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 2014

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 July 2014

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 Accounting Group

Date: July 31, 2014


Table of Contents

Information furnished on this form:

EXHIBITS

 

Exhibit
    Number    

   

1.

  Consolidated Financial Results of Kyocera Corporation and its Subsidiaries for the Three Months Ended June 30, 2014


Table of Contents

LOGO

Consolidated Financial Results of Kyocera Corporation and its Subsidiaries

for the Three Months Ended June 30, 2014

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 Three Months Ended June 30, 2014

 

(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              %      

Three Months ended June 30, 2014

     334,714         0.9         18,782         (26.0     30,680         (11.9     19,467         (14.1

Three Months ended June 30, 2013

     331,655         11.4         25,398                34,813         636.5        22,651         244.8   

(Note) Comprehensive income:

31,000 million yen for the three months ended June 30, 2014, (78.4)% of change from previous period

143,687 million yen for the three months ended June 30, 2013

 

     Net income
attributable to
shareholders of

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

Kyocera Corporation
per share - Diluted
 
     Yen      Yen  

Three Months ended June 30, 2014

     53.06         53.06   

Three Months ended June 30, 2013

     61.74         61.74   

Kyocera Corporation undertook a stock split at the ratio of two-for-one of all common stock on October 1, 2013. “Net income attributable to shareholders of Kyocera Corporation per share-Basic” and “Net income attributable to shareholders of Kyocera Corporation per share-Diluted” during the three months ended June 30, 2013 are calculated under the assumption that the stock split had been undertaken at the beginning of the year ended March 31, 2014 in accordance with the standard related to earnings per share.

(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      %  

June 30, 2014

     2,633,602         1,999,276         1,925,976         73.1   

March 31, 2014

     2,636,704         1,987,226         1,910,083         72.5   

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, 2014

           80.00               40.00           

Year ending March 31, 2015

                                 80.00   

(Note) “End of second quarter” dividend per share of 80.00 yen for the year ended March 31, 2014 was calculated based on the number of shares before the stock split undertaken on October 1, 2013. Dividends per share for the year ending March 31, 2015 are forecasted to be 80.00 yen on an annual basis.

 

1


Table of Contents

3. Consolidated Financial Forecasts for the Year Ending March 31, 2015

 

           (% 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, 2015

     1,580,000         9.2         135,000         12.0         158,000         8.0         97,000         9.3         264.40   

(Note) Forecast of earnings per share attributable to shareholders of Kyocera Corporation is calculated based on the diluted average number of shares outstanding during the three months ended June 30, 2014.

(Notes)

(1) Increase or decrease in significant subsidiaries during the three months ended June 30, 2014: 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 10.

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

(4) Number of shares (common stock):

(i) Number of shares issued:

 

377,618,580 shares at June 30, 2014

   377,618,580 shares at March 31, 2014

(ii) Number of treasury stock:

 

10,752,498 shares at June 30, 2014

   10,751,865 shares at March 31, 2014

(iii) Average number of shares outstanding:

 

366,866,223 shares for the three months ended June 30, 2014

  

366,877,455 shares for the three months ended June 30, 2013

“Average number of shares outstanding” for the three months ended June 30, 2013 are calculated under the assumption that the stock split undertaken on October 1, 2013 had been undertaken at the beginning of the year ended March 31, 2014.

Presentation of Situation of Review Procedure

The consolidated financial information included in this report is out of scope of the review procedure under the Financial Instruments and Exchange Law of Japan. The 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 9.

 

2


Table of Contents

Accompanying Information

1. BUSINESS RESULTS, FINANCIAL CONDITION AND PROSPECTS

(1) Business Results for the Three Months Ended June 30, 2014

Economic Situation and Business Environment

During the three months ended June 30, 2014 (“the first quarter”) the Japanese economy showed moderate recovery due primarily to an increase in private capital investment which was more than sufficient to offset a decrease in personal consumption caused by the impact of an increase in the consumption tax rate. Overseas, the U.S. economy expanded on the back of increases in personal consumption and private investment. The Chinese economy also continued to grow. In addition, the European economy showed signs of recovery.

In the digital consumer equipment market, which is the principal market for Kyocera Corporation and its consolidated subsidiaries (“Kyocera Group” or “Kyocera”), demand for conventional mobile phones declined while demand for smartphones increased. As a result, shipment volume for mobile phone handsets overall remained roughly unchanged compared with the three months ended June 30, 2013 (“the previous first quarter”). The growth of the solar energy market in Japan slowed due mainly to the conclusion of government subsidies supporting residential-use solar power generation systems and the impact of the increase in the consumption tax rate. On the other hand, sales volume in the automotive market increased steadily, particularly in China and the United States.

Consolidated Financial Results

Sales in the Information Equipment Group and the Fine Ceramic Parts Group increased in the first quarter. In addition, sales in the Semiconductor Parts Group also increased due to a contribution from a subsidiary acquired by the Kyocera Group in the previous fiscal year. On the other hand, sales in the Applied Ceramic Products Group, and the Electronic Device Group which undertook structural reforms in the previous fiscal year, decreased in the first quarter compared with the previous first quarter. As a result, consolidated net sales for the first quarter increased by ¥3,059 million, or 0.9%, to ¥334,714 million, compared with ¥331,655 million for the previous first quarter.

Profit for the first quarter decreased compared with the previous first quarter due to decreased profit in the Applied Ceramic Products Group, the Semiconductor Parts Group and the Telecommunications Equipment Group more than sufficient to offset an increase in profit in the Information Equipment Group and the Electronic Device Group. Profit from operations decreased by ¥6,616 million, or 26.0%, to ¥18,782 million, compared with ¥25,398 million for the previous first quarter. Income before income taxes decreased by ¥4,133 million, or 11.9%, to ¥30,680 million, compared with ¥34,813 million for the previous first quarter. Net income attributable to shareholders of Kyocera Corporation for the first quarter decreased by ¥3,184 million, or 14.1%, to ¥19,467 million, compared with ¥22,651 million for the previous first quarter.

Average exchange rates for the first quarter were ¥102 to the U.S. dollar, marking depreciation of ¥3 (approximately 3%) from ¥99 for the previous first quarter, and ¥140 to the Euro, marking depreciation of ¥11 (approximately 9%) from ¥129 for the previous first quarter.

 

     Three months ended June 30,      Increase
(Decrease)
 
     2013      2014     
     Amount      %      Amount      %      Amount     %  
     (Yen in millions, except exchange rates)  

Net sales

   ¥ 331,655         100.0       ¥ 334,714         100.0       ¥ 3,059        0.9   

Profit from operations

     25,398         7.7         18,782         5.6         (6,616     (26.0

Income before income taxes

     34,813         10.5         30,680         9.2         (4,133     (11.9

Net income attributable to shareholders of Kyocera Corporation

     22,651         6.8         19,467         5.8         (3,184     (14.1

Average US$ exchange rate

     99                 102                          

Average Euro exchange rate

     129                 140                          

 

3


Table of Contents

Consolidated Results by Reporting Segment

1) Fine Ceramic Parts Group

Sales and operating profit in this reporting segment increased compared with the previous first quarter due to an increase in sales of components for industrial machinery such as components for semiconductor processing equipment and of automotive components such as camera modules.

2) Semiconductor Parts Group

Sales in this reporting segment increased compared with the previous first quarter due primarily to a sales contribution from Kyocera Circuit Solutions, Inc., which became a consolidated subsidiary of Kyocera in October 2013. On the other hand, operating profit in this reporting segment decreased compared with the previous first quarter as a result of expected sales growth of certain organic packages being postponed to the three months ending September 30, 2014 (“the second quarter”) onwards and the impact of price erosion.

3) Applied Ceramic Products Group

Sales in the cutting tool business increased steadily, primarily for the overseas automotive industry. However, sales in the solar energy business decreased due to a decline in the prices of solar modules, as well as to a concentration of sales from large-scale solar projects for the public and commercial sectors coming in the second quarter onwards. As a result, sales and operating profit in this reporting segment decreased compared with the previous first quarter.

4) Electronic Device Group

Sales in this reporting segment decreased compared with the previous first quarter due to the impact of structural reforms implemented in the previous fiscal year to downsize certain operations in the segment. Operating profit, however, increased compared with the previous first quarter due primarily to the effects of such structural reforms and cost reductions.

5) Telecommunications Equipment Group

Sales in this reporting segment remained unchanged. Operating loss was recorded due primarily to delay in the timing of shipment of certain new products, which shifted to the second quarter.

6) Information Equipment Group

Sales volume of multifunctional products grew due to new product launches and activities to cultivate the markets and to expand sales. Coupled with the effect of cost reductions, sales and operating profit in this reporting segment increased compared with the previous first quarter.

7) Others

Sales in this reporting segment increased compared with previous first quarter due primarily to an increase in sales at Kyocera Communication Systems Co., Ltd. However, operating profit was almost unchanged compared with the previous first quarter due primarily to increased R&D expenses.

 

4


Table of Contents

Net Sales by Reporting Segment

 

     Three months ended June 30,     Increase
(Decrease)
 
     2013     2014    
     Amount     %     Amount     %     Amount     %  
     (Yen in millions)  

Fine Ceramic Parts Group

   ¥ 18,716        5.7      ¥ 20,852        6.2      ¥ 2,136        11.4   

Semiconductor Parts Group

     41,474        12.5        48,464        14.5        6,990        16.9   

Applied Ceramic Products Group

     61,496        18.5        53,809        16.1        (7,687     (12.5

Electronic Device Group

     73,315        22.1        66,187        19.8        (7,128     (9.7
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Components Business

     195,001        58.8        189,312        56.6        (5,689     (2.9

Telecommunications Equipment Group

     38,512        11.6        38,515        11.5        3        0.0   

Information Equipment Group

     70,713        21.3        77,482        23.2        6,769        9.6   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Equipment Business

     109,225        32.9        115,997        34.7        6,772        6.2   

Others

     38,061        11.5        41,614        12.4        3,553        9.3   

Adjustments and eliminations

     (10,632     (3.2     (12,209     (3.7     (1,577       
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net sales

   ¥ 331,655        100.0      ¥ 334,714        100.0      ¥ 3,059        0.9   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating Profit (Loss) by Reporting Segment

 

            
     Three months ended June 30,     Increase
(Decrease)
 
     2013     2014    
     Amount     %*     Amount     %*     Amount     %  
     (Yen in millions)  

Fine Ceramic Parts Group

   ¥ 2,903        15.5      ¥ 3,355        16.1      ¥ 452        15.6   

Semiconductor Parts Group

     7,923        19.1        5,655        11.7        (2,268     (28.6

Applied Ceramic Products Group

     8,041        13.1        2,820        5.2        (5,221     (64.9

Electronic Device Group

     6,170        8.4        7,664        11.6        1,494        24.2   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Components Business

     25,037        12.8        19,494        10.3        (5,543     (22.1

Telecommunications Equipment Group

     (1,406            (3,584            (2,178       

Information Equipment Group

     6,067        8.6        7,603        9.8        1,536        25.3   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Equipment Business

     4,661        4.3        4,019        3.5        (642     (13.8

Others

     752        2.0        642        1.5        (110     (14.6
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating profit

     30,450        9.2        24,155        7.2        (6,295     (20.7

Corporate gains and equity in earnings of affiliates and an unconsolidated subsidiary

     4,645               6,718               2,073        44.6   

Adjustments and eliminations

     (282            (193            89          
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

   ¥ 34,813        10.5      ¥ 30,680        9.2      ¥ (4,133     (11.9
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 
* % to net sales of each corresponding segment

 

5


Table of Contents

Net Sales by Geographic Area

1) Japan

Sales in Japan decreased compared with the previous first quarter due primarily to a decline in sales from large-scale solar projects for public and commercial sectors, and to decreased sales in the Telecommunications Equipment Group, although sales in the Semiconductor Parts Group increased.

2) Asia

Sales in Asia decreased compared with the previous first quarter due mainly to a decline in sales in the Electronic Device Group.

3) Europe

Sales in Europe increased compared with the previous first quarter due primarily to an increase in sales in the Information Equipment Group supported by growth in sales volume of multifunctional products and to growing sales in the Electronic Device Group.

4) United States of America

Sales in the Information Equipment Group increased. On the other hand, sales in the Electronic Device Group decreased. As a result, sales in the United States of America were almost unchanged compared with the previous first quarter.

5) Others

Sales in Others decreased slightly compared with the previous first quarter due to a decrease in sales in the Semiconductor Parts Group and the Telecommunications Equipment Group despite of increased sales in the Information Equipment Group.

 

     Three months ended June 30,      Increase
(Decrease)
 
     2013      2014     
     Amount      %      Amount      %      Amount     %  
     (Yen in millions)  

Japan

   ¥ 139,118         41.9       ¥ 137,474         41.1       ¥ (1,644     (1.2

Asia

     68,243         20.6         66,221         19.8         (2,022     (3.0

Europe

     56,282         17.0         63,299         18.9         7,017        12.5   

United States of America

     52,189         15.7         52,103         15.6         (86     (0.2

Others

     15,823         4.8         15,617         4.6         (206     (1.3
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

   

 

 

 

Net sales

   ¥ 331,655         100.0       ¥ 334,714         100.0       ¥ 3,059        0.9   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

   

 

 

 

 

6


Table of Contents

(2) Consolidated Financial Condition

Consolidated Cash Flows

Cash and cash equivalents at June 30, 2014 decreased by ¥58,065 million to ¥277,109 million from ¥335,174 million at March 31, 2014.

1) Cash flows from operating activities

Net cash provided by operating activities for the first quarter decreased by ¥8,065 million to ¥19,720 million from ¥27,785 million for the previous first quarter. This was due mainly to a decrease in net income and cash flow adjustments related to receivables and inventories. That exceeded cash flow adjustment related to notes and accounts payables.

2) Cash flows from investing activities

Net cash used in investing activities for the first quarter increased by ¥9,055 million to ¥56,435 million from ¥47,380 million for the previous first quarter. This was due mainly to an increase in payments for purchases of held-to-maturity securities and a decrease in withdrawal of certificate of deposits. That exceeded an increase in proceeds from maturities of held-to-maturity securities and a decrease in acquisition of time deposits.

3) Cash flows from financing activities

Net cash used in financing activities for the first quarter increased by ¥7,127 million to ¥18,706 million from ¥11,579 million for the previous first quarter. This was due mainly to an increase in dividends paid and purchases of noncontrolling interests.

 

     Three months ended June 30,  
     2013     2014  
     (Yen in millions)  

Cash flows from operating activities

   ¥ 27,785      ¥ 19,720   

Cash flows from investing activities

     (47,380     (56,435

Cash flows from financing activities

     (11,579     (18,706

Effect of exchange rate changes on cash and cash equivalents

     6,606        (2,644

Net decrease in cash and cash equivalents

     (24,568     (58,065

Cash and cash equivalents at beginning of period

     305,454        335,174   

Cash and cash equivalents at end of period

   ¥ 280,886      ¥ 277,109   

 

7


Table of Contents

(3) Consolidated Financial Forecasts for the Year Ending March 31, 2015

From the second quarter onward, Kyocera expects component demand to increase in the digital consumer equipment market on the back of new smartphone introductions, as well as proliferation of smartphones in emerging countries. Kyocera will seize such demand and aim to expand sales of small and high-performance components and to increase market share, as well as to improve profitability by pursuing comprehensive cost reductions. In the automotive market, Kyocera will strive to enhance customer cultivation and to expand sales by exploiting the collective strengths of the Kyocera Group.

In the Telecommunications Equipment Group, Kyocera will work to increase sales of mobile phone handsets by releasing new products worldwide and by cultivating major customers overseas. In the Information Equipment Group, Kyocera will also make efforts to expand sales of printers and multifunctional products both in advanced and emerging nations, and to enhance profitability by increasing production volume in Vietnam.

By executing the initiatives above, Kyocera will aim to achieve the full-year financial forecasts, announced on April 28, 2014.

 

     Results for
the year ended
March 31, 2014
     Forecasts for
the year ending
March 31, 2015
     Increase
(Decrease)
 
     Amount      %      Amount      %      Amount      %  
     (Yen in millions, except exchange rates)  

Net sales

   ¥ 1,447,369         100.0       ¥ 1,580,000         100.0         132,631         9.2   

Profit from operations

     120,582         8.3         135,000         8.5         14,418         12.0   

Income before income taxes

     146,268         10.1         158,000         10.0         11,732         8.0   

Net income attributable to shareholders of Kyocera Corporation

     88,756         6.1         97,000         6.1         8,244         9.3   

Average US$ exchange rate

     100                 100                           

Average Euro exchange rate

     134                 137                           

 

8


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) Decline in demand for our products due to sluggish economic conditions in Japan and worldwide;

 

(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 the yen’s appreciation, 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 our business activities;

 

(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 the possibility that amendments to 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 plague, terrorist acts, international disputes and conflicts, etc. 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.

 

9


Table of Contents

2. OTHER INFORMATION

Changes in accounting policies

Recently Adopted Accounting Standards

On April 1, 2014, Kyocera adopted the Financial Accounting Standards Board (FASB)’s Accounting Standards Update (ASU) No. 2013-04, “Obligations Resulting from Joint and Several Liability Arrangements for Which the Total Amount of the Obligation Is Fixed at the Reporting Date.” This accounting standard requires an entity to measure obligations resulting from joint and several liability arrangements for which the total amount of the obligation within the scope of this guidance is fixed at the reporting date, as the sum of the following: (a) The amount the reporting entity agreed to pay on the basis of its arrangement among its co-obligors (b) Any additional amount the reporting entity expects to pay on behalf of its co-obligors. The accounting standard also requires an entity to disclose the nature and amount of the obligation as well as other information about those obligations. The adoption of this accounting standard did not have a material impact on Kyocera’s consolidated results of operations, financial condition and cash flows.

On April 1, 2014, Kyocera adopted the FASB’s ASU No. 2013-05, “Parent’s Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity.” This accounting standard resolves the diversity in practice about whether Accounting Standards Codification (ASC) 810-10, Consolidation—Overall, or ASC 830-30, Foreign Currency Matters—Translation of Financial Statements, applies to the release of the cumulative translation adjustment into net income when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity. In addition, this accounting standard resolves the diversity in practice for the treatment of business combinations achieved in stages involving a foreign entity. The adoption of this accounting standard did not have a material impact on Kyocera’s consolidated results of operations, financial condition and cash flows.

On April 1, 2014, Kyocera adopted the FASB’s ASU No. 2013-11, “Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists.” This accounting standard requires an entity to present an unrecognized tax benefit, or a portion of an unrecognized tax benefit as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward in the financial statements. The adoption of this accounting standard did not have a material impact on Kyocera’s consolidated results of operations, financial condition and cash flows.

 

10


Table of Contents

3. CONSOLIDATED FINANCIAL STATEMENTS

(1) Consolidated Balance Sheets (Unaudited)

 

     March 31, 2014      June 30, 2014      Increase
(Decrease)
 
     Amount     %      Amount     %     
     (Yen in millions)  

Current assets:

            

Cash and cash equivalents

   ¥ 335,174         ¥ 277,109         ¥ (58,065

Short-term investments in debt and equity securities

     115,900           129,982           14,082   

Other short-term investments

     160,331           147,673           (12,658

Trade notes receivables

     22,054           20,887           (1,167

Trade accounts receivables

     257,850           237,140           (20,710

Less allowances for doubtful accounts and sales returns

     (5,062        (5,050        12   

Inventories

     335,802           352,567           16,765   

Deferred income taxes

     41,499           42,697           1,198   

Other current assets

     103,887           103,654           (233
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Total current assets

     1,367,435        51.9         1,306,659        49.6         (60,776
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Non-current assets:

            

Investments and advances:

            

Long-term investments in debt and equity securities

     738,212           804,493           66,281   

Other long-term investments

     14,847           15,789           942   
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Total investments and advances

     753,059        28.6         820,282        31.1         67,223   
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Property, plant and equipment:

            

Land

     63,268           63,012           (256

Buildings

     344,167           343,103           (1,064

Machinery and equipment

     826,881           821,305           (5,576

Construction in progress

     11,821           11,673           (148

Less accumulated depreciation

     (975,580        (971,221        4,359   
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Total property, plant and equipment

     270,557        10.3         267,872        10.2         (2,685
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Goodwill

     116,632        4.4         115,391        4.4         (1,241

Intangible assets

     59,326        2.2         57,711        2.2         (1,615

Other assets

     69,695        2.6         65,687        2.5         (4,008
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Total non-current assets

     1,269,269        48.1         1,326,943        50.4         57,674   
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

Total assets

   ¥ 2,636,704        100.0       ¥ 2,633,602        100.0       ¥ (3,102
  

 

 

   

 

 

    

 

 

   

 

 

    

 

 

 

 

11


Table of Contents
     March 31, 2014     June 30, 2014     Increase
(Decrease)
 
     Amount     %     Amount     %    
     (Yen in millions)  

Current liabilities:

          

Short-term borrowings

   ¥ 4,064        ¥ 4,233        ¥ 169   

Current portion of long-term debt

     12,360          10,684          (1,676

Trade notes and accounts payable

     122,424          120,464          (1,960

Other notes and accounts payable

     48,224          46,196          (2,028

Accrued payroll and bonus

     56,068          45,838          (10,230

Accrued income taxes

     23,353          9,988          (13,365

Other accrued liabilities

     31,347          35,957          4,610   

Other current liabilities

     29,611          33,954          4,343   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total current liabilities

     327,451        12.4        307,314        11.7        (20,137
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Non-current liabilities:

          

Long-term debt

     19,466          19,153          (313

Accrued pension and severance liabilities

     36,812          32,722          (4,090

Deferred income taxes

     235,954          245,656          9,702   

Other non-current liabilities

     29,795          29,481          (314
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total non-current liabilities

     322,027        12.2        327,012        12.4        4,985   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities

     649,478        24.6        634,326        24.1        (15,152
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Kyocera Corporation shareholders’ equity:

          

Common stock

     115,703          115,703            

Additional paid-in capital

     162,666          162,699          33   

Retained earnings

     1,415,784          1,420,576          4,792   

Accumulated other comprehensive income

     250,963          262,034          11,071   

Common stock in treasury, at cost

     (35,033       (35,036       (3
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Kyocera Corporation shareholders’ equity

     1,910,083        72.5        1,925,976        73.1        15,893   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Noncontrolling interests

     77,143        2.9        73,300        2.8        (3,843
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total equity

     1,987,226        75.4        1,999,276        75.9        12,050   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities and equity

   ¥ 2,636,704        100.0      ¥ 2,633,602        100.0      ¥ (3,102
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Note: Accumulated other comprehensive income is as follows:

 

  

 
     March 31, 2014     June 30, 2014     Increase
(Decrease)
 
     (Yen in millions)  

Net unrealized gains on securities

   ¥          293,783      ¥          311,457      ¥ 17,674   

Net unrealized losses on derivative financial instruments

       (260       (322     (62

Pension adjustments

       (21,101       (20,648     453   

Foreign currency translation adjustments

       (21,459       (28,453     (6,994
  

 

 

   

 

 

   

 

 

 

Total

   ¥          250,963      ¥          262,034      ¥ 11,071   
  

 

 

   

 

 

   

 

 

 

 

12


Table of Contents

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

Consolidated Statements of Income

 

    Three months ended June 30,     Increase
(Decrease)
 
    2013     2014    
    Amount     %     Amount     %     Amount     %  
    (Yen in millions and shares in thousands, except per share amounts)  

Net sales

  ¥ 331,655        100.0      ¥ 334,714        100.0      ¥ 3,059        0.9   

Cost of sales

    245,298        74.0        246,998        73.8        1,700        0.7   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

    86,357        26.0        87,716        26.2        1,359        1.6   

Selling, general and administrative expenses

    60,959        18.3        68,934        20.6        7,975        13.1   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Profit from operations

    25,398        7.7        18,782        5.6        (6,616     (26.0

Other income (expenses) :

           

Interest and dividend income

    7,539        2.3        10,011        3.0        2,472        32.8   

Interest expense

    (492     (0.2     (468     (0.1     24          

Foreign currency transaction gains, net

    1,721        0.5        1,471        0.4        (250     (14.5

Other, net

    647        0.2        884        0.3        237        36.6   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total other income (expenses)

    9,415        2.8        11,898        3.6        2,483        26.4   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

    34,813        10.5        30,680        9.2        (4,133     (11.9

Income taxes

    10,892        3.3        9,736        2.9        (1,156     (10.6
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income

    23,921        7.2        20,944        6.3        (2,977     (12.4

Net income attributable to noncontrolling interests

    (1,270     (0.4     (1,477     (0.5     (207       
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net income attributable to shareholders of Kyocera Corporation

  ¥ 22,651        6.8      ¥ 19,467        5.8      ¥ (3,184     (14.1
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Per share information:

           

Net income attributable to shareholders of Kyocera Corporation:

           

Basic

  ¥ 61.74        ¥ 53.06         

Diluted

    61.74          53.06         

Average number of shares of common stock outstanding:

           

Basic

    366,877          366,866         

Diluted

    366,877          366,866         

Notes:

(1) Basic earnings per share attributable to shareholders of Kyocera Corporation is calculated 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 is calculated based on the diluted average number of shares of stock outstanding during each period.

 

(2) “Per share information” during the three months ended June 30, 2013 is calculated under the assumption that the stock split at the ratio of two-for-one of all common stock, which took effect on October 1, 2013, had been undertaken at the beginning of the year ended March 31, 2014.

 

13


Table of Contents

Consolidated Statements of Comprehensive Income

 

     Three months ended June 30,     Increase
(Decrease)
 
     2013     2014    
     Amount     Amount     Amount  
     (Yen in millions)  

Net income

   ¥ 23,921      ¥ 20,944      ¥ (2,977
  

 

 

   

 

 

   

 

 

 

Other comprehensive income (loss)—net of taxes

      

Net unrealized gains on securities

     97,283        17,671        (79,612

Net unrealized losses on derivative financial instruments

     (30     (59     (29

Pension adjustments

     (341     673        1,014   

Foreign currency translation adjustments

     22,854        (8,229     (31,083
  

 

 

   

 

 

   

 

 

 

Total other comprehensive income (loss)

     119,766        10,056        (109,710
  

 

 

   

 

 

   

 

 

 

Comprehensive income

     143,687        31,000        (112,687

Comprehensive income (loss) attributable to noncontrolling interests

     (4,287     (378     3,909   
  

 

 

   

 

 

   

 

 

 

Comprehensive income attributable to shareholders of Kyocera Corporation

   ¥ 139,400      ¥ 30,622      ¥ (108,778
  

 

 

   

 

 

   

 

 

 

(3) Notes to the consolidated financial statements

Cautionary Statement for Premise of a Going Concern

None.

Cautionary Statement for Significant Changes in Equity

None.

 

14

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