TOKYO--(BUSINESS WIRE)--NSK Ltd. (NSK)(TOKYO:6471) today announces its financial results for the third quarter of the year ending March 2015. The company achieved strong results for both sales and profit.
1. Business Overview
(1) Qualitative Information Regarding Consolidated Business Results
During
the first nine months of the year ending March 31, 2015, sentiment in
the Japanese economy showed signs of weakening due to continued
stagnation in consumer spending following the consumption tax rise,
among other factors. The U.S. economy continued to recover, backed by
robust domestic demand. The European economy also showed signs of an
upturn, primarily in the Eurozone, despite the impact of government debt
problems and geopolitical risks. In Asia, the pace of economic growth in
China slowed, while economic conditions in other Asian countries
remained weak overall.
Summary
- Net sales: 711,903 million yen (+11.6% year-on-year)
-
Consolidated and operating income: 67,021 million yen (+49.9%
year-on-year)
- Ordinary income: 66,833 million yen (+48.8%
year-on-year)
- Net income after adjusting for income taxes and
minority interests: 43,725 million yen (+176.7% year-on-year)
2. Business Segment Information
(1) Industrial Machinery Business
Demand in the industrial
machinery continued to gradually recover worldwide. Looking at results
by region, sales in Japan increased, primarily in the machine tool and
semiconductor sectors, driven by steady demand for smartphone-related
machinery. Sales in the Americas grew, primarily in the general
machinery sector. In Europe, sales increased due to steady demand in the
wind turbine and machine tool sectors. In China, although demand in the
construction machinery sector slowed, government stimulus policies drove
strong demand in the railway and wind turbine sectors., Despite market
stagnation, sales of industrial machinery bearings in the ASEAN region
grew, primarily in the aftermarket sector.
-Net sales in the industrial machinery business: 202,889 million yen
(+14.0% year-on-year)
-Operating income: 22,597 million yen (+45.8%
year-on-year)
(2) Automotive Business
The global automotive market
continued its gradual expansion, driven by the strong North American
market, despite slower demand growth in China. Looking at results by
geographic breakdown, the automotive market in Japan was slow to recover
from the impact of the consumption tax rise, and sales declined as NSK
shifted part of its production overseas in line with automakers’
requirements for local procurement. In the Americas, sales increased due
to strong market demand in North America in addition to the effect of
production transfer from Japan. In Europe, continued recovery in the
automotive market led to higher sales. In China, electric power steering
system (EPS) sales rose significantly due to the intake of new orders,
while sales of automotive bearings―primarily to European and Japanese
automakers―were also strong despite slower market growth. In market
conditions in other parts of Asia varied by country, sales to Japanese
and Korean automakers rose.
- Net sales in the automotive business: 480,162 million yen (+11.0%
year-on-year)
- Operating income totaled 46,906 million yen (+39.9%
year-on-year)
There are no revisions to the forecast of consolidated results from the previous announcement.
For more details of the financial results, please visit NSK’s web site at http://www.nsk.com/investors/
Safe harbor statement
This document is an English
convenience translation of a document that was originally prepared in
the Japanese language and is provided for convenience purposes only. NSK
makes no representation or warranty that this document is a complete or
accurate translation of the original Japanese text, and is not intended
to be relied upon. In the event that there is a discrepancy between the
Japanese and English versions, the Japanese version shall prevail. This
document is not intended and should not be construed as an inducement to
purchase or sell stock in NSK.
