Epson Sees 18.2% Sales Increase in 1Q2013

Seiko-Epson announced its financial results for the first quarter of its fiscal year 2013 (April 1 to July 31). Consolidated 1Q2013 sales were ¥220,188 million ($2,233,370 thousand), up 18.2% YoY. Operating income was ¥8,010 million ($81,245 thousand), compared to a ¥16,117 million loss recorded in the same period last year. Ordinary income was ¥4,846 million ($49,153 thousand), compared to a ¥16,483 million loss recorded in the same period last year. Net income was ¥125 million ($1,267 thousand), compared to a net loss of ¥34,467 million in the same period last year.

With regard to the information-related equipment segment, net sales were ¥180,582 million ($1,831,656 thousand), up 23.1% YoY, while segment income was ¥15,862 million ($160,888 thousand), compared to a loss of ¥6,077 million in the same period last year.

Segment income in the information-related equipment segment increased due to foreign exchange effects and increased income from each product category.

In the inkjet printer segment, net sales from hardware increased. Although shipments of printers that use ink cartridges declined, net sales benefited from foreign exchange effects, a rise in average selling price, and an increase in shipments of high-capacity ink tank models. Net sales from consumables also rose, mainly due to foreign exchange effects and increased unit shipments.

Large-format printer net sales increased despite a decline in shipments of both printers and consumables in response to cutbacks in corporate spending due to economic uncertainty. The increase in net sales came as a result of foreign exchange effects and higher average selling prices. Page printer net sales decreased due to a decline in unit shipments, the result of Epson’s focus on high value-added models.

Serial impact dot matrix (SIDM) printer shipments declined, but net sales increased as a result of foreign exchange effects and higher average selling prices. POS system printer net sales increased due to foreign exchange effects and an increase in unit shipments in the Americas.

Epson revised its consolidated financial outlook for the second quarter and the full year according to the recent trend of financial results. For the first half of the year, it expects ¥430.0 billion net sales, ¥3.0 billion operating income and ¥5.0 billion net loss. For fiscal 2013, Epson expects ¥910.0 billion net sales, ¥33.0 billion operating income and ¥13.0 billion net income.