RYOBI


search   Site Map
Investor Relations
Home > Investor Relations > Operating Results and Forecast
print

Operating Results and Forecast

< back

Consolidated Operating Results for the First Six Months of the Transitional Fiscal Period Ending December 31, 2018

(1) Overview


In the first six months of the fiscal period ending December 31, 2018, the Japanese economy saw modest but constant recovery due to an upturn in corporate earnings, improving employment and higher wages as well as the positive effects of government-led economic policies. Overseas, recovery in the U.S. economy remained steady while the European and Asian economies saw modest progress.

Against this backdrop, the Ryobi Group has been promoting proactive marketing while working to reduce costs, improve productivity and streamline business operations. Furthermore, the Group has benefitted from solid demand in Japan and overseas for such products as those marketed by the Die Castings Business segment.

Thanks to these factors, consolidated operating results for the first six months were firm.

In addition, due to a change in the Company's fiscal year-end, the current fiscal period will comprise only nine months ending December 31, 2018 (hereinafter the "transitional fiscal period"). Moreover, the Company's consolidated operating results for the first six months of the transitional fiscal period ending December 31, 2018 as presented below include the contributions of domestic consolidated subsidiaries for the six months of April through September 2018 as well as those of overseas consolidated subsidiaries for the nine months of January through September 2018.


Consolidated Earnings
First six months
of the fiscal year
ended March 31, 2018
First six months
of the nine-month
transitional fiscal period
ending December 31, 2018
Change
Millions of
yen
% of
net sales
Millions of
yen
% of
net sales
Millions of
yen
%
Net sales 119,542 151,053 - -
Operating income 6,495 5.4% 10,344 6.8% - -
Profit attributable to
owners of parent
4,503 3.8% 8,318 5.5% - -

Note: Year-on-year comparisons of operating results are not presented because of differences in the reporting periods of certain components of the first six months of the fiscal year ended March 31, 2018 and operating results for the first six months of the transitional fiscal period.



Reference
Year-on-year changes in performance based on adjusted results for the first six months of the fiscal year ended March 31, 2018

A comparison of the consolidated operating results for the first six months of the transitional fiscal period and the adjusted results for the first six months of the fiscal year ended March 31, 2018 (including the contributions of domestic consolidated subsidiaries for the six months of April through September 2017 as well as those of overseas consolidated subsidiaries for the nine months of January through September 2017), reveals that both revenues and earnings increased.


Consolidated Earnings
First six months
of the fiscal year
ended March 31, 2018
(adjusted)
First six months
of the nine-month
transitional fiscal period
ending December 31, 2018
Change
Millions of
yen
% of
net sales
Millions of
yen
% of
net sales
Millions of
yen
%
Net sales 145,431 151,053 5,621 3.9%
Operating income 8,031 5.5% 10,344 6.8% 2,312 28.8%
Profit attributable to
owners of parent
5,460 3.8% 8,318 5.5% 2,857 52.3%


(2) Performance by Industry Segment


For operating results by segment, Ryobi has made comparisons between operating results for the first six months of the transitional fiscal period and operating results for the first six months of the previous fiscal year that have been adjusted using the method described in (1) above. This comparison is intended to increase the accuracy of the year-on-year comparisons.

The Die Castings Business recorded increases in both revenues and earnings compared with the same period of the previous fiscal year. Sales grew both in Japan and overseas, with Ryobi serving as a key contributor to growth in revenues from domestic operations. Overseas, Group business bases in the United States, Mexico, the United Kingdom, China and Thailand enjoyed growth in revenues. Although segment earnings increased in step with increases in domestic and overseas revenues, the increase in earnings is also thanks to ¥1,393 million attributable to the effect of change in the depreciation method (from the declining-balance method to the straight-line method) that took place at the beginning of the transitional fiscal period ending December 31, 2018.

The Power Tools and Builders' Hardware Business recorded decreases in both revenues and earnings compared with the same period of the previous fiscal year. This was mainly due to the absence of revenues from Ryobi's power tools business, which had contributed to segment performance in the same period of the previous fiscal year and was transferred to Kyocera Corporation in January 2018. In addition, although the Group has seen an increase in revenues from the builders' hardware business, earnings from this business decreased due to the absence of earnings recorded by a former subsidiary in China, reflecting the transfer of its ownership to Kyocera Corporation and its exclusion from the scope of consolidation since the beginning of the transitional fiscal period ending December 31, 2018.

The Printing Equipment Business saw decreases in both revenues and earnings compared with the same period of the previous fiscal year. Segment revenues declined due to a decrease in exports of such products as A1-size printing presses targeting Europe. Segment earnings also declined due mainly to the decrease in revenues and a rise in expenses for exhibition and other activities.


Net Sales by Industry Segment
First six months of
the previous fiscal year
(adjusted)
First six months of
the transitional fiscal period
Change
Millions of
yen
% of
consolidated
net sales
Millions of
yen
% of
consolidated
net sales
Millions of
yen
%
Die Castings 118,364 81.4% 133,127 88.1% 14,763 12.5%
Power Tools and
Builders' Hardware
13,914 9.6% 5,024 3.3% -8,890 -63.9%
Printing Equipment 13,003 8.9% 12,762 8.4% -240 -1.8%

Operating Income by Industry Segment
First six months of
the previous fiscal year
(adjusted)
First six months of
the transitional fiscal period
Change
Millions of
yen
% of
segment
net sales
Millions of
yen
% of
segment
net sales
Millions of
yen
%
Die Castings 6,345 5.4% 9,753 7.3% 3,408 53.7%
Power Tools and
Builders' Hardware
1,116 8.0% 214 4.3% -902 -80.8%
Printing Equipment 528 4.1% 347 2.7% -181 -34.4%

Consolidated Financial Statements for the First Six Months of the Transitional Fiscal Period Ending December 31, 2018 < PDF 67KB >



Forecasts for the Transitional Fiscal Period Ending December 31, 2018

As of November 12, 2018


With regard to performance forecasts for the transitional fiscal period ending December 31, 2018, the forecast values announced on August 6, 2018, have not been revised.


Consolidated operating results forecasts for the nine-month transitional fiscal period
Net sales Operating
income
Profit attributable
to owners of parent
Earnings
per share
Millions of yen Yen
Announced May 14, 2018 215,000 12,700 9,800 302.76
Announced August 6, 2018 217,500 13,500 10,600 327.47
Change 2,500
(1.2%)
800
(6.3%)
800
(8.2%)
-


Operating Results for the Fiscal Year Ended March 31, 2018