OMRON Announces Adjustment to Fiscal 2008 Consolidated Performance Forecast
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TOKYO--(Business Wire)--
OMRON Corporation (TOKYO:6645)(ADR:OMRNY) today announced an adjustment to its
consolidated performance forecast for fiscal 2008 (April 1, 2008 - March 31,
2009), which was announced on January 29, 2009. Details are as follows.
1. Adjustment to FY08 Consolidated Results Forecast (April 1, 2008 - March 31, 2009)
(Millions of yen)
Sales Operating income Net income Net income
before income
taxes
Previous forecast (A) 635,000 7,000 2,000 1,000
(Announced on January 29, 2009)
Revised forecast (B) 627,000 5,000 (39,000) (29,000)
Difference (B - A) (8,000) (2,000) (41,000) (30,000)
Difference (%) (1.3%) (28.6%) - -
FY07 actual 762,985 65,253 64,166 42,383
(ended March 31, 2008)
Year-on-year difference (%) (17.8%) (92.3%) - -
2.Reasons for Adjustment
The business environment surrounding the OMRON Group has further worsened since
our previous forecast announcement due to the effects of the global financial
crisis and ensuing recession. Conditions in the control equipment and electronic
components businesses (including automotive electronics) were even worse than
expected as market conditions deteriorated.
In addition, OMRON accounted for the impairment of goodwill and fixed assets in
order to accelerate the business structure reform it began in February 2009 with
the aim of strengthening its revenue base while at the same time working to
ensure sound management and fair valuation of assets. As a result, the Company
now predicts additional non-operating losses of approximately 39.0 billion yen
and has adjusted its consolidated performance forecast for fiscal 2008
accordingly.
Going forward, the OMRON Group will continue to implement emergency (crisis
response) measures and business structure reform, with employees working
together as one to ensure swift improvement in business performance.
Breakdown of Newly Anticipated Non-Operating Losses
1) Impairment of goodwill 16.6 billion yen
2) Impairment of fixed assets 20.9 billion yen
3) Additional impairment of investment securities 2.2 billion yen
Note: The above forecast is based on information available to the Company at the
time of this announcement. Actual results may differ materially from the
forecast due to various factors.
OMRON Corporation
Hideo Higuchi, +81-75-344-7175
Senior General Manager
Corporate Strategic Planning Headquarters
Copyright Business Wire 2009
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