability equal to this difference is reflected in the consolidated balance sheets by recognizing an additional minimum pension liability. Unrecognized prior service cost is amortized by the straight-line method over the average remaining service period of employees. Unrecognized actuarial loss is recognized by amortizing a portion in excess of a corridor (i.e., 10% of the greater of the projected benefit obligations or the fair value of plan assets) by the straight-line method over the average remaining service period of employees.
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Non-Consolidated Results of Kyocera Corporation (parent company)
for the Six Months Ended September 30, 2005
The interim non-consolidated financial statements are in conformity with accounting principles generally accepted in Japan.
Date of the board of directors meeting for the interim results : October 27, 2005
1. Results for the six months ended September 30, 2005 :
(1) Results of operations :
(2) Dividend information :
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(3) Financial Condition :
2. Forecast for the year ending March 31, 2006 :
With regard to forecasts set forth above, please refer to the accompanying Forward Looking Statements on page 21.
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