27 November 2023
Financial Results for the First Half of FY2023
In the first half of this fiscal year, automobile production recovered globally with the easing of the supply shortage of semiconductors and other parts. Due to the recovery in automobile production, and the resulting increase in sales mainly of automobile-related products such as wiring harnesses and vibration-proof rubbers, as well as the impact of the weaker yen, our consolidated net sales for the first half of FY2023 were 2.0721 trillion yen, up 10% from the corresponding period of a year earlier, exceeding 2 trillion yen for the first time in the first half.
As a result of company-wide efforts to thoroughly reduce costs and improve selling prices, in addition to increased revenues, operating income for the first half was 67.3 billion yen, up by 35% compared to the same period last year, marking a new record high for the first half of a year. Regarding net profit, there was a large extraordinary profit in the same period of the previous year. This, coupled with an increase in interest expenses due to rising interest rates have resulted in a decrease in net profit in the first half. Nevertheless, we achieved the forecast announced at the beginning of this fiscal year.
Furthermore, the forecast for consolidated net sales for the full fiscal year has been revised up from the initial announcement of the year to 4.3 trillion yen, an all-time high. We aim to achieve this target through our efforts to expand sales of wiring harnesses, vibration-proof rubbers, power cables, and other products. Regarding the profits of the FY2023 full-year business forecast, we made upward revisions of operating income to 200 billion yen; ordinary income to 183 billion yen; and profit attributable to owners of the parent to 110 billion yen.
There are concerns about a slowdown in the global economy due to rising prices, prolonged monetary tightening, and heightened political and geopolitical risks. We will concentrate all our efforts on steadily increasing sales in each of the growth themes we have set in the Mid-term Management Plan 2025 published in May this year and increasing the profitability of our group.
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