Brother’s 1H2015 Net Sales Boosted by Yen’s Depreciation

Brother’s financial report for the first half of fiscal year ending March 31, 2015 (1H2015) show that within 6 months ending September 30, 2014, net sales increased 12.6% year on year (YOY) to ¥3,247 million (USD$28.2 million). Operating income totaled ¥300 million (USD$2.61 million), up 54.7% compared with the same period last year. Current profits were ¥276 million (USD$2.40 million), increasing 80.4% YOY. Net income increased 476.9% to ¥371 million (USD$3.22 million).

In 1H2015, Brother’s print and solutions business totaled ¥218 million (USD$1.9 million) in net sales and ¥211 million (USD$1.8 million) in operating income, up 7.5% and 9.7% YOY, respectively. Net sales of the communications and printing equipment segment grew 7.2% to ¥193 million (USD$1.68 million).

Regarding the changes, Brother said, “Sales remained steady in Europe and Asia excluding Japan. Hardware sales in the Americas and Japan fell compared with the previous year due to delays in the shipment of products. Despite an increase in SGA (sales, general, and administrative) expenses), operating income rose due to increased sales and the positive effect of the yen’s depreciation.”

As was revealed, all business segments of Brother recorded increases in net sales and the growth was driven by the yen’s depreciation. Net income registered a significant growth which was mainly “due to a gain on the sale of property and tax effect accounting.”

Further, Brother reported its progress in printing and solution earnings. The OEM has launched new monochrome and color laser printer models, including HL-L2365DW, HL-L2360DN, HL-L2320D, HL-L8350CDW, and MFC-L8650CDW. Additionally, Brother noted it aims to expand sales by launching InkBenefit models for emerging countries. The inkjet printers, such as MFC-J100 InkBenefit, will feature a built-in, super high-yield black ink cartridge which Brother believes will help reduce the amount of ink cartridges used.