KYOCERA Announces Consolidated Financial Results for Six Months Ended September 30, 2021

Rhea-AI Summary

Kyocera Corporation reported strong financial results for the first half of FY22, ending September 30, 2021, with sales revenue soaring to JPY 876,337 million, a 25.9% increase from FY21. Operating profit surged by 214.5% to JPY 75,679 million, while profit before income taxes rose 105.9% to JPY 99,351 million. Profit attributable to owners reached JPY 73,219 million, an increase of 113.1%. The company revised its FY22 forecasts upwards due to robust demand in 5G and semiconductor markets, despite ongoing supply chain concerns.

Positive

• Sales revenue increased 25.9% to JPY 876,337 million.
• Operating profit rose 214.5% to JPY 75,679 million.
• Profit before income taxes grew 105.9% to JPY 99,351 million.
• Profit attributable to owners increased 113.1% to JPY 73,219 million.
• Upward revision of FY22 financial forecasts due to strong demand.

Negative

• Concerns over supply shortages of semiconductors and other components.

KYOTO, Japan--(BUSINESS WIRE)-- Kyocera Corporation (TOKYO:6971) today announced its consolidated financial results for the first half of fiscal year 2022, covering the six months ended September 30, 2021 (the “first half,” or “FY22-H1”), as summarized below. Complete details are available at: https://global.kyocera.com/ir/library/f_results.html

Consolidated Results of Operations: First Half

Unit: Millions (except percentages and per-share amounts)
	Six Months Ended September 30,
	2020 (FY21-H1) in JPY	2021 (FY22-H1) in JPY	Change		2021 (FY22-H1) in USD	2021 (FY22-H1) in EUR
			Amount in JPY	%
Sales revenue:	696,037	876,337	180,300	25.9	7,824	6,741
Operating profit:	24,065	75,679	51,614	214.5	676	582
Profit before income taxes:	48,249	99,351	51,102	105.9	887	764
Profit attributable to owners of the parent:	34,360	73,219	38,859	113.1	654	563
Earnings per share attributable to owners of the parent (basic):	94.80	202.01	－	－	1.80	1.55
Note on exchange rates: U.S. dollar (USD) and euro (EUR) conversions are provided above as a convenience to the reader, based on the rates of USD1 = JPY112 and EUR1 = JPY130, rounded to the nearest unit (as of September 30, 2021)

 

Summary

This first half was characterized by a significant increase in demand, especially from 5G- and semiconductor-related markets, as compared to a prior-year period constrained by initial COVID-19 impacts. The company concentrated on increasing orders, striving to raise production volumes and productivity alongside a medium-term strategic investment in facilities that we initiated in fiscal 2019. Consequently, first-half sales and profit increased significantly in all business segments.

Sales revenue increased 25.9% over the prior first half, to JPY876,337 (USD7,824) million, marking a record. Operating profit increased 214.5%, to JPY75,679 (USD676) million; profit before income taxes increased 105.9%, to JPY99,351 (USD887) million; and profit attributable to owners of the parent increased 113.1%, to JPY73,219 (USD654) million.

First-half average exchange rates show the Japanese yen weakened against both the U.S. dollar (by 2.8%, to JPY110) and the euro (by 8.3%, to JPY131) as compared to the prior first half. After yen conversion, first-half sales revenue and profit before income taxes consequently rose by approximately JPY26 billion (USD232 million) and JPY9 billion (USD80 million), respectively, due to these exchange rate fluctuations.

Consolidated Results of Operations: Second Quarter

Unit: Millions (except percentages)
	Three Months Ended September 30,
	2020 (FY21-Q2) in JPY	2021 (FY22-Q2) in JPY	Change		2021 (FY22-Q2) in USD	2021 (FY22-Q2) in EUR
			Amount in JPY	%
Sales revenue:	378,943	455,625	76,682	20.2	4,068	3,505
Operating profit:	16,491	43,303	26,812	162.6	387	333
Profit before income taxes:	17,838	44,875	27,037	151.6	401	345
Profit attributable to owners of the parent:	11,980	32,459	20,479	170.9	290	250
(See note above regarding exchange rates)

Consolidated Forecasts: Year Ending March 31, 2022

First-half results, especially in the components business, exceeded projections. Strong demand from 5G- and semiconductor-related markets is expected to continue in the second half, but concern over supply shortages involving semiconductors and other components will continue as well. Although uncertainty remains, the company has upwardly revised its consolidated financial forecasts for the full year ending March 31, 2022 after carefully considering all factors, including first-half results and second-half demand outlook.

The company has also revised its currency-exchange outlook for the second half, and now forecasts average exchange rates of JPY110 (originally JPY105) to the U.S. dollar and JPY130 (originally JPY125) to the euro for the full year.

We will pursue continued growth in order bookings and sales revenue, and improve productivity further to achieve the revised forecast of consolidated financial results outlined in the table below.

Unit: Yen in millions (except percentages, per-share amounts and exchange rates)
		Fiscal 2021 Results		Fiscal 2022 Forecast Announced on April 27		Fiscal 2022 Forecast Announced on November 1		Change (%) from Fiscal 2021 Results
Sales revenue:		1,526,897		1,730,000		1,750,000		14.6
Operating profit:		70,644		117,000		146,000		106.7
Profit before income taxes:		117,559		160,000		190,000		61.6
Profit attributable to owners of the parent:		90,214		113,000		139,000		54.1
Earnings per share attributable to owners of the parent (basic):		248.91		311.78		383.51	*	-
Average USD exchange rate:		106		105		110		-
Average EUR exchange rate:		124		125		130		-
* Based on the average number of shares outstanding during the six months ended September 30, 2021

Forward‐Looking Statements
Please refer to https://global.kyocera.com/ir/disclaimer.html

About KYOCERA
Kyocera Corporation (TOKYO:6971, https://global.kyocera.com/), the parent and global headquarters of the Kyocera Group, was founded in 1959 as a producer of fine ceramics (also known as “advanced ceramics”). By combining these engineered materials with metals and integrating them with other technologies, Kyocera has become a leading supplier of industrial and automotive components, semiconductor packages, electronic devices, smart energy systems, printers, copiers, and mobile phones. During the year ended March 31, 2021, the company’s consolidated sales revenue totaled 1.5 trillion yen (approx. US$13.8 billion). Kyocera is ranked #603 on Forbes magazine’s 2021 “Global 2000” list of the world’s largest publicly traded companies, and has been listed among “The World’s 100 Most Sustainably Managed Companies” by The Wall Street Journal.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211101005389/en/

KYOCERA Corporation (Japan), Corporate Communications

Kenichi Hara, Tel: +81-(0)75-604-3514 Fax: +81-(0)75-604-3516

webmaster.pressgl@kyocera.jp

Source: KYOCERA Corporation

FAQ

What are Kyocera's earnings results for the first half of FY22?

Kyocera reported sales revenue of JPY 876,337 million and operating profit of JPY 75,679 million for the first half of FY22.

How did Kyocera's profit change in the first half of FY22?

Profit attributable to owners increased by 113.1% to JPY 73,219 million in the first half of FY22.

What is the outlook for Kyocera's financial performance for FY22?

Kyocera has upwardly revised its FY22 forecasts due to strong demand, despite concerns over supply chain issues.

What were the main drivers behind Kyocera's sales increase?

The significant increase in demand from 5G and semiconductor-related markets was the primary driver for Kyocera's sales increase.

What are the currency exchange rate forecasts for Kyocera?

Kyocera revised its exchange rate outlook, now forecasting JPY 110 to the USD and JPY 130 to the EUR for the remainder of FY22.