OKI Reports Loss for First Half Year

OKI Reports Loss for First Half Year

For the first half of the fiscal year ending March 31, 2022, OKI net sales decreased 7.9% year-over-year to 159.8 billion. Operating loss was JPY4.4 billion (US$38.5 million), worsened by JPY1.8 billion (US$15.8 million) year-on-year, due to the impact of supply chain factors such as material shortages and soaring raw materials prices.

According to OKI, the impact of production delays due to material shortages is estimated to have been approximately JPY10.0 billion (US$87.5 million) in net sales and JPY 3.0 billion (US$26.3 million) in operating income. Net loss attributable to owners of parent was JPY6.7 billion (US$58.7 million), worsened by JPY1.3 billion (US$11.4 million) year-on-year.

By segment, net sales for solution systems registered JPY68.9 billion (US$603.1 million), down 16.6% compared to the same period last year. Operating loss was JPY0.2 billion (US$1.8 million), reduced JPY4.2 billion (US$36.8 million) year-on-year. OKI claims that sales decreased mainly in the Enterprise Solutions business field and the Public solution business field.

Component & Platforms net sales turned out to be JPY90.7 billion (US$793.9 million), up 0.2% year-on-year. Operating loss was JPY1.2 billion (US$10.5 million), an improvement of JPY2.5 billion (US$21.9 million) compared to the same period last year.

OKI claims that the earning forecasts for the fiscal year ending March 31, 2022, remain unchanged.

“We assume that supply chain disruptions will continue throughout the year, and conservatively estimate the impact of material shortages based on currently available information. We will strive to minimize the impact by enhancing alternative procurement and operational measures, optimizing sales prices in response to increased costs, and taking cost measures,” said the spokesman of OKI.

Related:

• OKI Reports Loss in FY2020
• OKI: Results Declined but as Planned
• Income Down but Profits Up for OKI

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