DENSO has announced a operating income rise of 24.6% (US $2.3 billion) for the year to 31 March, with consolidated global net sales totalling US $27.3 billion (a 13.9% increase)
"This year we have hit record highs for consolidated net sales, consolidated operating income and consolidated net income," said Denso managing officer Koji Kobayashi. "These favourable results are due to a continued increase in domestic and overseas car production for Japanese auto manufacturers."
In Japan, sales totalled 2,289.0 billion yen (US$19.6 billion), an 11.1 percent increase from the previous year, and operating income totalled 207.7 billion yen (US$1.8 billion), a 15.4 percent increase from the previous year. The sales increase was led by strong domestic car production and the increased sales of car navigation systems.
In North, Central and South America, strong production by Japanese auto manufacturers in North America contributed to the increase in sales, which totalled 690.4 billion yen (US$5.9 billion), a 19.0 percent increase from the previous year. In spite of increased sales, operating income totalled 21.9 billion yen (US$187.2 million), a decrease of 7.5 percent from the previous year, due to extra costs related to production increases, new additions to the product line-up, and an increase in fixed costs.
In Europe, increased sales of car navigation systems, car air conditioners, and diesel common rail injection systems led to a rise in overall sales to 423.0 billion yen (US$3.6 billion), a 13.1 percent increase from the previous year. With the contribution of increased production volume in Hungary and the Czech Republic, operating income improved from a loss in the previous year to a gain of 1.6 billion yen (US$13.7 million).
In Asia and Oceania, sales totalled 395.1 billion yen (US$3.4 billion),a 35.8 percent increase from the previous year, and operating income totalled 36.7 billion yen (US$313.7 million), an 82.9 percent increase from the previous year. Strong production for the Toyota Innovative International Multi-purpose Vehicle and other Japanese auto manufacturers in Asia and Oceania led to the increase in both sales and operating income.