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Here are some details explaining the 5 billion yen decline in profit and the downward revision of the estimated operating income from the 45 billion projected at the end of the first half period to 40 billion yen.
Factors leading to profit increase:
SIA is expected to see a profit increase of 0.3 billion yen due to reduction on cost of materials (from 16.3 to 16.6 billion yen).
Factors for profit decrease:
We expect to see an increase in costs, 2.1 billion yen more than estimated at the end of the first half period. SG&A expenses will increase mainly at domestic market.
Other factors include:
Foreign exchange loss of 0.2 billion yen.
Loss of 3 billion yen due to the deterioration of sales product mixture, about 2 billion yen in the domestic market and 2 billion yen in overseas markets. 2 billion yen in inventory adjustment, and several hundred million yen in components and others.
Deterioration in product mixture is expected to continue and affect both the domestic and overseas markets. |
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