8th Feb 2007 07:00
Maruwa Co Ld08 February 2007 8 February 2007MARUWA CO., LTD.3-83, Minamihonjigahara-cho, Owariasahi-city, Aichi-pref., 488-0044 JAPAN Consolidated financial results for the third quarter of Fiscal 2007 MARUWA CO., LTD. today announced its consolidated financial results for the third quarter of Fiscal 2007 (1 April 2006 - 31 December 2006) as follows; \* The financial statements are prepared in conformity with the accounting principles generally accepted inJapan.*Consolidated subsidiaries: 8 companies (Maruwa (Malaysia) Sdn. Bhd., Taiwan Maruwa Co., Ltd., MARUWAElectronics (Taiwan) Co., Ltd., Maruwa Europe Ltd., Maruwa America Corp., MARUWA QUARTZ Co., Ltd., MARUWASHOMEI Co., Ltd., and Hokko Denshi Co., Ltd.) I. Summary of Consolidated Financial Results(1) Summary of consolidated operating results JPY million 3rd Quarter 3rd Quarter Change % (Reference) 1 April - 31 Dec. 1 April - 31 Dec. For year ended 2006 2005 31 March 2006Net sales 15,407 14,087 9.4% 20,278Operating income 1,311 1,241 5.6% 1,693Income before income taxes 1,413 1,122 25.9% 1,669Net income 962 681 41.3% 1,135 Net income per share: JPYBasic 87.87 62.67 40.2% 103.82Diluted 87.41 62.31 40.3% 103.21 (2) Summary of consolidated financial condition JPY million (Reference) As of 31 Dec. As of 31 Dec. Change % As of 31 March 2006 2005 2006Total Assets 32,833 31,740 3.4% 33,044Shareholders' equity 27,553 26,015 5.9% 26,557Shareholders' equity ratio 83.9% 82.0% +1.9% 80.4% JPYShareholders' equity per 2,526.97 2,373.03 6.5% 2,423.40share II. Outlook for the fiscal 2007 (1 April 2006 - 31 March 2007) JPY millionNet sales 21,600Net income 1,300Net income per share (JPY) 119.23 * The forecasts stated above are based on currently available information as of the date of announcement ofthis document. Actual results may differ from these forecasts due to various factors. Review of OperationsNet sales of this third quarter period were 15,407 million yen, up 9.4% compared to the previous third quarter.Ceramic components sales increased 12.5% compared to the same period, reflecting strong demand in theelectronic components market. As for profits, operating income increased 5.6% to 1,311 million yen compared to the previous third quarterthanks to a revenue increase and cost reduction efforts. Net income was 962 million yen, up 41.4% compared tothe same period last year. Review of operating results by business segment JPY million 3rd Quarter 3rd Quarter 1 April - 31 Dec. 1 April - 31 Dec. 2005 2006Ceramic Components:Net sales 12,445 13,997Operating income 1,851 1,938 Lighting Equipment:Net sales 1,642 1,410Operating income (228) (175) Total:Net sales 14,087 15,407Operating income 1,623 1,763 Elimination:Net sales -- --Operating income (382) (452) Consolidated:Net sales 14,087 15,407Operating income 1,241 1,311 Quarterly sales results of Ceramic Components segment by product division JPY million For year ended 31 March 2006 2007 1Q 2Q 3Q 4Q 1Q 2Q 3QCircuit Ceramics 1,649 1,576 1,519 1,601 1,778 1,908 2,227Machinery Ceramics 1,129 1,117 1,135 1,063 1,148 1,189 1,354Radio Frequency Products 344 364 417 464 407 354 504EMC Components 1,096 1,024 1,075 1,055 1,046 1,013 1,069Total 4,218 4,081 4,146 4,183 4,379 4,464 5,154 JPY million Fiscal 2006 Fiscal 2007 For 9-month period For 9-month period 1 Apr. - 31 Dec. 2005 1 Apr. - 31 Dec. 2006Circuit Ceramics 4,744 5,913Machinery Ceramics 3,381 3,691Radio Frequency Products 1,125 1,265EMC Components 3,195 3,128Total 12,445 13,997 Review of operations by product division Ceramic Components segment Circuit Ceramics Total sales of Circuit Ceramics were 5,913 million yen, an increase of 24.6%compared to the previous third quarter, enjoying active demand in substrateproducts; ceramic substrates for chip resistors, Alumina large substrates,Aluminum Nitride substrates, and other products generally increased revenues. Machinery Ceramics Total sales of Machinery Ceramics increased 9.2% to 3,691 million yen comparedto the third quarter last year. Our sales of quarts glass products increased due to a favorable semiconductorequipment-related market since the first half of this year and acquisition ofnew customers. Radio Frequency Products Total sales of Radio Frequency Products were 1,265 million yen, up 12.4% fromthe same period last year. Due to growth of the products for base stations,sales of dielectric ceramics and device products including band pass filtersincreased. EMC Components Total sales of EMC Components were 3,128 million yen, down 2.1% from the thirdquarter last year. Inventory adjustments in digital home electronics including flat screen TVsbegan from the second half of this year; a part of our products were adverselyaffected by inventory adjustments at our customers. On the other hand, salesexpansion has been steadily promoted for new customers and applications throughdeveloping our product lineups. Lighting Equipment segment Total sales of Lighting Equipment decreased 14.1% to 1,410 million yen comparedto the third quarter last year, influenced by reduction of construction inpublic works. Consolidated financial condition Total assets at the end of the third quarter were 32,833 million yen, a decreaseof 211 million yen compared to the end of the previous fiscal year as a resultof 9-month operating activities. Total liabilities were 5,280 million yen, down 1,207 million yen from theprevious fiscal year-end due mainly to a decrease of trade notes and accountspayable. Total shareholders' equity increased 996 million yen to 27,553 millionyen due to an increase of retained earnings. Capital expenditures in this third quarter were 1,745 million yen, anddepreciation cost was 1,219 million yen. Consolidated Balance Sheet JPY million 3rd Quarter 3rd Quarter (Reference) As of 31 Dec. As of 31 Dec. Change % As of 31st March 2006 2005 2006ASSETSCurrent assets:Cash & deposits 6,404 7,340 -12.8% 7,899Trade notes & accounts 7,181 6,242 15.0% 7,003receivableInventories 3,414 2,959 15.4% 2,869Other 677 411 64.7% 817Total current assets 17,676 16,952 4.3% 18,588 Property, plant & equipment:Net property, plant & equipment 12,621 12,107 4.2% 12,087 Investment & other assets:Total investments & other 2,536 2,681 -5.4% 2,369assets Total assets 32,833 31,740 3.4% 33,044 LIABILITIES AND SHAREHOLDERS' EQUITYCurrent liabilities:Trade notes & accounts payable 1,833 1,983 -7.6% 2,590Other 2,370 2,188 8.3% 2,391Total current liabilities 4,203 4,171 0.8% 4,981 Long-term liabilities:Long-term debt 77 224 -65.6% 188Accrued retirement benefits 120 320 -62.5% 300Other 880 1,010 -12.9% 1,018Total long-term liabilities 1,077 1,554 -30.7% 1,506 Shareholders' equity:Common stock, no par value; 6,710 6,710 -- 6,710authorized: 26,000,000 shares;issued & outstanding:11,050,000 shares in 2005 and 11,072,000shares in 2006Capital surplus 9,747 9,747 -- 9,747Retained earnings 11,152 10,068 10.8% 10,522Net unrealized gains on 10 85 -88.2% 38available-for-sale securitiesForeign currency translation 336 (361) -- (206)adjustmentAdvance on subscription of own 5 1 -- --sharesTreasury stock, at cost (407) (235) -- (254)Total shareholders' equity 27,553 26,015 5.9% 26,557 Total liabilities & 32,833 31,740 3.4% 33,044shareholders' equity Consolidated Statements of Income JPY million 3rd Quarter 3rd Quarter (Reference) 1 April - 31 1 April - 31 Dec. Change % For year ended Dec. 2006 2005 31 March 2006Net sales 15,407 14,087 9.4% 20,278Cost of sales 10,940 9,927 10.2% 14,494Gross profit 4,467 4,160 7.4% 5,784Selling, general & 3,156 2,919 8.1% 4,091administrativeexpensesOperating income 1,311 1,241 5.6% 1,693Other income (expenses):Interest & dividend income 35 28 25.0% 39Interest expenses (5) (6) -- (8)Foreign exchange gain (loss), (117) (89) -- (158)netOther, net 189 (52) -- 103Other income (expenses), net 102 (119) -- (24)Income before income taxes 1,413 1,122 25.9% 1,669 Income tax expenses (benefits):Current 402 248 62.1% 299Deferred 49 193 -74.6% 235 Net income 962 681 41.3% 1,135 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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