DENSO Corp. has announced its global financial results for the third quarter/nine months of the fiscal year ending March 31, 2017.
DENSO’s consolidated revenue totaled 3,311.5 billion yen ($28.4 billion USD), an 1.8 percent decrease from the previous year. Consolidated operating profit totaled 247.5 billion yen ($2.1 billion USD), an 1.8 percent increase from the previous year. Consolidated profit attributable to owners of the parent company totaled 190.9 billion yen ($1.6 billion USD), a 0.2 percent decrease from the previous year.
“Despite the production volume increase and sales expansion, DENSO’s revenue decreased due to appreciation of the yen. Despite the appreciation of the yen, operating profit increased due to the production volume, cost reduction efforts and improved other income /expenses,” said Yasushi Matsui, executive director of DENSO Corp.
In Japan, despite the impact of the exchange rate, the production volume increase led to an increase in revenue to 1,982.2 billion yen ($17 billion USD), a 0.8 percent increase from the previous year. The impact of the exchange rate of export sales led to an operating profit of 106.9 billion yen ($917.3 million USD), a 15.5 percent decrease from the previous year.
In North America, despite an increase in car production and sales expansion, boosted by the steady economic growth, impact of exchange rate led to a decrease in revenue to 781.6 billion yen ($6.7 billion USD), a 5.6 percent decrease from the previous year. As a result of the increase in production volume, the operating profit totaled 43.4 billion yen ($373 million USD), a 35.1 percent increase from the previous year.
In Europe, despite car production increase and sales expansion due to the moderate recovery of the market, impact of exchange rate led to a decrease in revenue to 416.9 billion yen ($3.6 billion USD), a 5.4 percent decrease from the previous year. As a result of the increase in production volume, the operating profit totaled to 14.3 billion yen ($122.8 million USD), a 33.5 percent increase from the previous year.
In Asia, despite the increase of car production and sales expansion, impact of exchange rate resulted in a revenue decrease of 839.8 billion yen ($7.2 billion USD), a 4.9 percent decrease from the previous year. As a result of the increase in production volume, an operating profit totaled 80.5 billion yen ($691.1 million USD), a 9.6 percent increase from the previous year.
In other areas, mainly the South American region, including Brazil and Argentina, revenue totaled 46.9 billion yen ($402.5 million USD), a 2.1 percent increase from the previous year. The operating profit totaled 4 billion yen ($34.4 million USD).
