KARIYA, Japan ― DENSO Corp. has announced global financial results for the first quarter ending June 30.
The company reported consolidated net sales of $11.1 billion, a 40 percent increase from the previous year.
Consolidated operating income totaled $985.6 million, an increase of $1 billion from the previous year’s operating loss of $55.2 million.
Consolidated net income totaled $619.1 million, a 1,801.7 percent increase from the previous 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,” said Kenichiro Ito, executive director of DENSO Corp.
In Japan, the increase in car production due to the recovery from the earthquake and government subsidies for eco-friendly car purchases led to an increase in sales to $7.8 billion, a 55.7 percent increase from the previous year. The increase in production volume led to an operating income of $694.7 million, an increase of $1 billion from the previous year’s operating loss.
In North America, increase of sales for Japanese auto manufacturers and GM, Ford and Chrysler led to an increase in sales to $2 billion, a 57.8 percent increase from the previous year. As a result of the increase in production volume, the operating income totaled $65.9 million, an increase of $97.8 million from the previous year’s operating loss.
In Europe, a decrease in car production due to the economic slump led to a decrease in sales to $1.2 billion, a 13.9 percent decrease from the previous year. Due to the currency exchange loss, operating income totaled $22.8 million, a 42.8 percent decrease from the previous year.
“Considering the first quarter financial results, we have decided to upwardly revise the original forecasts for the first-half and full-year financial results,” said Ito. “As this being the first year for the DENSO Group’s Global Mid-term Policy, we will progressively make efforts to expand business.“