Annual Reports

 
8-K

 
Other

  • 6-K (Aug 10, 2017)
  • 6-K (Jul 28, 2017)
  • 11-K (Jun 29, 2017)
  • 6-K (Jun 27, 2017)
  • 6-K (Jun 6, 2017)
  • SD (May 30, 2017)
Kyocera 6-K 2012

Documents found in this filing:

  1. 6-K
  2. Graphic
  3. Graphic
Form 6-K
Table of Contents

FORM 6-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D. C. 20549

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16 under

the Securities Exchange Act of 1934

For the month of October 2012

Commission File Number: 1-07952

KYOCERA CORPORATION

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):  ¨


Table of Contents

SIGNATURE

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.

 

KYOCERA CORPORATION

/s/ SHOICHI AOKI

Shoichi Aoki
Director,
Managing Executive Officer and
General Manager of
Corporate Financial and Business Systems
Administration Group

Date: October 31, 2012


Table of Contents

Information furnished on this form:

EXHIBITS

 

Exhibit
    Number    

   

1.

  Consolidated Financial Results of Kyocera Corporation and its Subsidiaries for the Six Months Ended September 30, 2012

2.

  Revision of Consolidated Financial Forecasts for the Year Ending March 31, 2013


Table of Contents

LOGO

Consolidated Financial Results of Kyocera Corporation and its Subsidiaries

for the Six Months Ended September 30, 2012

The consolidated financial information is prepared in accordance with accounting principles generally accepted in the United States of America.

1. Consolidated Financial Results for the Six Months Ended September 30, 2012

 

(1) Consolidated results of operations

          (% of change from previous period)   
      Net sales     Profit from operations     Income before income taxes     Net income attributable to
shareholders of
Kyocera Corporation
 
     Million yen      %     Million yen      %     Million yen      %         Million yen              %      

Six Months ended September 30, 2012

     608,431         0.7        25,891         (61.8     35,732         (52.7     25,371         (45.8

Six Months ended September 30, 2011

     604,268         (5.2     67,763         (17.1     75,565         (15.6     46,768         (24.5

(Note) Comprehensive income:

27,114 million yen for the six months ended September 30, 2012, 17.0% of change from previous year

23,174 million yen for the six months ended September 30, 2011

 

    Net income
attributable

to shareholders of
Kyocera Corporation
per share -Basic
    Net income
attributable

to shareholders of
Kyocera Corporation
per share -Diluted
 
    Yen     Yen  

Six Months ended September 30, 2012

    138.31        138.31   

Six Months ended September 30, 2011

    254.93        254.93   

(2) Consolidated financial condition

 

     Total assets      Total equity      Kyocera Corporation
shareholders’ equity
     Kyocera  Corporation
shareholders’ equity
to total assets
 
     Million yen      Million yen      Million yen      %  

September 30, 2012

     2,034,859         1,548,862         1,489,827         73.2   

March 31, 2012

     1,994,103         1,534,241         1,469,505         73.7   

2. Dividends

 

    Dividends per share  
    End of
first quarter
    End of
second quarter
    End of
third quarter
    Year-end     Annual  
    Yen     Yen     Yen     Yen     Yen  

Year ended March 31, 2012

           60.00               60.00        120.00   

Year ending March 31, 2013

           60.00               60.00        120.00   

(Note)

Year-end dividend per share for the year ending March 31, 2013 is the forecast at date of disclosure of this report.

3. Consolidated Financial Forecasts for the Year Ending March 31, 2013

(% of change from previous year)

     Net sales      Profit from
operations
     Income before
income taxes
     Net income
attributable to
shareholders of

Kyocera Corporation
    Net income
attributable to
shareholders of
Kyocera Corporation
per share
 
     Million yen      %      Million yen      %      Million yen      %      Million yen      %     Yen  

Year ending March 31, 2013

     1,320,000         10.8         100,000         2.4         115,000         0.1         75,000         (5.5     408.85  

Forecast of earnings per share attributable to shareholders of Kyocera Corporation is computed based on the diluted average number of shares outstanding during the six months ended September 30, 2012.

 

1


Table of Contents

(Notes)

(1) Increase or decrease in significant subsidiaries during the six months ended September 30, 2012: None.

(2) Adoption of concise quarterly accounting method or procedure: None.

(3) Changes in accounting policies:

(i) Changes due to adoption of new accounting standards: Please refer to the accompanying “2. OTHER INFORMATION” on page 12.

(ii) Changes due to other than adoption of new accounting standards: None.

(4) Number of shares (common stock):

(i) Number of shares issued:

 

191,309,290 shares at September 30, 2012    191,309,290 shares at March 31, 2012

(ii) Number of treasury stock:

 

7,867,238 shares at September 30, 2012    7,865,370 shares at March 31, 2012

(iii) Average number of shares outstanding:

 

183,442,930 shares for the six months ended September 30, 2012    183,456,999 shares for the six months ended September 30, 2011

Presentation of Situation of Review Procedure

The consolidated financial information included in this report is out of scope of review procedure under the Financial Instruments and Exchange Law of Japan. Review procedure under the Financial Instruments and Exchange Law of Japan has not been completed at the date of disclosure of this report.

Instruction for Forecasts and Other Notes

Cautionary Statement for Forecasts:

With regard to forecasts set forth above, please refer to the accompanying “Forward-Looking Statements” on page 11.

 

2


Table of Contents

Accompanying Information

1. BUSINESS RESULTS, FINANCIAL CONDITION AND PROSPECTS

(1) Business Results for the Six Months Ended September 30, 2012

Economic Situation and Business Environment

During the six months ended September 30, 2012 (“the first half”), although the Japanese economy expanded due primarily to growth in personal consumption and an increase in public investment aimed at driving recovery following the Great East Japan Earthquake, sluggish growth in exports caused by a slowdown in overseas economies heightened future economic uncertainty. The U.S. economy expanded moderately on the back of steady housing investment and personal consumption, while the European economy is in a recessionary phase caused by a prolonged financial crisis. Despite tones of expansion, the Chinese economy continued to register a decelerating growth trend due mainly to weakening exports.

The digital consumer equipment market, which is the principal market for Kyocera Corporation and its consolidated subsidiaries (“Kyocera Group” or “Kyocera”), was slow overall, due primarily to a decline in the production volume of conventional mobile phone handsets, PCs, and flat-screen TVs compared with the six months ended September 30, 2011 (“the previous first half”).

Consolidated Financial Results

Average exchange rates for the first half were ¥79 to the U.S. dollar, marking appreciation of ¥1 (approximately 1%) from ¥80 in the previous first half, and ¥101 to the Euro, marking appreciation of ¥13 (approximately 11%) from ¥114 in the previous first half. As a result, net sales and income before income taxes for the first half were adversely affected by approximately ¥12.5 billion and ¥5.5 billion, respectively, compared with the previous first half.

In addition to the impact of the yen’s appreciation and sluggish growth in component demand for industrial use and digital consumer equipment, overseas sales in the solar energy business and sales by the Telecommunications Equipment Group decreased compared with the previous first half. Nonetheless, a contribution from Optrex Corporation (currently Kyocera Display Corporation), an LCD manufacturer, which became a consolidated subsidiary of Kyocera in February 2012, resulted in consolidated net sales for the first half of ¥608,431 million, up ¥4,163 million, or 0.7%, compared with ¥604,268 million in the previous first half.

Profit decreased compared with the previous first half due primarily to the recording at AVX Corporation, a U.S.-based subsidiary, of a charge of ¥21.3 billion for environmental remediation in New Bedford Harbor, Massachusetts in the U.S. and also to the impact of the yen’s appreciation. As a result, profit from operations decreased by ¥41,872 million, or 61.8%, to ¥25,891 million, compared with ¥67,763 million in the previous first half. Income before income taxes decreased by ¥39,833 million, or 52.7%, to ¥35,732 million, compared with ¥75,565 million in the previous first half, and net income attributable to shareholders of Kyocera Corporation decreased by ¥21,397 million, or 45.8%, to ¥25,371 million, compared with ¥46,768 million in the previous first half.

For details concerning the environmental remediation matter at AVX Corporation, please refer to page 8.

 

     Six months ended September 30,      Increase
(Decrease)
 
     2011      2012     
     Amount      %      Amount      %      Amount     %  
     (Yen in millions, except per share amounts and exchange rates)  

Net sales

   ¥ 604,268         100.0       ¥ 608,431         100.0       ¥ 4,163        0.7   

Profit from operations

     67,763         11.2         25,891         4.3         (41,872     (61.8

Income before income taxes

     75,565         12.5         35,732         5.9         (39,833     (52.7

Net income attributable to shareholders of Kyocera Corporation

     46,768         7.7         25,371         4.2         (21,397     (45.8

Diluted earnings per share attributable to shareholders of Kyocera Corporation

     254.93                 138.31                          

Average US$ exchange rate

     80                 79                          

Average Euro exchange rate

     114                 101                          

 

3


Table of Contents

Consolidated Results by Reporting Segment

1) Fine Ceramic Parts Group

Component demand in the industrial machinery market, particularly for semiconductor fabrication equipment, and in the digital consumer equipment market, was sluggish compared with the previous first half. As a result, sales and operating profit in this reporting segment decreased compared with the previous first half.

2) Semiconductor Parts Group

Sales in this reporting segment increased compared with the previous first half due to growth in demand for ceramic packages for smartphones. Operating profit decreased compared with the previous first half, however, due mainly to stagnant demand for organic packages for server-related markets.

3) Applied Ceramic Products Group

Sales in the cutting tool business increased. Sales in the solar energy business decreased, however, due to a decline in demand in Europe combined with the impact of a decline in product prices worldwide and the yen’s appreciation. As a result, sales and operating profit in this reporting segment decreased compared with the previous first half.

4) Electronic Device Group

Sales in this reporting segment increased compared with the previous first half due primarily to the contribution of Kyocera Display Corporation. An operating loss was recorded, however, due to the recording of the environmental remediation charge at AVX Corporation.

5) Telecommunications Equipment Group

Despite strong sales of smartphones, sales in this reporting segment decreased compared with the previous first half due to a decline in sales volume of conventional mobile phone handsets compared with the previous first half. Operating profit increased compared with the previous first half, however, due to an improvement in product mix reflecting shrinkage in sales of low-priced models for overseas markets.

6) Information Equipment Group

Sales in key overseas markets increased on a local currency basis as a result of new product introductions and efforts to expand sales. Sales and operating profit in this reporting segment decreased compared with the previous first half, however, due to the considerable impact of the yen’s appreciation against the Euro.

7) Others

Sales in this reporting segment decreased compared with the previous first half due mainly to a decline in sales at Kyocera Chemical Corporation. Operating profit increased compared with the previous first half, however, due to cost reduction efforts.

 

4


Table of Contents

Net Sales by Reporting Segment

 

     Six months ended September 30,     Increase
(Decrease)
 
     2011     2012    
     Amount     %     Amount     %     Amount     %  
     (Yen in millions)  

Fine Ceramic Parts Group

   ¥ 41,981        7.0      ¥ 38,399        6.3      ¥ (3,582     (8.5

Semiconductor Parts Group

     81,754        13.5        82,483        13.6        729        0.9   

Applied Ceramic Products Group

     90,712        15.0        85,424        14.0        (5,288     (5.8

Electronic Device Group

     115,830        19.2        140,815        23.1        24,985        21.6   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Components Business

     330,277        54.7        347,121        57.0        16,844        5.1   

Telecommunications Equipment Group

     90,024        14.9        84,333        13.9        (5,691     (6.3

Information Equipment Group

     121,190        20.0        116,787        19.2        (4,403     (3.6
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Equipment Business

     211,214        34.9        201,120        33.1        (10,094     (4.8

Others

     76,186        12.6        74,861        12.3        (1,325     (1.7

Adjustments and eliminations

     (13,409     (2.2     (14,671     (2.4     (1,262       
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net sales

   ¥ 604,268        100.0      ¥ 608,431        100.0      ¥ 4,163        0.7   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating Profit (Loss) by Reporting Segment

 

  

   
     Six months ended September 30,     Increase
(Decrease)
 
     2011     2012    
     Amount     %*     Amount     %*     Amount     %  
     (Yen in millions)  

Fine Ceramic Parts Group

   ¥ 7,268        17.3      ¥ 4,535        11.8      ¥ (2,733     (37.6

Semiconductor Parts Group

     17,873        21.9        13,862        16.8        (4,011     (22.4

Applied Ceramic Products Group

     6,356        7.0        5,288        6.2        (1,068     (16.8

Electronic Device Group

     17,623        15.2        (11,879            (29,502       
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Components Business

     49,120        14.9        11,806        3.4        (37,314     (76.0

Telecommunications Equipment Group

     326        0.4        801        0.9        475        145.7   

Information Equipment Group

     15,828        13.1        11,106        9.5        (4,722     (29.8
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Equipment Business

     16,154        7.6        11,907        5.9        (4,247     (26.3

Others

     3,495        4.6        4,345        5.8        850        24.3   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating profit

     68,769        11.4        28,058        4.6        (40,711     (59.2

Corporate gains and Equity in earnings of affiliates
and unconsolidated subsidiaries

     7,359               8,136               777        10.6   

Adjustments and eliminations

     (563            (462            101          
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

   ¥ 75,565        12.5      ¥ 35,732        5.9      ¥ (39,833     (52.7
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
* % to net sales of each corresponding segment

 

5


Table of Contents

Net Sales by Geographic Area

1) Japan

Sales in Japan for the first half decreased slightly compared with the previous first half due primarily to a decline in sales volume of mobile phone handsets, despite the contribution of Kyocera Display Corporation and an increase in sales in the solar energy business.

2) Asia

Although demand for components for digital consumer equipment stagnated, sales in Asia for the first half increased compared with the previous first half due to the contribution of Kyocera Display Corporation.

3) United States of America

Sales in the United States of America for the first half increased compared with the previous first half due to the contribution of Kyocera Display Corporation, despite generally sluggish component demand.

4) Europe

Sales in Europe for the first half decreased compared with the previous first half due to a decline in demand in the solar energy business, and to a decline in sales by the Information Equipment Group as a result of the yen’s appreciation against the Euro.

5) Others

Sales in Others for the first half decreased compared with the previous first half due mainly to sluggish component demand.

 

     Six months ended September 30,      Increase
(Decrease)
 
     2011      2012     
     Amount      %      Amount      %      Amount     %  
     (Yen in millions)  

Japan

   ¥ 275,957         45.7       ¥ 274,848         45.2       ¥ (1,109     (0.4

Asia

     109,461         18.1         112,735         18.5         3,274        3.0   

United States of America

     85,876         14.2         100,724         16.6         14,848        17.3   

Europe

     103,604         17.1         93,226         15.3         (10,378     (10.0

Others

     29,370         4.9         26,898         4.4         (2,472     (8.4
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

   

 

 

 

Net sales

   ¥ 604,268         100.0       ¥ 608,431         100.0       ¥ 4,163        0.7   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

   

 

 

 

 

6


Table of Contents

(2) Consolidated Financial Condition

Consolidated Cash Flows

Cash and cash equivalents at September 30, 2012 decreased by ¥11,771 million to ¥261,517 million from ¥273,288 million at March 31, 2012.

1) Cash flows from operating activities

Net cash provided by operating activities in the first half increased by ¥8,117 million to ¥60,026 million from ¥51,909 million for the previous first half. This was due mainly to cash flow adjustments related to inventories and other non-current liabilities which exceeded a significant decrease in net income.

2) Cash flows from investing activities

Net cash used in investing activities in the first half increased by ¥11,590 million to ¥52,829 million from ¥41,239 million for the previous first half. This was due mainly to a decrease in withdrawal of time deposits and certificate of deposits as well as a decrease in proceeds from sales and maturities of available-for-sale securities which exceeded a decrease in acquisitions of businesses.

3) Cash flows from financing activities

Net cash used in financing activities in the first half decreased by ¥7,057 million to ¥12,279 million from ¥19,336 million for the previous first half. This was due mainly to decreases in payments of short-term borrowings and long-term debts as well as a decrease in dividends paid.

 

     Six months ended September 30,  
     2011     2012  
     (Yen in millions)  

Cash flows from operating activities

   ¥ 51,909      ¥ 60,026   

Cash flows from investing activities

     (41,239     (52,829

Cash flows from financing activities

     (19,336     (12,279

Effect of exchange rate changes on cash and cash equivalents

     (9,842     (6,689

Net decrease in cash and cash equivalents

     (18,508     (11,771

Cash and cash equivalents at beginning of period

     273,471        273,288   

Cash and cash equivalents at end of period

   ¥ 254,963      ¥ 261,517   

 

7


Table of Contents

(3) AVX Corporation Reached Settlement with the Environmental Protection Agency and Commonwealth of Massachusetts regarding the New Bedford Harbor Superfund Site

On October 10, 2012, AVX Corporation (AVX), a consolidated subsidiary of Kyocera Corporation in the United States, and the Environmental Protection Agency (EPA) announced that they had reached a financial settlement with respect to the EPA’s ongoing clean up of the New Bedford Harbor Superfund site in New Bedford, Massachusetts.

AVX’s involvement in this site arose from the operations of an alleged legal predecessor, Aerovox Corporation, which produced liquid filled capacitors adjacent to the harbor from the late 1930s through the early 1970s. Subsequent owners of the facility are dissolved or in bankruptcy. AVX itself never produced this type of capacitor, nor does it do so today.

Following legal action brought in 1983, AVX reached a settlement agreement with the United States and the Commonwealth of Massachusetts with respect to their claims relating to harbor clean up and alleged natural resource damages in 1992. That agreement was contained in a Consent Decree whereby AVX paid $72 million, including interest, toward the harbor clean up and natural resource damages. That agreement included reopener provisions allowing the EPA to institute new proceedings against AVX, including the right to seek to have AVX perform or pay for additional clean up under certain circumstances.

On April 18, 2012, the EPA issued to AVX a Unilateral Administrative Order directing AVX to perform the remainder of the harbor clean up, invoking the clean up reopeners described above.

After settlement negotiations, including mediation, between the parties, the current agreement with the EPA and the Commonwealth of Massachusetts was reached whereby AVX will pay $366 million, plus interest computed from August 1, 2012, in three installments over a two-year period for use by the EPA and the Commonwealth to complete the clean up of the harbor, and the EPA will withdraw the Unilateral Administrative Order.

The recent agreement is contained in a Supplemental Consent Decree that modifies certain provisions of the 1992 Consent Decree, including elimination of the governments’ right to invoke the clean up reopener provisions in the future. The EPA filed the Supplemental Consent Decree in the United States District Court for the District of Massachusetts on October 10, 2012. A 30-day public comment period is planned. The settlement requires approval by the United States District Court before becoming final.

AVX recorded a charge of ¥21,300 million ($266 million) with respect to this matter for the six months ended September 30, 2012 in addition to a charge of ¥7,900 million ($100 million) recorded in the year ended March 31, 2012. Kyocera included this charge in selling, general and administrative expenses in the consolidated statement of income for the six months ended September 30, 2012.

 

8


Table of Contents

(4) Consolidated Financial Forecasts for the Year Ending March 31, 2013

From the third quarter (October 1 to December 31, 2012) onward, Kyocera expects an expansion of solar energy business in the Japanese market. Kyocera, however, also anticipates heightened future uncertainty in the Chinese market and prolonged stagnation in the European economy.

Based on these expectations, Kyocera has revised its consolidated financial forecasts for the year ending March 31, 2013 (“fiscal 2013”) announced in August 2012, as shown below. Financial forecasts for each reporting segment have also been revised, as shown on page 10.

Kyocera has also revised its forecasts of average exchange rates for the six months ending March 31, 2013 from the projections announced in August, from ¥78 to ¥79 against the U.S. dollar and from ¥95 to ¥101 against the Euro. As a result, full-year forecasts of average exchange rates for fiscal 2013 have been revised to ¥79 to the U.S. dollar and ¥101 to the Euro.

Kyocera will strive to improve performance by increasing sales, and will do so by taking advantage of business opportunities in the growing solar energy market in Japan and by aggressively introducing new products, primarily including smartphones. In addition, Kyocera aims to achieve its consolidated financial forecasts by reducing manufacturing costs and boosting productivity in each business.

 

     Results for
the year ended
March 31, 2012
     Forecasts for the year ending
March 31, 2013 announced on
     Increase
(Decrease)
to Results
 
        August 1, 2012
(Previous)
     October 31, 2012
(Revised)
    
     Amount      %      Amount      %      Amount      %      %  
     (Yen in millions, except exchange rates)  

Net sales

   ¥ 1,190,870         100.0       ¥ 1,370,000         100.0       ¥ 1,320,000         100.0         10.8   

Profit from operations

     97,675         8.2         118,700         8.7         100,000         7.6         2.4   

Income before income taxes

     114,893         9.6         129,900         9.5         115,000         8.7         0.1   

Net income attributable to shareholders of Kyocera Corporation

     79,357         6.7         86,400         6.3         75,000         5.7         (5.5

Average US$ exchange rate

     79                 79                 79                   

Average Euro exchange rate

     109                 97                 101                   

 

9


Table of Contents

Net Sales by Reporting Segment

 

     Results for
the year ended

March 31, 2012
    Forecasts for the year ending
March 31, 2013 announced on
    Increase
(Decrease)

to Results
 
       April 26, 2012
(Previous)
    October 31, 2012
(Revised)
   
     Amount     %     Amount     %     Amount     %     %  
     (Yen in millions)  

Fine Ceramic Parts Group

   ¥ 80,372        6.7      ¥ 90,000        6.6      ¥ 77,000        5.8        (4.2

Semiconductor Parts Group

     153,420        12.9        180,000        13.1        170,000        12.9        10.8   

Applied Ceramic Products Group

     179,784        15.1        220,000        16.1        210,000        15.9        16.8   

Electronic Device Group

     228,721        19.2        310,000        22.6        284,000        21.5        24.2   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Components Business

     642,297        53.9        800,000        58.4        741,000        56.1        15.4   

Telecommunications Equipment Group

     178,669        15.0        180,000        13.1        201,000        15.2        12.5   

Information Equipment Group

     243,457        20.4        259,000        18.9        241,000        18.3        (1.0
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Equipment Business

     422,126        35.4        439,000        32.0        442,000        33.5        4.7   

Others

     151,987        12.8        160,000        11.7        164,000        12.4        7.9   

Adjustments and eliminations

     (25,540     (2.1     (29,000     (2.1     (27,000     (2.0       
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net sales

   ¥ 1,190,870        100.0      ¥ 1,370,000        100.0      ¥ 1,320,000        100.0        10.8   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating Profit by Reporting Segment

 

  

     Results for
the year ended
March 31, 2012
    Forecasts for the year ending
March 31, 2013 announced on
    Increase
(Decrease)

to Results
 
       August 1, 2012
(Previous)
    October 31, 2012
(Revised)
   
     Amount     %*     Amount     %*     Amount     %*     %  
     (Yen in millions)  

Fine Ceramic Parts Group

   ¥ 12,622        15.7      ¥ 14,100        15.7      ¥ 10,300        13.4        (18.4

Semiconductor Parts Group

     27,754        18.1        32,600        18.1        30,000        17.6        8.1   

Applied Ceramic Products Group

     6,459        3.6        17,000        7.7        17,600        8.4        172.5   

Electronic Device Group

     16,036        7.0        5,700        1.8        2,500        0.9        (84.4
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Components Business

     62,871        9.8        69,400        8.7        60,400        8.2        (3.9

Telecommunications Equipment Group

     1,469        0.8        9,000        5.0        6,200        3.1        322.1   

Information Equipment Group

     29,451        12.1        29,500        11.4        21,000        8.7        (28.7
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Equipment Business

     30,920        7.3        38,500        8.8        27,200        6.2        (12.0

Others

     8,054        5.3        10,000        6.3        11,500        7.0        42.8   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating profit

     101,845        8.6        117,900        8.6        99,100        7.5        (2.7

Corporate and others

     13,048               12,000               15,900               21.9   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

   ¥ 114,893        9.6      ¥ 129,900        9.5      ¥ 115,000        8.7        0.1   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

* % to net sales of each corresponding segment

 

10


Table of Contents

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 the following:

 

(1) General economic conditions in our markets, which are primarily Japan, North America, Europe and Asia;

 

(2) Economic, political and legal conditions and unexpected changes therein in countries or areas where we operate;

 

(3) Factors that may affect our exports, including a strong yen, political and economic instability, customs, and inadequate protection of our intellectual property;

 

(4) Fluctuation in exchange rates that may affect the value of our foreign assets or the prices of our products;

 

(5) Intensified competition in product pricing, technological innovation, R&D activities, product quality and speed of delivery;

 

(6) Manufacturing delays or defects resulting from outsourcing or internal manufacturing processes;

 

(7) Shortages and rising costs of electricity affecting our production and sales activities;

 

(8) The possibility that expansion of production capacity and in-process R&D activities may not produce the desired results;

 

(9) The possibility that companies or assets acquired by us may not produce the returns or benefits, or bring in business opportunities, which we expect;

 

(10) Inability to secure skilled employees, particularly engineering and technical personnel;

 

(11) The possibility of divulgence of our trade secrets and infringement of our intellectual property rights;

 

(12) The possibility that we may receive notice of claims of infringement of other parties’ intellectual property rights and claims for royalty payments;

 

(13) Increases in our environmental liability and in costs and expenses required to observe obligations imposed by environmental laws and regulations in Japan and other countries;

 

(14) Unintentional conflict with laws and regulations or newly enacted laws and regulations may limit our business operations;

 

(15) Events that may negatively impact our markets or supply chain, including terrorist acts, plague, war and similar events;

 

(16) Earthquakes and other related natural disasters affecting our operational facilities and our markets or supply chain, as well as social and economic infrastructure;

 

(17) Exposure to difficulties in collection of trade receivables due to customers’ worsening financial condition;

 

(18) The possibility of recognition of impairment losses on investment securities held by us due to declines in their value;

 

(19) The possibility that we may record impairment losses on long-lived assets, goodwill and intangible assets;

 

(20) The possibility that deferred tax assets may not be realized or additional liabilities for unrecognized tax benefits may be incurred; and

 

(21) Changes in accounting principles.

Such risks, uncertainties and other factors may cause our actual results, performance, achievements or financial condition to be materially different from any future results, performance, achievements or financial condition expressed or implied by these forward-looking statements. We undertake no obligation to publicly update any forward-looking statements included in this document.

 

11


Table of Contents

2. OTHER INFORMATION

Changes in accounting policies

Recently Adopted Accounting Standards

On April 1, 2012, Kyocera adopted the Financial Accounting Standards Board (FASB)’s Accounting Standards Update (ASU) No. 2011-05, “Presentation of Comprehensive Income” and ASU No. 2011-12, “Deferral of the Effective Date for Amendments to the Presentation of Reclassifications of Items Out of Accumulated Other Comprehensive Income in Accounting Standards Update No. 2011-05.” ASU No. 2011-05 requires entities to present net income and other comprehensive income in either a single continuous statement or in two separate, but consecutive, statements of net income and other comprehensive income. It eliminates the current option to present the components of other comprehensive income as part of the statement of equity. ASU No. 2011-05 also requires reclassification adjustments and the effect of those adjustments on net income and other comprehensive income to be disclosed on the face of financial statements, however, the effective date of this requirement is deferred indefinitely by ASU No. 2011-12. As these accounting standards are a provision for presentation, the adoption of these accounting standards did not have an impact on Kyocera’s consolidated results of operations, financial condition and cash flows.

On April 1, 2012, Kyocera adopted the FASB’s ASU No. 2011-08, “Testing Goodwill for Impairment.” This accounting standard permits an entity to first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test. An entity is not required to calculate the fair value of a reporting unit unless the entity determines that it is more likely than not that its fair value is less than its carrying amount. As this accounting standard does not actually change how the impairment would be calculated, the adoption of this accounting standard did not have an impact on Kyocera’s consolidated results of operations, financial condition and cash flows.

 

12


Table of Contents

3. CONSOLIDATED FINANCIAL STATEMENTS

(1) Consolidated Balance Sheets (Unaudited)

 

     March 31, 2012      September 30, 2012      Increase
(Decrease)
 
     Amount     %      Amount     %     
     (Yen in millions)  

Current assets:

            

Cash and cash equivalents

   ¥ 273,288         ¥ 261,517         ¥ (11,771

Short-term investments in debt and equity securities

     47,175           51,491           4,316   

Other short-term investments

     158,765           173,565           14,800   

Trade notes receivables

     19,349           20,623           1,274   

Trade accounts receivables

     225,578           225,379           (199

Less allowances for doubtful accounts and sales returns

     (4,583        (4,334        249   

Inventories

     270,336           275,728           5,392   

Advance payments

     68,685           67,075           (1,610

Deferred income taxes

     45,049           40,501           (4,548

Other current assets

     40,961           42,132           1,171   
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Total current assets

     1,144,603        57.4         1,153,677        56.7         9,074   
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Non-current assets:

            

Investments and advances:

            

Long-term investments in debt and equity securities

     372,779           416,063           43,284   

Other long-term investments

     19,098           13,827          (5,271
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Total investments and advances

     391,877        19.6         429,890        21.1         38,013   
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Property, plant and equipment:

            

Land

     60,600           60,067           (533

Buildings

     301,911           299,459           (2,452

Machinery and equipment

     719,146           726,944           7,798   

Construction in progress

     17,035           13,849           (3,186

Less accumulated depreciation

     (838,155        (844,253        (6,098
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Total property, plant and equipment

     260,537        13.1         256,066        12.6         (4,471
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Goodwill

     89,039        4.5         86,495        4.2         (2,544

Intangible assets

     49,653        2.5         45,888        2.3         (3,765

Other assets

     58,394        2.9         62,843        3.1         4,449   
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Total non-current assets

     849,500        42.6         881,182        43.3         31,682   
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Total assets

   ¥ 1,994,103        100.0       ¥ 2,034,859        100.0       ¥ 40,756   
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

 

13


Table of Contents
     March 31, 2012     September 30, 2012     Increase
(Decrease)
 
     Amount     %     Amount     %    
     (Yen in millions)  

Current liabilities:

          

Short-term borrowings

   ¥ 4,062        ¥ 5,986        ¥ 1,924   

Current portion of long-term debt

     10,610          8,930          (1,680

Trade notes and accounts payable

     102,699          107,477          4,778   

Other notes and accounts payable

     60,993          50,790          (10,203

Accrued payroll and bonus

     49,880          50,537          657   

Accrued income taxes

     13,496          16,225          2,729   

Other accrued liabilities

     29,940          34,405          4,465   

Other current liabilities

     29,368          23,557          (5,811
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total current liabilities

     301,048        15.1        297,907        14.6        (3,141
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Non-current liabilities:

          

Long-term debt

     21,197          19,009          (2,188

Accrued pension and severance liabilities

     32,441          30,177          (2,264

Deferred income taxes

     90,179          103,830          13,651   

Other non-current liabilities

     14,997          35,074          20,077   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total non-current liabilities

     158,814        8.0        188,090        9.3        29,276   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities

     459,862        23.1        485,997        23.9        26,135   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Kyocera Corporation shareholders’ equity:

          

Common stock

     115,703          115,703            

Additional paid-in capital

     162,617          162,894          277   

Retained earnings

     1,324,052          1,338,416          14,364   

Accumulated other comprehensive income

     (81,639       (75,946       5,693   

Treasury stock, at cost

     (51,228       (51,240       (12
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Kyocera Corporation shareholders’ equity

     1,469,505        73.7        1,489,827        73.2        20,322   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Noncontrolling interests

     64,736        3.2        59,035        2.9        (5,701
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total equity

     1,534,241        76.9        1,548,862        76.1        14,621   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities and equity

   ¥ 1,994,103        100.0      ¥ 2,034,859        100.0      ¥ 40,756   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Note: Accumulated other comprehensive income is as follows:

          
      March 31, 2012     September 30, 2012     Increase
(Decrease)
 
           (Yen in millions)  

Net unrealized gains on securities

     ¥ 40,735        ¥ 65,756      ¥ 25,021   

Net unrealized losses on derivative financial instruments

       (70       (3 )       67   

Pension adjustments

       (12,290       (12,720     (430

Foreign currency translation adjustments

       (110,014       (128,979     (18,965
  

 

 

   

 

 

   

 

 

 

Total

     ¥ (81,639     ¥ (75,946   ¥ 5,693   

 

14


Table of Contents

(2) Consolidated Statements of Income and Comprehensive Income (Unaudited)

Consolidated Statements of Income

 

    Six months ended September 30,     Increase
(Decrease)
 
    2011     2012    
    Amount     %     Amount     %     Amount     %  
    (Yen in millions and shares in thousands, except per share amounts)  

Net sales

  ¥ 604,268        100.0      ¥ 608,431        100.0      ¥ 4,163        0.7   

Cost of sales

    427,322        70.7        451,798        74.3        24,476        5.7   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

    176,946        29.3        156,633        25.7        (20,313     (11.5

Selling, general and administrative expenses

    109,183        18.1        130,742        21.4        21,559        19.7   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Profit from operations

    67,763        11.2        25,891        4.3        (41,872     (61.8

Other income (expenses):

           

Interest and dividend income

    7,011        1.2        7,305        1.2        294        4.2   

Interest expense

    (1,016     (0.2     (861     (0.2     155          

Foreign currency transaction gains, net

    1,885        0.3        2,350        0.4        465        24.7   

Other, net

    (78     (0.0     1,047        0.2        1,125          
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total other income (expenses)

    7,802        1.3        9,841        1.6        2,039        26.1   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

    75,565        12.5        35,732        5.9        (39,833     (52.7

Income taxes

    24,838        4.1        11,877        2.0        (12,961     (52.2
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income

    50,727        8.4        23,855        3.9        (26,872     (53.0

Net income attributable to noncontrolling interests

    (3,959     (0.7     1,516        0.3        5,475          
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income attributable to shareholders of Kyocera Corporation

  ¥ 46,768        7.7      ¥ 25,371        4.2      ¥ (21,397     (45.8
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Earnings per share:

           

Net income attributable to shareholders of Kyocera Corporation:

           

Basic

  ¥ 254.93        ¥ 138.31         

Diluted

    254.93          138.31         

Average number of shares of common stock outstanding:

           

Basic

    183,457          183,443         

Diluted

    183,457          183,443         

Note:

Basic earnings per share attributable to shareholders of Kyocera Corporation was computed based on the average number of shares of common stock outstanding during each period, and diluted earnings per share attributable to shareholders of Kyocera Corporation was computed based on the diluted average number of shares of stock outstanding during each period.

 

15


Table of Contents

Consolidated Statements of Comprehensive Income

 

     Six months ended September 30,     Increase
(Decrease)
 
     2011     2012    
     Amount     Amount     Amount  
     (Yen in millions)  

Net income

   ¥ 50,727      ¥ 23,855      ¥ (26,872
  

 

 

   

 

 

   

 

 

 

Other comprehensive income (loss)—net of taxes

      

Net unrealized gains on securities

     3,807        25,009        21,202   

Net unrealized gains on derivative financial instruments

     54        100        46   

Pension adjustments

     (488     (404     84   

Foreign currency translation adjustments

     (30,926     (21,446     9,480   
  

 

 

   

 

 

   

 

 

 

Total other comprehensive income (loss)

     (27,553     3,259        30,812   
  

 

 

   

 

 

   

 

 

 

Comprehensive income

     23,174        27,114        3,940   

Comprehensive income attributable to noncontrolling interests

     106        4,123        4,017   
  

 

 

   

 

 

   

 

 

 

Comprehensive income attributable to shareholders of Kyocera Corporation

   ¥ 23,280      ¥ 31,237      ¥ 7,957   
  

 

 

   

 

 

   

 

 

 

(3) Cautionary Statement for Premise of a Going Concern

None.

(4) Cautionary Statement for Significant Changes in Equity

None.

 

16


Table of Contents

October 31, 2012

To All Persons Concerned

 

Name of Company Listed:

   Kyocera Corporation

Name of Representative:

   Tetsuo Kuba, President and Director
  

(Code number: 6971, The First Section of the Tokyo Stock Exchange,

The First Section of the Osaka Securities Exchange)

Person for inquiry:

  

Shoichi Aoki

Director, Managing Executive Officer and General Manager of

Corporate Financial and Business Systems Administration Group

(Tel: +81-75-604-3500)

Revision of Consolidated Financial Forecasts for the Year Ending March 31, 2013

This is to advise you that the consolidated financial forecasts for the year ending March 31, 2013 (“fiscal 2013”), which was announced on August 1, 2012, is revised as set forth below, taking into consideration of the first six months performance of the Company ended September 30, 2012 and the business environment for the second half of fiscal 2013 (October 1, 2012 to March 31, 2013) :

1. Revision of consolidated financial forecasts for fiscal 2013

(Yen in millions, except per share amounts)

     Net sales      Profit from
operations
     Income before
income taxes
     Net income
attributable to
shareholders of
Kyocera
Corporation
     Earnings
per share
attributable to
shareholders of
Kyocera
Corporation
 

Forecast previously published (A)

     1,370,000         118,700         129,900         86,400         470.99   

Revision made (B)

     1,320,000         100,000         115,000         75,000         408.85   

Amount of decrease (B - A)

     -50,000         -18,700         -14,900         -11,400           

Ratio of decrease (%)

     -3.6         -15.8         -11.5         -13.2           

(c.f.) Results for previous fiscal year (Annual Period ended March 31, 2012)

     1,190,870         97,675         114,893         79,357         432.58   

2. Reason for revision

From the third quarter (October 1 to December 31, 2012) onward, Kyocera expects an expansion of solar energy business in the Japanese market. Kyocera, however, also anticipates heightened future uncertainty in the Chinese market and prolonged stagnation in the European economy.

Based on these expectations, Kyocera has revised its consolidated financial forecasts for fiscal 2013 announced in August 2012.

 

1


Table of Contents

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 the following:

 

(1) General economic conditions in our markets, which are primarily Japan, North America, Europe and Asia;

 

(2) Economic, political and legal conditions and unexpected changes therein in countries or areas where we operate;

 

(3) Factors that may affect our exports, including a strong yen, political and economic instability, customs, and inadequate protection of our intellectual property;

 

(4) Fluctuation in exchange rates that may affect the value of our foreign assets or the prices of our products;

 

(5) Intensified competition in product pricing, technological innovation, R&D activities, product quality and speed of delivery;

 

(6) Manufacturing delays or defects resulting from outsourcing or internal manufacturing processes;

 

(7) Shortages and rising costs of electricity affecting our production and sales activities;

 

(8) The possibility that expansion of production capacity and in-process R&D activities may not produce the desired results;

 

(9) The possibility that companies or assets acquired by us may not produce the returns or benefits, or bring in business opportunities, which we expect;

 

(10) Inability to secure skilled employees, particularly engineering and technical personnel;

 

(11) The possibility of divulgence of our trade secrets and infringement of our intellectual property rights;

 

(12) The possibility that we may receive notice of claims of infringement of other parties’ intellectual property rights and claims for royalty payments;

 

(13) Increases in our environmental liability and in costs and expenses required to observe obligations imposed by environmental laws and regulations in Japan and other countries;

 

(14) Unintentional conflict with laws and regulations or newly enacted laws and regulations may limit our business operations;

 

(15) Events that may negatively impact our markets or supply chain, including terrorist acts, plague, war and similar events;

 

(16) Earthquakes and other related natural disasters affecting our operational facilities and our markets or supply chain, as well as social and economic infrastructure;

 

(17) Exposure to difficulties in collection of trade receivables due to customers’ worsening financial condition;

 

(18) The possibility of recognition of impairment losses on investment securities held by us due to declines in their value;

 

(19) The possibility that we may record impairment losses on long-lived assets, goodwill and intangible assets;

 

(20) The possibility that deferred tax assets may not be realized or additional liabilities for unrecognized tax benefits may be incurred; and

 

(21) Changes in accounting principles.

Such risks, uncertainties and other factors may cause our actual results, performance, achievements or financial condition to be materially different from any future results, performance, achievements or financial condition expressed or implied by these forward-looking statements. We undertake no obligation to publicly update any forward-looking statements included in this document.

 

2

Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki