Cost Reduction, In-House Production, Productivity Improvement and Expense Reduction

「Ordinary results improved as the increase in fixed costs, mainly personnel expenses, was offset by increased sales scale and improved margins in systems for government agencies. As a result, for the fiscal year, revenue was ¥20,675 million, up 7.1% year on year, operating profit was ¥380 million, compared with ¥279 million in the previous fiscal year, and ordinary profit was ¥404 million, compared with ¥276 million in the previous fiscal year.」

「In the Information and Communications Systems business, revenue increased mainly due to more large-scale projects for government agencies and increased orders at the subsidiary 西菱電機エンジニアリング株式会社. In terms of profit, profit increased mainly due to the larger scale of sales. As a result, revenue was ¥4,251 million, up 8.9% year on year, and operating profit was ¥322 million, compared with operating profit of ¥68 million in the same period of the previous year.」

「In the Information and Communications Systems business, revenue was roughly unchanged year on year as increased large-scale projects for government agencies offset the decrease in units sold of IP radio equipment. In terms of profit, despite revenue being roughly unchanged, profit declined due to deteriorating margins on projects for government agencies and the impact of higher fixed costs, mainly personnel expenses.」

「Under these circumstances, Group revenue increased due to higher average selling prices resulting from soaring device prices in mobile device sales, despite a decrease in units sold, as well as increased sales of IP radio equipment. Ordinary results improved due to higher sales of IP radio equipment, improved margins in systems for government agencies and company-wide fixed-cost reductions. As a result, for the nine months ended [the third quarter] of the current fiscal year, revenue was ¥11,681 million, up 6.9% year on year, operating loss was ¥39 million, compared with an operating loss of ¥397 million in the same period of the previous year, and ordinary loss was ¥24 million, compared with an ordinary loss of ¥393 million.」

「Ordinary results improved due to higher sales of IP radio equipment, improved margins in systems for government agencies and company-wide fixed-cost reductions. As a result, for the six months ended [the second quarter] of the current fiscal year, revenue was ¥7,285 million, up 6.0% year on year, operating loss was ¥181 million, compared with an operating loss of ¥323 million in the same period of the previous year, and ordinary loss was ¥178 million, compared with an ordinary loss of ¥323 million.」

「Although the decline in units sold reduced profit, profit increased due to improved margins at the subsidiary コムテックサービス株式会社. As a result, revenue in the Information and Communications Terminals business was ¥1,620 million, down 2.0% year on year, and operating profit was ¥155 million, compared with operating profit of ¥148 million in the same period of the previous year.」

「In terms of profit, the company worked to reduce costs and restrain fixed costs, but profit declined mainly due to deteriorating margins resulting from lower sales of systems for government agencies, lower sales by 西菱電機エンジニアリング株式会社, intensifying competition, and an increase in sales of IP radio equipment.」

「In terms of profit, despite the impact of deteriorating margins in mobile device sales, profit increased due to higher productivity in mobile device repair and refurbishment and other factors. As a result, revenue in the Information and Communications Terminals business was ¥3,289 million, down 0.2% year on year, and operating profit was ¥319 million, compared with operating profit of ¥288 million in the same period of the previous year.」

「In terms of profit, the company worked to improve its profit margin through cost reductions and restrain fixed costs in response to lower sales, but could not offset the impact, resulting in lower profit.」

「Ordinary results deteriorated despite efforts to improve margins, reduce fixed costs associated with voluntary restraints and control expenses, due to lower profitability following a decrease in sales incentives for mobile device sales and deteriorating margins resulting from intensifying competition in the systems business.」

「Ordinary results deteriorated despite efforts to improve margins, reduce fixed costs associated with voluntary restraints and control expenses, due to lower profitability following a decrease in sales incentives for mobile device sales and deteriorating margins resulting from intensifying competition in the systems business.」

「In terms of profit, productivity improvements in mobile device repair and refurbishment contributed to results, but profit declined due to the impact of deteriorating margins in mobile device sales.」

「In terms of profit, the company worked to improve its profit margin through higher revenue and cost reductions, resulting in an improvement. As a result, revenue in the Information and Communications Systems business was ¥1,595 million, compared with revenue of ¥1,197 million in the same period of the previous year, and operating profit was ¥41 million, compared with an operating loss of ¥90 million in the same period of the previous year.」

「In terms of profit, the company improved its profit margin through cost reductions and other measures and benefited from lower fixed costs during the period of voluntary restraints, but profit declined year on year as the impact of lower revenue was significant.」

「In terms of profit, the company improved its profit margin through cost reductions and other measures and benefited from lower fixed costs during the period of voluntary restraints, but the impact of lower revenue was significant, resulting in lower profit.」

「In terms of profit, the company improved its profit margin through cost reductions and other measures and benefited from lower fixed costs during the period of voluntary restraints, but profit declined as the impact of lower revenue was significant. As a result, revenue in the Information and Communications Systems business was ¥3,458 million, down 9.3% year on year, and operating profit was ¥109 million, compared with operating profit of ¥166 million in the same period of the previous year.」

「In terms of profit, the company improved profitability through higher productivity in mobile device repair and refurbishment, proposals for value-added products in mobile device sales, and lower fixed costs associated with voluntary restraints, but profit declined as the impact of the substantial decrease in revenue was significant. As a result, revenue in the Information and Communications Terminals business was ¥1,371 million, down 38.5% year on year, and operating profit was ¥158 million, compared with operating profit of ¥222 million in the same period of the previous year.」

「In the Information and Communications Terminals business, the number of units repaired declined in the mobile device repair and refurbishment business. The number of units sold in the mobile device sales business also declined, due in part to higher device prices following the introduction of separate plans. In terms of profit, the company worked to improve productivity in mobile device repair and refurbishment and profitability through proposals for value-added products in mobile device sales, resulting in improved profitability and higher profit. As a result, revenue in the Information and Communications Terminals business was ¥6,410 million, down 10.2% year on year, and operating profit was ¥643 million, compared with operating profit of ¥610 million in the same period of the previous year.」

「In terms of profit, the company worked to improve productivity in mobile device repair and refurbishment and profitability through proposals for value-added products in mobile device sales, but profit declined due to the impact of decreases in repaired and sold units. As a result, revenue in the Information and Communications Terminals business was ¥4,380 million, down 5.6% year on year, and operating profit was ¥441 million, compared with operating profit of ¥447 million in the same period of the previous year.」

「In terms of profit, the company worked to improve productivity in mobile device repair and refurbishment and profitability through proposals for value-added products in mobile device sales, resulting in higher profit. As a result, revenue in the Information and Communications Terminals business was ¥2,230 million, down 0.1% year on year, and operating profit was ¥222 million, compared with operating profit of ¥195 million in the same period of the previous year.」

「In the mobile device repair and refurbishment business, profit declined despite continued efforts to improve productivity, due to a decrease in the number of units repaired.」

「Profit increased, as productivity improvements pursued since the previous fiscal year made a significant contribution to results in the mobile device repair and refurbishment business. As a result, revenue in the Information and Communications Terminals business was ¥9,540 million, up 3.3% year on year, and operating profit was ¥874 million, up 85.9%.」

「In the mobile-device repair and refurbishment business, profit increased as productivity improvements undertaken since the previous fiscal year made a significant contribution to results. As a result, revenue in the information and communications terminal business was ¥6,928 million, up 3.4% year on year, and operating profit was ¥649 million, compared with operating profit of ¥228 million in the same period of the previous year.」

「In the mobile-device repair and refurbishment business, profit increased year on year as the strengthening of the operating structure and productivity improvements undertaken since the previous fiscal year contributed to results. As a result, revenue in the information and communications terminal business was ¥4,335 million, up 2.0% year on year, and operating profit was ¥435 million, compared with operating profit of ¥103 million in the same period of the previous year.」

「Although the number of repairs declined in the mobile-device repair and refurbishment business, profit increased year on year as a result of a significant improvement in productivity. In addition, changes to transaction terms associated with the expansion of production, which the company had been working on since the previous fiscal year, have been implemented. As a result, revenue in the information and communications terminal business was ¥2,100 million, up 3.4% year on year, and operating profit was ¥169 million, compared with an operating loss of ¥14 million in the same period of the previous year.」

「Revenue declined year on year due to a decrease in orders for systems for government agencies and other factors, but operating profit improved as a result of cost reductions and lower fixed costs.」

「Profit declined as continued investment to eliminate the backlog of unrepaired devices in the mobile-device repair and refurbishment business, together with the resulting deterioration in productivity, had a significant impact.」

「Profit declined year on year because of continued investment to eliminate the backlog of unrepaired devices caused by a sharp increase in the number of mobile-device repairs accepted, together with delays in improving efficiency.」

「The company will pursue stronger cost reduction, promote in-house production, improve productivity and reduce expenses.」