Structural Reforms at Fuji Xerox Through the Reorganization of Sales, Production and Head-Office Functions

「If we proceed with this spin-off, we will continue examining the details with a view to implementing it in 2 to 3 years.」

「In the Office Solutions business, sales declined due to factors including lower sales in the Asia-Pacific region against a backdrop of weak market conditions in China and Oceania and the discontinuation of low-margin models, as well as declining exports to Europe and the US.」

「In the Office Solutions business, sales declined due to factors including lower sales in the Asia-Pacific region, reflecting China's economic slowdown and the discontinuation of low-margin models.」

「In the Office Solutions business, sales declined mainly because we discontinued sales of low-margin models among the compact printers sold in Europe and the US.」

「Restructuring costs incurred during the nine-month cumulative period and the third quarter of the current fiscal year were ¥2,884 million and ¥886 million, respectively, and were recorded under cost of sales, selling, general and administrative expenses, and research and development expenses in the quarterly consolidated statement of income.」

「Operating profit in the Document Solutions segment was ¥105,045 million, up 9.0% from the previous fiscal year, due to improved profitability from business process reform and other factors.」

「Restructuring costs incurred during the nine-month cumulative period and the third quarter of the current fiscal year were ¥3,577 million and ¥2,592 million, respectively, and were recorded under cost of sales, selling, general and administrative expenses in the consolidated statement of income.」

「Consolidated revenue in the Document Solutions segment was ¥485,319 million, down 2.5% year on year. Operating income was ¥54,921 million, up 26.9%, due to strong domestic sales, improved profitability from reducing low-margin deals and the effects of restructuring.」

「③ Consolidated revenue in the Document Solutions segment was ¥233,064 million, down 3.3% year on year. Operating income was ¥21,717 million, up 45.5%, due to improved profitability and the effects of restructuring.」

「The segment's consolidated revenue was ¥1,005,609 million, down 4.0% year on year, due mainly to the contraction of the low-margin low-end printer business. Operating income was ¥96,366 million, 11.5 times the previous fiscal year's level, due to improved profitability and the effects of restructuring, among other factors.」

「The segment's consolidated revenue was ¥737,129 million, down 5.9% year on year, due to the contraction of the low-margin low-end printer business and the impact of a change in the method of recording revenue from purchased products, among other factors. Operating income was ¥66,915 million, up 82.2%, due to improved profitability and the effects of restructuring, among other factors.」

「Restructuring costs incurred during the six-month cumulative period and the second quarter of the current fiscal year were ¥552 million and ¥206 million, respectively, and were recorded under cost of sales, selling, general and administrative expenses in the consolidated statement of income. The balance of restructuring-related liabilities at the end of the second quarter was ¥259 million.」

「The segment's consolidated revenue was ¥241,071 million, down 6.0% year on year, due to the contraction of the low-margin low-end printer business and a change in the method of recording revenue from purchased products, among other factors. Operating income was ¥14,923 million, up 43.4%, due to the effects of restructuring and improved profitability, among other factors.」

「While maintaining the leading positions secured in Japan and the Asia-Oceania region, the Document business will strengthen the value delivered by its solutions and services, accelerate business expansion in growth markets including China, and complete the restructuring announced in January 2018, thereby improving profitability and productivity and transforming the business into a more resilient operation.」

「At a meeting of the Board of Directors held on 31 January 2018, we resolved to implement a restructuring of our subsidiary Fuji Xerox Co., Ltd. (hereinafter, "Fuji Xerox") in order to prevail in future competition and ensure robust, sustainable business growth amid an increasingly challenging market environment surrounding Fuji Xerox. The specific restructuring measures are as follows: • Reorganisation of domestic and overseas sales structures • Consolidation and reorganisation of production sites and development structures • Review of the product mix to improve business profitability • Consolidation of head-office functions and expansion of shared services • Reduction of fixed assets」