Improving business efficiency through the reorganisation of sales locations and cost reductions

「We optimised service locations in the Precision Equipment business and reorganised locations of the company and its overseas subsidiaries, recognising structural-reform-related expenses of ¥891 million in the Precision Equipment business and ¥809 million in unallocated corporate profit or loss.」

「In the Imaging business, we are working on optimisation of production and sales, supply-chain and logistics reforms, thorough cost reductions, stronger digital marketing and development-efficiency improvements, and continue to strengthen the business’s earnings structure.」

「In response, we are working on measures including optimisation of production and sales, supply-chain and logistics reforms, thorough cost reductions, stronger digital marketing and development-efficiency improvements, and continue to strengthen the business’s earnings structure.」

「In response, we continued to strengthen the business’s earnings structure through measures including the optimisation of production and sales locations, thorough cost reductions, development-efficiency improvements, and supply-chain and logistics reforms.」

「Through structural reforms and a focus strategy targeting professional and enthusiast customers and mid- to high-end cameras, the Imaging business has developed a structure capable of consistently securing profitability.」

「In response, we continued business structural reforms, including the optimisation of production and sales locations, thorough cost reductions, development-efficiency improvements, and supply-chain and logistics reforms, to strengthen the business’s earnings structure.」

「In response, we continued business structural reforms, including the optimisation of production and sales locations, thorough cost reductions, development-efficiency improvements, and supply-chain and logistics reforms, to strengthen the business’s earnings structure.」

「During the cumulative first quarter of the current fiscal year, we reorganised subsidiaries of the Imaging and Healthcare businesses in Europe and absorbed six companies, including Nikon Europe B.V., Nikon Instruments Europe B.V., Nikon France S.A.S and Nikon GmbH, with Nikon Holdings Europe B.V. as the surviving company. The surviving company, Nikon Holdings Europe B.V., was renamed Nikon Europe B.V. effective 1 April 2021.」

「Toward the target of ¥18 billion in total cost reductions over the plan period, we are steadily and systematically implementing measures including supply-chain optimisation, the streamlining of administrative and support functions, and the reorganisation of global sales and production structures.」

「In response, we are implementing business structural reforms, including optimising production and sales locations, pursuing thorough cost reductions, and reforming SCM, logistics and other functions, while moving toward a business structure capable of generating a certain level of profit.」

「In our core businesses, in addition to reviewing production and sales structures, we are working to improve profitability through cost reforms including logistics reform and further streamlining of administrative and support functions.」

「Toward the target of ¥18 billion in total cost reductions over the Plan period, we are systematically advancing measures including supply chain optimization, streamlining of administrative and indirect functions, and the reorganization of our global sales and production structures.」

「We included ¥1,753 million in the transfer to profit or loss of the cumulative translation adjustment upon completion of the liquidation of Nikon Imaging (China) Co., Ltd., a Chinese production subsidiary. We also included ¥869 million in additional retirement allowances in other operating expenses in connection with the optimisation of sales and production locations being implemented as part of structural reforms in the Imaging business.」

「To strengthen the profitability of existing businesses, we further reviewed the production and sales structures and advanced selection and concentration in the three principal businesses of imaging, FPD equipment and semiconductor equipment.」

「As a result, total business revenue declined, but the deficit narrowed through improvements in the cost structure of biological microscopes and the narrowing of investment priorities.」

「In the Industrial Equipment business, sales of CNC image-measuring systems and other products remained solid, while structural reforms improved profitability, resulting in higher revenue and profit.」

「The number of employees decreased by 4,002 from the end of the previous consolidated fiscal year. The main reasons were the implementation of voluntary retirement programmes in Japan and the suspension of operations at a production subsidiary in China.」

「As a result, revenue from this business was ¥175.217 billion, down 1.7% year on year. However, as a result of efforts to improve profitability through structural reforms and control expenses, operating profit was ¥15.448 billion, up 4.1% year on year.」

「In addition, to strengthen technology and improve efficiency in optical component production, we consolidated the Group’s optical production functions at Tochigi Nikon.」

「We will reduce fixed costs by reviewing our organisation and operating structure and optimising the workforce on a scale of 1,000 people, including transfers and other measures.」

「The Imaging business reported lower revenue and profit due to the contraction of the digital camera market, foreign exchange movements and the impact of suppliers affected by the 2016 Kumamoto Earthquake. However, we sought to secure profit through an improved product mix, driven by strong sales of the interchangeable-lens digital cameras “D5” and “D500,” as well as expense controls.」

「We pursued structural reforms, including the reorganisation of sales locations and other facilities to optimise our business operating structure, while working to further improve business efficiency through cost reductions and other measures.」