DENSO records net income of $617 million
DENSO Corp. posted net income of 49.1 billion yen on net sales of 882.4 billion yen for its first quarter ended June 30, 2012. That compares to income of 2.6 billion yen on sales of 630.2 billion yen for the same period last year.
Based on the exchange rate on June 30, 2012, DENSO recorded net income of $617.3 million on net sales of $11.1 billion for the first quarter of its fiscal 2013. Its income-to-sales ratio was 5.5%.
Operating income for the quarter totaled 78.2 billion yen ($1 billion), compared to an operating loss of 4.4 billion yen last year.
"Compared to last year, DENSO’s consolidated sales and income increased sharply, as our 2011 first-quarter results were impacted by the Great East Japan Earthquake,” says Kenichiro Ito, executive director.
In North America, the increase of sales for Japanese auto manufacturers and General Motors Corp., Ford Motor Co. and Chrysler Group LLC led to a 57.8% increase in sales to 159.6 billion yen. Operating income of 5.2 billion yen increased 7.8 billion yen from 1Q 2011, when the company experienced a loss in North America.
“Considering the first-quarter financial results, we have decided to upwardly revise the original forecasts for the first-half and full-year financial results,” says Ito. “As this being the first year for the DENSO Group’s Global Mid-term Policy, we will progressively make efforts to expand business.“
DENSO predicts its full-year results for the fiscal year ending March 31, 2013, will be as follows:
Net income Net sales Operating income
$2.2 billion $43.9 billion $3.2 billion
For more information on the company, visit www.globaldenso.com.