KYOCERA Announces Consolidated Financial Results for Third Quarter, Ended Dec. 31, 2019

KYOTO, Japan--(BUSINESS WIRE)--Kyocera Corporation (TOKYO:6971) today announced its consolidated third-quarter financial results for the fiscal year ending March 31, 2020. Results are summarized below, both as an aggregation of Kyocera’s first three fiscal quarters (the “period,” i.e., nine months), and as the third quarter alone (the “quarter,” i.e., three months) ended Dec. 31, 2019. Complete details are available at: https://global.kyocera.com/ir/library/f_results.html

Consolidated Financial Highlights: Nine Months Ended December 31, 2019

Summary
China’s economic slowdown and continued inventory adjustments led to decreased revenue from the Electronic Devices business during this period, which offset new revenue contributions from M&A in the Industrial & Automotive Components business. As a result, consolidated sales revenue during the nine months ended December 31, 2019 decreased by JPY17,532 (USD159) million, or 1.4%, to JPY1,196,885 (USD10,881) million, as compared to the prior-year period.

Despite the lower sales revenue, profit increased year-over-year, due mainly to reduced expenses — led by the absence of approximately JPY68.5 billion (USD623 million) in non-recurring charges from the prior-year period, which included one-time costs in the Solar Energy and Organic Materials businesses. As a result, operating profit increased by JPY34,284 (USD312) million, or 56.6%, to JPY94,860 (USD862) million; profit before income taxes increased by JPY37,529 (USD341) million, or 36.1%, to JPY141,629 (USD1,288) million; and profit attributable to owners of the parent increased by JPY21,846 (USD199) million, or 27.5%, to JPY101,265 (USD921) million, as compared to the prior-year period.

Average exchange rates for the period reflect the Japanese yen’s appreciation of 1.8% against the U.S. dollar, to JPY109, and 6.2% against euro, to JPY121, as compared to the prior-year period. As a result, sales revenue and profit before income taxes were reduced by approximately JPY30 billion (USD273 million) and JPY10.5 billion (USD95 million) respectively, as compared to the prior-year period.

Consolidated Financial Highlights: Third Quarter

Guidance for the Fiscal Year Ending March 31, 2020
Consolidated full-year sales and profit results are expected to miss the forecasts announced on October 31, 2019. Profitability in the Solar Energy and Organic Materials businesses has improved through the structural reforms implemented in the prior fiscal year. In addition, demand for 5G- and IoT-related products is on an upward trend. However, automotive and industrial machinery demand is predicted to remain sluggish in many major global markets through the fourth quarter. Kyocera has therefore revised its consolidated financial forecasts as shown in the table below.

Consolidated Forecast: Year Ending March 31, 2020

Forward‐Looking Statements
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About KYOCERA
Kyocera Corporation (TOKYO:6971) (https://global.kyocera.com/), the parent and global headquarters of the Kyocera Group, was founded in 1959 as a producer of fine ceramics (also known as “advanced ceramics”). By combining these engineered materials with metals and integrating them with other technologies, Kyocera has become a leading supplier of industrial and automotive components, semiconductor packages, electronic devices, solar power generating systems, printers, copiers, and mobile phones. During the year ended March 31, 2019, the company’s sales revenue totaled 1.62 trillion yen (approx. USD14.6 billion). Kyocera appears on the “Derwent Top 100 Global Innovators 2018-19” list by Clarivate Analytics and is ranked #655 on Forbes magazine’s 2019 “Global 2000” list of the world’s largest publicly traded companies.