Revealed: Kyocera’s Profits Fall in Most Recent First Half

Revealed: Kyocera’s Profits Fall in Most Recent First Half

New financial figures have been released regarding the performance of Japanese manufacturing giant Kyocera. The multinational corporation is a manufacturer of ceramics as well as electronics, including printers, copiers and general electronic components. The overall statistics show that although the corporation just about maintained its sales revenue as compared with the previous first half (the six months leading up to September 2018), profits have fallen in the most recent first half (the six months leading up to September 2019).

The fall in profits in comparison with the previous first half is undeniable. Operating profit fell by 22, 281 million yen between the two first halves, to finish at 60,320 million yen in the six-month period leading up to September 2019. Profit before income taxes fell from 105,689 million yen in the previous first half to 85,213 million yen in this first half. Finally, profit attributable to owners of the parent fell by 18,780 million yen to 59,614 million yen in the most recent first half. This is contrasted with the comparatively small drop in sales revenue of just 1,588 million yen.

This decline in profits has largely been attributed to the lower number of sales in the Component area of the business, which typically enjoys higher margins. Trade tensions between the US and China have been blamed for the downturn in demand for component materials in the industrial machinery and automobile-related industries, which has led to the decrease in profits recently experienced by Kyocera. Currency fluctuations and an increased depreciation charge also played their part in the downturn in profits, despite the structural reform that was put in place in order to minimise the effect these changes would have.

For further details about Kyocera financial report please view here.