FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
REPORT OF FOREIGN PRIVATE ISSUER
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
For the month of April 2009
Commission File Number 2 - 68279
RICOH COMPANY, LTD.
-----------------------------------------------
(Translation of Registrant's name into English)
13-1, Ginza 8-Chome, Chuo-ku, Tokyo 104-8222, Japan
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(Address of Principal Executive Offices)
(Indicate by check mark whether the registrant files or will file annual reports
under cover Form 20-F or Form 40-F.)
Form 20-F X Form 40-F __
(Indicate by check mark if the registrant is submitting the Form 6-K in paper as
permitted by Regulation S-T Rule 101(b)(1): __ )
(Indicate by check mark if the registrant is submitting the Form 6-K in paper as
permitted by Regulation S-T Rule 101(b)(7): __ )
(Indicate by check mark whether by furnishing the information contained in this
Form, the registrant is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act
of 1934.)
Yes __ No X
(If "Yes" is marked, indicate below the file number assigned to the registrant
in connection with Rule 12g3-2(b): 82-__ )
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Ricoh Company, Ltd.
------------------------------
(Registrant)
By: /S/ Zenji Miura
------------------------------
Zenji Miura
Director, Chief Financial Officer
Corporate Executive Vice President
April 24, 2009
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RICOH
April 24, 2009
FLASH REPORT
Year ended March 31, 2009
(Results for the Period from April 1, 2008 to March 31, 2009)
Three months ended March 31, 2009
(Results for the Period from January 1, 2009 to March 31, 2009)
PERFORMANCE OUTLINE (CONSOLIDATED)
(1) Year ended March 31, 2008, 2009 and Year ending March 31, 2010 (Forecast)
(Billions of yen)
- ------------------------------------------------------------------------------------------- ------------------------
Year ended Year ended Year ending
March 31, 2008 March 31, 2009 March 31, 2010
(Results) (Results) Change (Forecast) Change
- ------------------------------------------------------------------------------------------- -----------------------
Domestic sales 1,016.0 938.3 -7.6% 940.0 0.2%
Overseas sales 1,203.9 1,153.3 -4.2% 1,220.0 5.8%
Net sales 2,219.9 2,091.6 -5.8% 2,160.0 3.3%
Gross profit 927.7 854.3 -7.9% 880.0 3.0%
Operating income 181.5 74.5 -58.9% 65.0 -12.8%
Income before income taxes 174.6 30.9 -82.3% 55.0 77.8%
Net income 106.4 6.5 -93.9% 30.0 359.4%
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Exchange rate (Yen/US$) 114.40 100.55 -13.85 95.00 -5.55
Exchange rate (Yen/EURO) 161.69 143.74 -17.95 125.00 -18.74
- ------------------------------------------------------------------------------------------- ------------------------
Net income per share-basic (yen) 146.04 9.02 -137.02 41.44 32.42
Net income per share-diluted (yen) 142.15 8.75 -133.40 40.31 31.56
- ------------------------------------------------------------------------------------------- ------------------------
Return on equity (%) 9.9 0.6 -9.3 -- --
Income before income taxes on total assets (%) 7.8 1.3 -6.5 -- --
Operating income on net sales (%) 8.2 3.6 -4.6 3.0 -0.6
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Total assets 2,214.3 2,513.4 299.1 -- --
Shareholders' investment 1,080.1 975.3 -104.8 -- --
Interest-bearing debt 384.3 779.1 394.8 -- --
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Equity ratio (%) 48.8 38.8 -10.0 -- --
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Shareholders' investment per share (yen) 1,498.29 1,344.08 -154.21 -- --
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Cash flows from operating activities 194.3 87.4 -106.8 -- --
Cash flows from investing activities -198.3 -283.1 -84.8 -- --
Cash flows from financing activities -72.1 295.9 368.0 -- --
Cash and cash equivalents at end of period 170.6 258.4 87.8 -- --
- ------------------------------------------------------------------------------------------- ------------------------
Capital expenditures 85.2 96.9 11.7 95.0 -1.9
Depreciation for tangible fixed assets 72.7 74.8 2.1 77.0 2.1
R&D expenditures 126.0 124.4 -1.6 120.0 -4.4
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Number of employees (Japan) (thousand people) 40.4 40.9 0.5 -- --
Number of employees (Overseas) (thousand people) 43.1 67.6 24.5 -- --
- ------------------------------------------------------------------------------------------- ------------------------
RICOH COMPANY, LTD.
* Ricoh bases the forecast estimates for March 31, 2010 above upon
information currently available to management, which involves risks and
uncertainties that could cause actual results to differ materially from
those projected.
1
(2) Three months ended March 31, 2008 and 2009
(Billions of yen)
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Three months ended Three months ended
March 31, 2008 March 31, 2009 Change
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Domestic sales 266.9 233.4 -12.5%
Overseas sales 312.6 290.2 -7.2%
Net sales 579.5 523.6 -9.6%
Gross profit 239.0 196.8 -17.6%
Operating income 47.4 -11.8 -124.9%
Income before income taxes 40.5 -29.1 -171.8%
Net income 21.1 -23.0 -208.6%
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Exchange rate (Yen/US$) 105.60 93.61 -11.99
Exchange rate (Yen/EURO) 158.06 122.35 -35.71
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Net income per share-basic (yen) 29.20 -31.92 -61.12
Net income per share-diluted (yen) 28.41 -- --
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Return on equity (%) 2.0 -2.2 -4.2
Income before income taxes on total assets (%) 1.8 -1.2 -3.0
Operating income on net sales (%) 8.2 -2.3 -10.5
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Capital expenditures 27.3 24.6 -2.7
Depreciation for tangible fixed assets 18.6 19.8 1.1
R&D expenditures 32.4 30.9 -1.5
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(3) Half year ended September 30, 2008 and Half year ending September 30, 2009
(Forecast)
(Billions of yen)
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Half year ended Half year ending
September 30, 2008 September 30, 2009
(Results) (Forecast) Change
- ------------------------------------------------------------------------------------------
Domestic sales 483.8 464.0 -4.1%
Overseas sales 582.1 596.0 2.4%
Net sales 1,065.9 1,060.0 -0.6%
Gross profit 443.3 432.0 -2.6%
Operating income 65.0 15.0 -77.0%
Income before income taxes 58.8 10.0 -83.0%
Net income 34.3 3.5 -89.8%
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Exchange rate (Yen/US$) 106.15 95.00 -11.15
Exchange rate (Yen/EURO) 162.69 125.00 -37.69
- ------------------------------------------------------------------------------------------
Capital expenditures 46.9 50.0 3.0
Depreciation for tangible fixed assets 35.3 37.0 1.6
R&D expenditures 63.2 59.0 -4.2
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2
RICOH COMPANY, LTD. AND CONSOLIDATED SUBSIDIARIES
FLASH REPORT (CONSOLIDATED RESULTS FOR THE YEAR ENDED MARCH 31, 2009)
1. RESULTS FOR THE PERIOD FROM APRIL 1, 2008 TO MARCH 31, 2009
(1) Operating Results
(Millions of yen)
- --------------------------------------------------------------------------------
Year ended Year ended
March 31, 2008 March 31, 2009
- --------------------------------------------------------------------------------
Net sales 2,219,989 2,091,696
(% change from the previous fiscal year) 7.3 -5.8
Operating income 181,506 74,536
(% change from the previous fiscal year) 4.1 -58.9
Income before income taxes 174,669 30,939
(% change from the previous fiscal year) 0.1 -82.3
Net income 106,463 6,530
(% change from the previous fiscal year) -4.7 -93.9
Net income per share-basic (yen) 146.04 9.02
Net income per share-diluted (yen) 142.15 8.75
Return on equity (%) 9.9 0.6
Income before income taxes on total assets (%) 7.8 1.3
Operating income on net sales (%) 8.2 3.6
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Notes:
i. Equity in income of affiliates: Yen 71 million (Yen 1,247 million in
previous fiscal year)
(2) Financial Position
(Millions of yen)
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March 31, 2008 March 31, 2009
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Total assets 2,214,368 2,513,495
Shareholders' investment 1,080,196 975,373
Equity ratio (%) 48.8 38.8
Equity per share (yen) 1,498.29 1,344.08
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(3) Cash Flows
(Millions of yen)
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Year ended Year ended
March 31, 2008 March 31, 2009
- --------------------------------------------------------------------------------
Cash flows from operating activities 194,363 87,488
Cash flows from investing activities -198,350 -283,172
Cash flows from financing activities -72,185 295,914
Cash and cash equivalents at end of period 170,607 258,484
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2. DIVIDEND INFORMATION
(Millions of yen)
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Year ended Year ended Year ending
March 31, 2008 March 31, 2009 March 31, 2010
- -----------------------------------------------------------------------------------------------
Cash dividends, applicable to the year (yen) 33.00 33.00 33.00
Half year (yen) 16.00 18.00 16.50
Year-end (yen) 17.00 15.00 16.50
Total annual dividends (millions of yen) 23,933 23,949 --
Payout Ratio (%) 22.6 365.9 79.6
Dividends on shareholders' equity (%) 2.2 2.3 --
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3. FORECAST OF OPERATING RESULTS FROM APRIL 1, 2009 TO MARCH 31, 2010
(Millions of yen)
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Half year ending Year ending
September 30, 2009 March 31, 2010
- --------------------------------------------------------------------------------
Net sales 1,060,000 2,160,000
Operating income 15,000 65,000
Income before income taxes 10,000 55,000
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* Net income attributable to the noncontrolling interest
Half year ending September 30, 2009 Yen 3,500 million
Year ending March 31, 2010 Yen 30,000 million
* Earnings per share attributable to Ricoh common stock
Half year ending September 30, 2009 Yen 4.83
Year ending March 31, 2010 Yen 41.44
* Note: The meaning of "Earnings per share attribute to Ricoh common
shareholder" is the same as the former "Net income"
* In accordance with Japanese regulations, Ricoh has issued forecast for its
financial results for the fiscal year ending March 31, 2010. These forecast
are forward-looking statements based on a number of assumptions and beliefs
in light of the information currently available to management and subject
to significant risks and uncertainties.
3
4. OTHERS
(1) Changes in significant subsidiaries:
Yes (IKON Office Solutions, Inc.)
(2) Change in accounting method has been made.
(3) Number of common stock outstanding (including treasury stock):
As of March 31, 2009 744,912,078 shares As of March 31, 2008 744,912,078 shares
(4) Number of treasury stock:
As of March 31, 2009 19,232,352 shares As of March 31, 2008 23,960,828 shares
4
1. PERFORMANCE
(1) OPERATING RESULTS
*Overview
Consolidated net sales of Ricoh Group for fiscal year 2009 (April 1, 2008 to
March 31, 2009) decreased by 5.8% from the previous corresponding period, to Yen
2,091.6 billion. During this period, the average yen exchange rates were Yen
100.55 against the U.S. dollar (up Yen 13.85) and Yen 143.74 against the euro
(up Yen 17.95). Sales would have increased by 1.1% excluding the effects of
foreign currency exchange fluctuations.
Sales in all the segments such as the Imaging & Solutions, Industrial Products
and Other decreased. As for the Imaging & Solutions, while the sales of laser
printers increased due to the effort to enhance its sales structures and expand
printer business operations, the appreciation of the Yen had a negative effect
significantly. Sales in Industrial Products and Other, decreased. As a result,
domestic sales decreased by 7.6% from the previous corresponding period, to Yen
938.3 billion. Overseas sales also decreased by 4.2% from the previous
corresponding period, to Yen 1,153.3 billion. Overseas sales would have
increased by 8.5% from the previous corresponding period, excluding the effects
of foreign currency fluctuations.
Gross profit decreased by 7.9% from the previous corresponding period, to
Yen 854.3 billion. Gross profit as a percentage of net sales also decreased by
1.0 percentage point as compared to the previous corresponding period, to 40.8%
because the advantage derived from cost reduction was not enough to offset the
negative effect of the appreciation of the Yen.
While group-wide cost reduction efforts contributed to a decline in selling,
general and administrative expenses, Ricoh incurred the expenses relating to
enhancement of its sales structures, expansion of printer business operations,
and structural change. Consequently, selling, general and administrative
expenses increased by 4.5% as compared to the previous corresponding period, to
Yen 779.8 billion. R&D expenses decreased by Yen 1.6 billion from the previous
corresponding period, to Yen 124.4 billion (5.9% of total sales).
As a result, operating income decreased by 58.9% from the previous corresponding
period, to Yen 74.5 billion.
In the other (income) expense, the other income decrease was due to the
appreciation of the Yen in the latter half of this year, additionally to the
loss from revaluation of securities. As a result, income from continuing
operations before income taxes decreased by 82.3% from the previous
corresponding period, to Yen 30.9 billion.
As a result, net income decreased by 93.9% from the previous corresponding
period, to Yen 6.5 billion.
For assets, cash and cash equivalents increased from the end of the previous
corresponding period. And other investments including goodwill increased due to
the acquisition of IKON Office Solutions, Inc.(hereinafter referred to as IKON,
Inc.) that was an American-based independent company dealing office equipment.
As a result, total assets increased by Yen 299.1 billion to Yen 2,513.4 billion.
Interest-bearing debt increased by Yen 394.8 billion from the end of the
previous corresponding period, to Yen 779.1 billion due to the financing for the
acquisition of IKON, Inc. The shareholders' equity decreased by Yen 104.8
billion from the end of the previous corresponding period, to Yen 975.3 billion,
and the equity ratio fell by 10.0 percentage point from the previous
corresponding period, to 38.8% .
A year-end cash dividend of Yen 15.00 per share is proposed. Combined with the
interim dividend of Yen 18.00 per share, the total dividend for the fiscal year
ended March 31, 2009 will be Yen 33.00 per share.
5
*Consolidated Sales by Product Line
Imaging & Solutions (Sales down 4.0% to Yen 1,833.0 billion)
- ------------------------------------------------------------
Net sales in the Imaging & Solutions segment which consists of Imaging Solutions
and Network System Solutions decreased by 4.0% from the previous corresponding
period, to Yen 1,833.0 billion.
The breakdown of sales for Imaging Solutions and Network System Solutions is as
shown below.
The sales would have increased by 3.7% excluding the effects of foreign currency
fluctuations.
Imaging Solutions (Sales down 6.5% to Yen 1,598.6 billion)
----------------------------------------------------------
Sales of printers remained steady due mainly to enhancing its sales
structures and expand printer business operations. But the economic
slowdawn and the appreciation of the Yen negatively affect. As a result,
sales decreased by 6.5% from the previous corresponding period, to
Yen 1,598.6 billion.
The sales would have increased by 1.7% excluding the effects of foreign
currency fluctuations.
Network System Solutions (Sales up 17.2% to Yen 234.4 billion)
--------------------------------------------------------------
Sales in this category increased by 17.2% as compared to the previous
corresponding period, to Yen 234.4 billion.
Overseas IT service business was changed from Imaging Solutions to Network
System Solutions from this fiscal year. The effect of the change was Yen
17.7 billion.
Industrial Products (Sales down 19.9% to Yen 115.5 billion)
- -----------------------------------------------------------
Net sales in the Industrial Products segment decreased by 19.9% from the
previous corresponding period, to Yen 115.5 billion.
Sales of thermal media, semiconductor devices and electronic components
decreased.
Other (Sales down 13.9% to Yen 143.0 billion)
- ---------------------------------------------
Net sales in this category decreased by 13.9% from the previous corresponding
period, to Yen 143.0 billion. Sales of digital cameras decreased.
[Graph 1] Consolidated sales by product line
The graphs are omitted. The data in the omitted graphs can be shown at the
schedule 1 in APPENDIX B.
7
* Consolidated Sales by Geographic Area
Japan (Sales down 7.6% to Yen 938.3 billion)
- --------------------------------------------
The Japanese economy was increasingly slowing due to the decline in the
corporate sector's performance and the decline in the personal consumption
derived from the world economic slowdown, the decline in stock market prices,
the appreciation of the Yen, and so on. In the severe business environment,
sales in the Imaging & Solutions segment as well as sales in Industrial Products
and Other segments all decreased from the previous corresponding period.
Overall sales in Japan decreased by 7.6% from the previous corresponding period,
to Yen 938.3 billion.
The Americas (Sales up 15.7% to Yen 502.8 billion)
- --------------------------------------------------
In the U.S., economy worsened markedly due to the financial crisis, the
deteriorating employment conditions, the decline in the personal consumption and
so on, triggered by the subprime loan crisis. In such situation, managerial
environment for Ricoh's businesses also became severe. Ricoh strengthen its
sales structures in order to provide the best solutions to meet the diverse
range of customer needs for color, networking and high-speed products. As a
result sales of color MFPs and printers exceeded the last fiscal year's level.
As a result, overall sales in the Americas increased by 15.7% from the previous
corresponding period, to Yen 502.8 billion. The sales in this area would have
increased by 31.6% excluding the effects of foreign currency fluctuations.
Europe (Sales down 13.2% to Yen 523.4 billion)
- ----------------------------------------------
In Europe, economy worsened due to the financial crisis and so on. And about
exchange rate, the appreciation of the yen against the Euro continued. In the
severe business environment, sales in the Imaging & Solutions segment as well as
sales in Industrial Products and Other segments all decreased from the previous
corresponding period. As a result, overall sales in Europe decreased by 13.2%
from the previous corresponding period, to Yen 523.4 billion. The sales in this
area would have decreased by 2.4% excluding the effects of foreign currency
fluctuations.
Other (Sales down 23.4% to Yen 127.0 billion)
- ---------------------------------------------
The Other segment includes China, other Asian countries and Oceania. Due mainly
to the appreciation of the yen, sales in the Imaging & Solutions segment as well
as sales in Industrial Products and Other segments all decreased from the
previous corresponding period.
As a result, overall sales in Other decreased by 23.4% from the previous
corresponding period, to Yen 127.0 billion. The sales in this area would have
decreased by 12.4% excluding the effects of foreign currency fluctuations.
[Graph 2] Consolidated sales by geographic area
The graphs are omitted. The data in the omitted graphs can be shown at the
schedule 2 in APPENDIX B.
8
*Segment Information
Business Segment
- ----------------
Imaging & Solutions
- -------------------
Sales of Imaging & Solutions segment decreased by 4.0% from the previous
corresponding period, to Yen 1,833.0 billion. Although the sales of laser
printer increased due primarily to the continuous effort to enhance its sales
structure and expansion of its printing business, but business recession and the
appreciation of the Yen negatively affect.
Ricoh incurred expenses for the purpose of enhancing its sales structure and
expanding its printing business. As the result, operating income decreased by
38.0% from the previous corresponding period, to Yen 145.3 billion.
Capital investments increased as compared to the previous corresponding period
due to mainly the purchase of molds for new products.
Total assets increased as compared to the end of the previous corresponding
period due to increase in goodwill resulted from the acquisition of IKON, Inc.
Industrial Products
- -------------------
Sales in semiconductors, thermal media and electronic components decreased. As a
result, overall sales in the Industrial Products segment increased by 19.6% from
the previous corresponding period, to Yen 119.6 billion.
Operating income decreased due mainly to decrease in sales and appreciation of
yen.
Other
- -----
Sales of digital camera decreased. As a result, sales in the Other segment
decreased by 13.9% from the previous corresponding period, and operating income
decreased.
(Billions of yen)
- ----------------------------------------------------------------------------------------
Year ended Year ended
March 31, 2008 March 31, 2009 Change (%)
- ----------------------------------------------------------------------------------------
Imaging & Solutions:
Net sales 1,909.5 1,833.0 -4.0
Operating income 234.6 145.3 -38.0
Operating income on sales(%) 12.3 7.9 -4.4points
Identifiable assets 1,643.5 1,870.1 13.8
Capital expenditures 74.7 87.6 17.3
Depreciation 63.1 64.3 1.9
- ----------------------------------------------------------------------------------------
Industrial Products:
Net sales 148.8 119.6 -19.6
Operating income 4.1 -4.9 -218.0
Operating income on sales(%) 2.8 -4.1 -6.9points
Identifiable assets 91.6 83.4 -9.0
Capital expenditures 6.5 4.5 -29.6
Depreciation 5.8 6.1 5.3
- ----------------------------------------------------------------------------------------
Other:
Net sales 166.0 143.0 -13.9
Operating income 2.5 0.3 --
Operating income on sales(%) 1.5 0.3 -1.2points
Identifiable assets 106.2 97.0 -8.6
Capital expenditures 2.1 2.7 29.7
Depreciation 2.1 2.4 14.8
- ----------------------------------------------------------------------------------------
9
Geographic Segment
- ------------------
Japan
- -----
In Japan, due to business recession and the appreciation of the Yen, sales
decreased from the previous corresponding period in the Imaging & Solutions
segment as well as in Industrial Products and Other segments all. As a result,
overall sales in Japan decreased by 9.3% from the previous corresponding period,
to Yen 1,393.1 billion. Operating expenses decreased by 6.7% due to an decrease
in the net sales. Consequently, operating income decreased by 43.0% to Yen 61.5
billion and operating income on net sales decreased by 2.6 percentage points to
4.4%.
The Americas
- ------------
While sales increased by 16.3% to Yen 506.7 billion due to strengthening its
sales structures such as the acquisition of IKON, Inc. and expanding printer
business operations, operating income decreased to Yen 25.9 billion because of
the necessary cost about the activity.
Europe
- ------
Sales decreased due to business recession in Europe. As a result, net sales
in Europe decreased by 13.4% to Yen 523.5 billion. Operating income decreased by
50.3% from the pervious corresponding period, to Yen 19.4 billion.
Other
- -----
Exports of manufacturing subsidiary decreased due to the decline of
intraregional sales in this segment, in addition, the decline in demand across
the grobe. Consequently, operating income decreased by 52.0% to Yen 12.6 billion
and operating income on net sales decreased by 3.6 percentages points to 4.8%.
[Graph 3] Geographic segment information
The graphs are omitted. The data in the omitted graphs can be shown at the
schedule 3 in APPENDIX B.
10
*Forecast for the entire fiscal year
Economic projections and Ricoh Group's strategies for fiscal year 2010
- ----------------------------------------------------------------------
The global economy worsened due to the financial crisis, the deteriorating
employment conditions, the decline in the personal consumption and so on,
triggered by the subprime loan crisis. While economic measures and financial
measures were set out, the sense of uncertainty is expected to continue.
Customer needs will become increasingly diversified in the Ricoh Group's
markets. Competition is expected to heat up in the area of Imaging & solutions,
especially the area of color products and solution business. Competition is
expected to be fierce in both the Industrial Products and Other segments as
companies try to respond to ever-diversifying customer needs.
For responding to the greater-than-expected severe business situations, Ricoh
put plans of improving short-term performance into execution, such as
contributing group-wide cost reduction efforts to a decline in expenses
comprehensively. In addition, Ricoh accelerates structural change that has been
worked at.
Our performance forecast for fiscal year 2010 is as follows:
Exchange Rate Assumptions for the full year ended March 31, 2010
US$ 1 = Yen 95.00 (Yen 100.55 in previous fiscal year)
EURO 1 = Yen 125.00 (Yen 143.74 in previous fiscal year)
(Billions of yen)
- ---------------------------------------------------------------------
Year ended Year ending
March 31, 2009 March 31, 2010
(Results) (Forecast) Change
- ---------------------------------------------------------------------
Domestic sales 938.3 940.0 0.2%
Overseas sales 1,153.3 1,220.0 5.8%
Net sales 2,091.6 2,160.0 3.3%
Gross profit 854.3 880.0 3.0%
Operating income 74.5 65.0 -12.8%
Income before income taxes 30.9 55.0 77.8%
Net income 6.5 30.0 359.4%
- ---------------------------------------------------------------------
Notes:
* Ricoh bases the forecast estimates for the year ending March 31, 2010 above
upon information currently available to management, which involves risks
and uncertainties that could cause actual results to differ materially from
those projected.
11
(2) FINANCIAL POSITION
A) Assets, Liabilities, and Shareholders' investment at Year-End
(Billions of yen)
- ------------------------------------------------------------------------------------------
March 31, 2008 March 31, 2009 Change
- ------------------------------------------------------------------------------------------
Total Assets 2,214.3 2,513.4 299.1
Shareholders' investment 1,080.1 975.3 -104.8
Equity Ratio 48.8% 38.8% -10.0 points
- ------------------------------------------------------------------------------------------
For Assets, cash and cash equivalents increased from the end of the previous
corresponding period. In addition, other investments including goodwill
increased due to the acquisition of IKON, Inc. that was an American-based
independent company dealing office equipment. As a result, total assets
increased by Yen 299.1 billion to Yen 2,513.4 billion.
For Liabilities, interest-bearing debt increased from the end of the previous
corresponding period due mainly to the financing for the acquisition of IKON,
Inc. As a result, total liabilities increased by Yen 413.2 billion to Yen
1,489.1 billion.
For the shareholders' equity, accumulated other comprehensive income increased
due mainly to the increase of cumulative transiation adjustments reflecting
currency exchange, and the increase of pension liability adjustments derived
from the decrease of pension assets reflecting the decline of the stock market.
Total Shareholders' Investment decreased by Yen 104.8 billion from the end of
the previous corresponding period, to 975.3billion.
B) Cash Flows
(Billions of yen)
- -------------------------------------------------------------------------------------
Year ended Year ended
March 31, 2008 March 31, 2009 Change
- -------------------------------------------------------------------------------------
Cash flows from operating activities 194.3 87.4 -106.8
Cash flows from investing activities -198.3 -283.1 -84.8
Cash flows from financing activities -72.1 295.9 368.0
Cash and Cash Equivalents at end of period 170.6 258.4 87.8
- -------------------------------------------------------------------------------------
Net cash provided by operating activities decreased by Yen 106.8 billion from
the previous corresponding period, to Yen 87.4 billion as net income decreased.
Net cash used in investing activities increased by Yen 84.8 billion from the
previous corresponding period, to Yen 283.1 billion, because a payment for the
formation of the acquisition of IKON, Inc. exceed a payment for the formation of
a joint venture company with IBM Corporation.
As a result, free cash flow generated by operating activities and investment
activities increased by Yen 191.7 billion from the previous corresponding
period, to Yen 195.6 billion.
Net cash used in financing activities amounted to Yen 295.9 billion due
primarily to the issuance of bond and the financing by borrowing, while net cash
used in financing activities was Yen 72.1 billion in the previous corresponding
period.
As a result of the above, cash and cash equivalents as of the end of this fiscal
year increased by Yen 87.8 billion from the end of the previous corresponding
period, to Yen 258.4 billion.
C) Cash Flow Indices
- --------------------------------------------------------------------------------------------------------------------------------
Year ended Year ended Year ended Year ended Year ended
March 31, 2005 March 31, 2006 March 31, 2007 March 31, 2008 March 31, 2009
- --------------------------------------------------------------------------------------------------------------------------------
Shareholders' investment / Total assets 44.2% 47.0% 47.7% 48.8% 38.8%
Market capitalization / Total assets 69.1% 82.2% 86.4% 53.3% 36.6%
Interest bearing debt / Operating cash flow 3.1 2.2 2.5 2.0 8.9
Operating cash flow / Interest expense 28.3 33.7 22.8 40.2 14.9
- --------------------------------------------------------------------------------------------------------------------------------
Notes:
i. All indices are calculated based on consolidated data.
ii. Market capitalization equals the stock price at the end of fiscal year
multiples by the number of shares outstanding at the end of fiscal year.
iii. Operating cash flows is shown in consolidated statement of cash flow.
Interest bearing debt equals all debt in consolidated balance sheets.
12
(3) DIVIDEND POLICY
Ricoh endeavors to ensure that policies are regularly updated to take
the dividend payout ratio into consideration in the payment of
dividends, while at the same time increasing retained earnings for the
enhancement of corporate structure and the new business generation.
Furthermore, these retained earnings will be used both in the
reinforcement of core businesses and for investment in new fields with
both medium-term and long-term perspectives.
The total dividend per share for the fiscal year ended March 31, 2009
will be Yen 33.00 (same as the dividend for the fiscal year ended
March 31, 2008) and for the fiscal year ended March 31, 2009 will be
Yen 33.00 respectively.
(4) RISK FACTORS
Ricoh is exposed to various risks which include the risks listed
below. Although certain risks that may affect Ricoh's businesses are
listed in this section, this list is not exhaustive. Ricoh's business
may in the future also be affected by other risks that are currently
unknown or that are not currently considered significant or material.
-Ability to respond to rapid technological changes in the
document imaging and management industry
-Highly competitive markets
-The risks of international operations and the risks of overseas
expansion
-Economic trends in Ricoh's major markets
-Foreign exchange fluctuations
-Crude oil price fluctuations
-Government regulation that can limit its activities or increase
its cost of operations
-Internal control evaluations and attestation over financial
reporting under section 404 of the Sarbanes-Oxley Act of
2002
-Dependence on protecting its intellectual property rights
-Dependence on securing and retaining specially skilled personnel
-Adverse affection by its employee benefit obligations
-Environmental laws and regulations
-Risks associated with Ricoh's equipment financing business
-Product liability claims that could significantly affect its
financial condition
-Alliances with other entities
-Catastrophic disaster, information technology problems or
infectious diseases
13
2. GROUP POSITION
The Ricoh Group comprises 302 subsidiaries and 9 affiliates as of March 31,
2009.
Their development, manufacturing, sales, and service activities center on Office
Solutions, Industrial Products, and Other.
Ricoh Company, Ltd., a parent company, heads development. The parent company and
subsidiaries or affiliates maintain an integrated domestic and international
manufacturing structure. Below, we have listed our main product areas and the
positions of key subsidiaries and affiliates.
[Imaging & Solutions]
In this business category, Ricoh provides products and systems that support the
enhancement of the office productivity of customers. Major products include:
Digital/analog copiers, MFPs (multifunctional printers), laser printers,
facsimile machines, and digital duplicators. Ricoh also provides solution
systems including personal computers and servers, utilizing its information
technology. Another business Ricoh also provides are support, service, and
related supplies, as well as support and service including IT environment setup
and network administration.
[Main Subsidiaries and Affiliates]
Production
Japan...Tohoku Ricoh Co., Ltd., Ricoh Elemex Corporation,
Ricoh Unitechno Co., Ltd., Hasama Ricoh Inc.,
Ricoh Microelectronics Co., Ltd., Ricoh Keiki Co., Ltd., and
Ricoh Printing Systems, Ltd.
The Americas...Ricoh Electronics, Inc.
Europe...Ricoh UK Products Ltd., Ricoh Industrie France S.A.S.
Other regions...Ricoh Asia Industry (Shenzhen) Ltd.,
Shanghai Ricoh Digital Equipment Co., Ltd.
Sales and Service
Japan...Ricoh Hokkaido Co., Ltd., Ricoh Tohoku Co., Ltd.,
Ricoh Sales Co.,Ltd., Ricoh Chubu Co., Ltd., Ricoh Kansai Co., Ltd.,
Ricoh Chugoku Co., Ltd., Ricoh Kyushu Co., Ltd.,
Ricoh Technosystems Co., Ltd.,Ricoh Leasing Co., Ltd., and
Ricoh Logistics System Co., Ltd.
The Americas...Ricoh Americas Corporation,
InfoPrint Solutions Company, LLC, IKON Office Solutions, Inc.
Europe...Ricoh Europe PLC, Ricoh Deutschland GmbH, Ricoh UK Ltd.,
Ricoh France S.A.S., Ricoh Espana S.L.U., Ricoh Italia S.p.A. and
NRG Group PLC
Other regions...Ricoh China Co., Ltd., Ricoh Hong Kong Ltd.,
Ricoh Asia Pacific Operations Ltd., Ricoh Asia Pacific Pte. Ltd.,
Ricoh Australia Pty, Ltd., and Ricoh New Zealand Ltd.
[Industrial Products]
Manufacturing and marketing thermal media, optical equipments, semiconductors,
electronic component and measuring equipments
[Main Subsidiaries and Affiliates]
Production and Sales
Japan...Ricoh Optical Industries Co., Ltd., Ricoh Elemex Corporation, and
Ricoh Microelectronics Co., Ltd.
The Americas...Ricoh Electronics, Inc.
Europe...Ricoh Industrie France S.A.S.
[Other]
Supplying digital camera, and providing leasing and logistics
services
[Main Subsidiaries and Affiliates]
Sales
Ricoh Americas Corporation, Ricoh Europe PLC
Other
Ricoh Leasing Co., Ltd., Ricoh Logistics System Co., Ltd.
[Chart of Business System]
The following chart is showing the group positions.
14
[Chart of Business System]
The chart of group position is omitted.
15
3. MANAGEMENT POLICY
(1) Basic Management Policy
Ricoh Group announced a group vision "Winner in the 21st Century" (Build a
strong global RICOH brand), and aims to gain the strong trust of customers by
continually contributing to greater customer productivity and knowledge
creation, thereby continuing to grow and develop. To these ends, Ricoh is
promoting business activities in order to provide innovative products and
services for all customers who handle information at work in offices and in
their lives out of the office, based on the Ricoh values of "Harmonize with the
environment", "Simplify your life and work", and "Support knowledge management".
In the 16th Mid-Term Management Plan for the period April 2008 to March 2011,
the following 5 basic strategies are established for group management.
i. Become the top company in targeted business areas
ii. Strengthen and accelerate environmental management
iii. Promote Ricoh Quality
iv. Create new business lines
v. Build a strong global RICOH brand
(2) Medium and Long Term Management Strategy
Up to now, in Ricoh Group's main business of Imaging & office solutions, in
addition to manufacturing and sales of simple copying machines and printers,
Ricoh has provided document management systems through digital image equipment
and networking, thereby improving customers' businesses. Ricoh also implemented
reforms for a higher productivity business structure.
In the previous 15th Mid-Term Management Plan, in order to create a stronger
earnings foundation in general office copying equipment and printers, Ricoh
pushed forward from black & white to color, incorporated advanced digital
technologies, and progressed to network capable equipment, providing solutions
which meet the needs of customer business environments. Ricoh also positioned
the production printing market and low-end market as new growth areas, and is
actively developing these businesses.
In its 16th Mid-Term Management Plan, Ricoh shall put even more emphasis on
customer viewpoints, and continue providing products and services which exceed
customer expectations, thereby earning even greater trust of customers.
Especially in the office solutions area, Ricoh Group plans to utilize its
strengths such as customer contact abilities, excellent product line, ability to
propose solutions, global business development abilities, and image processing
technologies, to respond to increasingly diverse needs of more customers, and
strengthen its business foundations. Specifically, "Work flow", "Security", "TCO
(Total Cost of Ownership)", "Compliance", and "Environment" are important issues
for customers. Ricoh will focus on these to provide greater customer value.
Ricoh will construct and apply document solutions with networked printing
solutions by efficiently networking multiple copying machines and printers, and
systems with centralized storage, search, and output by file servers, and
thereby contribute to raising overall customer business productivity.
Furthermore, Ricoh is aiming at creating new service businesses (business
process outsourcing).
Towards achieving these goals, Ricoh is working to develop solution platforms
and enhance its solution sales organization. Ricoh is providing better color
laser printer and GELJET printer products to boost growth of its low-end
business and rapidly establish the production printing business, thus expanding
its business areas in the printing market.
In the industrial market, allocation of business resources is focused on
businesses where large growth is expected. Ricoh will put efforts into
strengthening cooperation between technical fields and business areas in order
to combine diverse fields and create new businesses.
Ricoh is also making further advances in business development in emerging
markets, in both the Imaging & office solutions market and the industrial
market.
In order to increase or create customer value and boost earning power in each
business, it is important to secure competitive superiority through technology.
Ricoh will continue to actively work to strengthen its technical abilities.
Basic strategy achievements this period until today are as follows.
In the Imaging & office solutions market, Ricoh continually creates new color
multifunction machines and color laser printers, further enhancing the product
line.In digital color printers targeted for the business office, Ricoh
introduced the Imagio MP C5000, which, at 50 Pages per minute, is the fastest in
its class.In printers which can be used for personal offices or for distributed
printing in a large office, we introduced the Imagio MP C2200. In addition, as
the Reconditioning (RC) machine, which uses our brand-new recycling technology,
we introduced the Imagio Neo 300RC/250RC series. By achieving excellent
environmental performance, higher image quality, and advanced security functions
in these new product launches, Ricoh's stronger product line has led it to
attain large market shares in color copier/multifunction equipment markets in
Japan and overseas.
16
As a color laser printer, we introduced the IPSiO SP C310, a high productivity,
compact, stylish A4 color laser printer. since it fits in a limited space, it is
well-suited for a variety of uses, including personal offices, small businesses,
medical offices, university laboratories, etc.
As a production printer, we introduced the RICOH Pro C900 in answer to the needs
of the high-speed printing and production market for a color/monochrome
90-page-per-minute A4 landscape printer with high picture quality, high
stability and high reliability.
In the business printing market, where there are needs for very low-cost color
POD (Print On Demand), we strengthened our line-up.
To further increase our imaging and solutions business, we purchased IKON Office
Solutions, Inc. with its main office and independent sales company in the United
States.
IKON has a sales and service network, long-standing customer relationships with
major businesses as well as basic know-how on outsourcing printing. Using those
strengths together with Ricoh's technical developments and office solutions, we
expect to expand our global business.
According to J.D. Powers Asia-Pacific "2008 Japan Copier/Multifunction Product
Customer Satisfaction Study", for the 2nd year, we received the number 1
ranking. according to Ascii Laboratories "Compact Digital Camera Customer
satisfaction survey", we received a similarly high evaluation for digital
cameras,. By continuing to emphasize our customers' needs we will increase our
efforts to create products which receive such high grades.
In the industrial field, we continue to expand our businesses in optical
equipment, semiconductor devices, electronic components, etc.
(3) Issues to Face
Customer needs are increasingly diversifying. It is increasingly difficult to
satisfy customers' needs by providing prices and functions of purchased products
or specific services. There is also diverse and increasingly harsh competition
in color equipment and solutions development.
In this rapidly changing market environment, in order for Ricoh Group to
continually achieve growth and development and establish a global brand, we
consider it most important to thoroughly execute "Creation of customer value"
and "High efficiency management", and thereby enhance our competitive strength
as a company to gain greater trust of customers.
In "Creation of customer value", Ricoh will increasingly practice active
discovery of new value by "Customer Satisfaction Management", in addition to
Ricoh's unique abilities to pursue the 3 customer values of "Harmonize with the
environment", "Simplify your life & work", and "Support knowledge management".
That is, Ricoh will strive further to provide products and services which help
customers contribute to global environmental conservation, pursue ease of use
which enables customers to thoroughly utilize products and services, support
knowledge creation activities by customers, and create environments for
knowledge creation.
In order to boost earnings strength of the overall group, Ricoh will continue
working for "High efficiency management". By promoting structural innovations in
development, production, sales, etc., selecting businesses for complete focus,
and improved business processes, Ricoh will boost earnings power of the overall
group and individual businesses. We recognize that another vital issue is
ensuring that results of early investments towards growth lead to earnings.
Furthermore, by investing profits created in business areas and stronger
technologies where large growth is expected, Ricoh will work to boost sales and
profits, further growing its corporate value.
17
4. CONSOLIDATED FINANCIAL STATEMENTS
(1) CONSOLIDATED BALANCE SHEETS
(March 31, 2008 and 2009)
Assets (Millions of yen)
- -------------------------------------------------------------------------------------------------------------
March 31, 2008 March 31, 2009 Change
- -------------------------------------------------------------------------------------------------------------
Current Assets
Cash and time deposits 172,138 260,527 88,389
Trade receivables 699,043 680,384 -18,659
Inventories 192,023 191,570 -453
Other current assets 60,936 79,385 18,449
Total Current Assets 1,124,140 1,211,866 87,726
Fixed Assets
Tangible fixed assets 254,633 269,336 14,703
Finance receivables 445,436 465,262 19,826
Other investments 390,159 567,031 176,872
Total Fixed Assets 1,090,228 1,301,629 211,401
- -------------------------------------------------------------------------------------------------------------
Total Assets 2,214,368 2,513,495 299,127
- -------------------------------------------------------------------------------------------------------------
Note:
Contents of cash and time deposits:
Cash and cash equivalents 170,607 258,484
Time deposits 1,531 2,043
Liabilities and Shareholders' Investment (Millions of yen)
- -------------------------------------------------------------------------------------------------------------
March 31, 2008 March 31, 2009 Change
- -------------------------------------------------------------------------------------------------------------
Current Liabilities
Trade payables 360,569 285,413 -75,156
Short-term borrowings 158,442 269,792 111,350
Other current liabilities 194,745 218,286 23,541
Total Current Liabilities 713,756 773,491 59,735
Fixed Liabilities
Long-term indebtedness 225,930 509,403 283,473
Accrued pension and severance costs 99,830 156,625 56,795
Other fixed liabilities 36,373 49,626 13,253
Total Fixed Liabilities 362,133 715,654 353,521
- -------------------------------------------------------------------------------------------------------------
Total Liabilities 1,075,889 1,489,145 413,256
- -------------------------------------------------------------------------------------------------------------
Minority Interest 58,283 48,977 -9,306
- -------------------------------------------------------------------------------------------------------------
Shareholders' Investment
Common stock 135,364 135,364 --
Additional paid-in capital 186,448 186,083 -365
Retained earnings 835,238 815,725 -19,513
Accumulated other comprehensive income (loss) -31,005 -125,121 -94,116
Treasury stock -45,849 -36,678 9,171
Total Shareholders' Investment 1,080,196 975,373 -104,823
- -------------------------------------------------------------------------------------------------------------
Total Liabilities and Shareholders' Investment 2,214,368 2,513,495 299,127
- -------------------------------------------------------------------------------------------------------------
Note: Other comprehensive income;
Net unrealized holding gains on available-for-sale securities 1,316 1,848 532
Pension liability adjustments -20,788 -54,301 -33,513
Net unrealized gains (losses) on derivative instruments -408 -373 35
Cumulative translation adjustments -11,125 -72,295 -61,170
Reference: Exchange rate March 31, 2008 March 31, 2009
US$ 1 Yen 100.19 Yen 98.23
EURO 1 Yen 158.19 Yen 129.84
18
(2) CONSOLIDATED STATEMENTS OF INCOME
(Three months ended March 31, 2008 and 2009) (Millions of yen)
- ------------------------------------------------------------------------------------------------------------------
Three months ended Three months ended
March 31, 2008 March 31, 2009 Change %
- ------------------------------------------------------------------------------------------------------------------
Net sales 579,577 523,678 -55,899 -9.6
Cost of sales 340,519 326,781 -13,738 -4.0
Percentage of net sales (%) 58.8 62.4
Gross Profit 239,058 196,897 -42,161 -17.6
Percentage of net sales (%) 41.2 37.6
Selling, general and administrative expenses 191,572 208,739 17,167 9.0
Percentage of net sales (%) 33.0 39.9
Operating income 47,486 -11,842 -59,328 --
Percentage of net sales (%) 8.2 -2.3
Other (income) expense
Interest and dividend income 1,787 1,399 -388 -21.7
Percentage of net sales (%) 0.3 0.3
Interest expense 1,369 1,541 172 12.6
Percentage of net sales (%) 0.2 0.3
Loss on valuation of securities 28 20,732 20,704 --
Percentage of net sales (%) 0.0 4.0
Other, net 7,292 -3,592 -10,884 --
Percentage of net sales (%) 1.3 -0.4
Income before income taxes,
equity income and minority interests 40,584 -29,124 -69,708 --
Percentage of net sales (%) 7.0 -5.6
Provision for income taxes 17,781 -6,122 -23,903 --
Percentage of net sales (%) 3.1 -1.2
Minority interests in earnings of subsidiaries 1,582 64 -1,518 -96.0
Percentage of net sales (%) 0.3 0.0
Equity in earnings of affiliates -34 56 90 --
Percentage of net sales (%) 0.0 0.0
Net income 21,187 -23,010 -44,197 --
Percentage of net sales (%) 3.7 -4.4
- ------------------------------------------------------------------------------------------------------------------
Reference: Exchange rate
US$ 1 Yen 105.60 Yen 93.61
EURO 1 Yen 158.06 Yen 122.35
(Year ended March 31, 2008 and 2009) (Millions of yen)
- -----------------------------------------------------------------------------------------------------------
Year ended Year ended
March 31, 2008 March 31, 2009 Change %
- -----------------------------------------------------------------------------------------------------------
Net sales 2,219,989 2,091,696 -128,293 -5.8
Cost of sales 1,292,262 1,237,310 -54,952 -4.3
Percentage of net sales (%) 58.2 59.2
Gross Profit 927,727 854,386 -73,341 -7.9
Percentage of net sales (%) 41.8 40.8
Selling, general and administrative expenses 746,221 779,850 33,629 4.5
Percentage of net sales (%) 33.6 37.2
Operating income 181,506 74,536 -106,970 -58.9
Percentage of net sales (%) 8.2 3.6
Other (income) expense
Interest and dividend income 6,341 5,227 -1,114 -17.6
Percentage of net sales (%) 0.3 0.2
Interest expense 4,835 5,863 1,028 21.3
Percentage of net sales (%) 0.2 0.3
Loss on valuation of securities 142 26,837 26,695 --
Percentage of net sales (%) 0.0 1.3
Other, net 8,201 16,124 7,923 96.6
Percentage of net sales (%) 0.4 0.7
Income from continuing operations before income taxes,
equity income and minority interests 174,669 30,939 -143,730 -82.3
Percentage of net sales (%) 7.9 1.5
Provision for income taxes 63,396 22,158 -41,238 -65.0
Percentage of net sales (%) 2.9 1.1
Minority interests in earnings of subsidiaries 6,057 2,322 -3,735 -61.7
Percentage of net sales (%) 0.3 0.1
Equity in earnings of affiliates 1,247 71 -1,176 -94.3
Percentage of net sales (%) 0.1 0.0
Net income 106,463 6,530 -99,933 -93.9
Percentage of net sales (%) 4.8 0.3
- -----------------------------------------------------------------------------------------------------------
Reference: Exchange rate
US$ 1 Yen 114.40 Yen 100.55
EURO 1 Yen 161.69 Yen 143.74
19
(3)-1. CONSOLIDATED SALES BY PRODUCT CATEGORY
(Three months ended March 31, 2008 and 2009) (Millions of yen)
- ---------------------------------------------------------------------------------------------------
Three months ended Three months ended
March 31, 2008 March 31, 2009 Change %
- ---------------------------------------------------------------------------------------------------
[Imaging & Solutions]
Imaging Solutions 447,786 400,512 -47,274 -10.6
Percentage of net sales (%) 77.3 76.5
Network System Solutions 58,512 68,818 10,306 17.6
Percentage of net sales (%) 10.1 13.1
Total Imaging & Solutions 506,298 469,330 -36,968 -7.3
Percentage of net sales (%) 87.4 89.6
- ---------------------------------------------------------------------------------------------------
[Industrial Products]
Industrial Products 32,591 21,796 -10,795 -33.1
Percentage of net sales (%) 5.6 4.2
- ----------------------------------------------------------------------------------------------------
[Other]
Other 40,688 32,552 -8,136 -20.0
Percentage of net sales (%) 7.0 6.2
- ---------------------------------------------------------------------------------------------------
Grand Total 579,577 523,678 -55,899 -9.6
Percentage of net sales (%) 100.0 100.0
- ---------------------------------------------------------------------------------------------------
Reference: Exchange rate
US$ 1 Yen 105.60 Yen 93.61
EURO 1 Yen 158.06 Yen 122.35
(Year ended March 31, 2008 and 2009) (Millions of yen)
- --------------------------------------------------------------------------------------------
Year ended Year ended
March 31, 2008 March 31, 2009 Change %
- --------------------------------------------------------------------------------------------
[Imaging & Solutions]
Imaging Solutions 1,709,491 1,598,614 -110,877 -6.5
Percentage of net sales (%) 77.0 76.4
Network System Solutions 200,082 234,484 34,402 17.2
Percentage of net sales (%) 9.0 11.2
Total Office Solutions 1,909,573 1,833,098 -76,475 -4.0
Percentage of net sales (%) 86.0 87.6
- --------------------------------------------------------------------------------------------
[Industrial Products]
Industrial Products 144,340 115,550 -28,790 -19.9
Percentage of net sales (%) 6.5 5.5
- --------------------------------------------------------------------------------------------
[Other]
Other 166,076 143,048 -23,028 -13.9
Percentage of net sales (%) 7.5 6.9
- --------------------------------------------------------------------------------------------
Grand Total 2,219,989 2,091,696 -128,293 -5.8
Percentage of net sales (%) 100.0 100.0
- --------------------------------------------------------------------------------------------
Reference: Exchange rate
US$ 1 Yen 114.40 Yen 100.55
EURO 1 Yen 161.69 Yen 143.74
* Each category includes the following product line:
Imaging Solutions Digital PPCs, color PPCs, digital duplicators,
facsimile machines, analog PPCs, diazo copiers,
scanners, MFPs(multifunctional printers), laser
printers and software
Network System Solutions Personal computers, PC servers, network systems and
network related software
Industrial Products Thermal media, optical equipments, semiconductors,
electronic component and measuring equipments
Other Digital camera, and so on
* Overseas IT service business was changed from Imaging Solutions to Network
System Solutions in this period. The effect of the change was Yen 17,723 million
on fiscal year basis, and Yen 3,735 million on quarter basis.
20
(3)-2. CONSOLIDATED SALES BY GEOGRAPHIC AREA
(Three months ended March 31, 2008 and 2009) (Millions of yen)
- ----------------------------------------------------------------------------------------------------
Three months ended Three months ended
March 31, 2008 March 31, 2009 Change %
- ----------------------------------------------------------------------------------------------------
[Domestic] 266,943 233,445 -33,498 -12.5
Percentage of net sales (%) 46.1 44.6
[Overseas] 312,634 290,233 -22,401 -7.2
Percentage of net sales (%) 53.9 55.4
The Americas 110,846 152,395 41,549 37.5
Percentage of net sales (%) 19.1 29.1
Europe 159,574 115,144 -44,430 -27.8
Percentage of net sales (%) 27.5 22.0
Other 42,214 22,694 -19,520 -46.2
Percentage of net sales (%) 7.3 4.3
Grand Total 579,577 523,678 -55,899 -9.6
Percentage of net sales (%) 100.0 100.0
- ----------------------------------------------------------------------------------------------------
Reference: Exchange rate
US$ 1 Yen 105.60 Yen 93.61
EURO 1 Yen 158.06 Yen 122.35
(Year ended March 31, 2008 and 2009) (Millions of yen)
- ---------------------------------------------------------------------------------------------
Year ended Year ended
March 31, 2008 March 31, 2009 Change %
- ---------------------------------------------------------------------------------------------
[Domestic] 1,016,034 938,331 -77,703 -7.6
Percentage of net sales (%) 45.8 44.9
[Overseas] 1,203,955 1,153,365 -50,590 -4.2
Percentage of net sales (%) 54.2 55.1
The Americas 434,799 502,862 68,063 15.7
Percentage of net sales (%) 19.6 24.0
Europe 603,219 523,407 -79,812 -13.2
Percentage of net sales (%) 27.2 25.0
Other 165,937 127,096 -38,841 -23.4
Percentage of net sales (%) 7.4 6.1
Grand Total 2,219,989 2,091,696 -128,293 -5.8
Percentage of net sales (%) 100.0 100.0
- ---------------------------------------------------------------------------------------------
Reference: Exchange rate
US$ 1 Yen 114.40 Yen 100.55
EURO 1 Yen 161.69 Yen 143.74
21
(4) CONSOLIDATED STATEMENTS OF SHAREHOLDERS' INVESTMENT
Year ended March 31, 2008 (Millions of yen)
- -----------------------------------------------------------------------------------------------------------------------------
Accumulated
other
Additional comprehensive Total
Common paid-in Retained income Treasury Shareholders'
stock capital earnings (loss) stock Investment
- -----------------------------------------------------------------------------------------------------------------------------
Beginning balance 135,364 186,454 752,398 26,998 -30,301 1,070,913
Cumulative effect of adjustment resulted from applying
EITF No.06-2 -- -- -995 -- -- -995
- -----------------------------------------------------------------------------------------------------------------------------
Beginning balance (after adjustment) 135,364 186,454 751,403 26,998 -30,301 1,069,918
- -----------------------------------------------------------------------------------------------------------------------------
Gain (Loss) on disposal of treasury stock -6 -6
Dividends declared and approved -22,628 -22,628
Comprehensive income
Net income 106,463 106,463
Net unrealized holding gains
on available-for-sale securities -7,685 -7,685
Pension liability adjustment -11,382 -11,382
Net unrealized losses on derivative instruments -380 -380
Cumulative translation adjustments -38,556 -38,556
---------
Total comprehensive income 48,460
---------
Net changes in treasury stock -15,548 -15,548
- -----------------------------------------------------------------------------------------------------------------------------
Ending balance 135,364 186,448 835,238 -31,005 -45,849 1,080,196
=============================================================================================================================
Year ended March 31, 2009 (Millions of yen)
- -----------------------------------------------------------------------------------------------------------------------------
Accumulated
other
Additional comprehensive Total
Common paid-in Retained income Treasury Shareholders'
stock capital earnings (loss) stock Investment
- -----------------------------------------------------------------------------------------------------------------------------
Beginning balance 135,364 186,448 835,238 -31,005 -45,849 1,080,196
Cumulative effect of adjustment resulted from applying
SFAS No.158 -- -- -643 -6 -- -649
- -----------------------------------------------------------------------------------------------------------------------------
Beginning balance (after adjustment) 135,364 186,448 834,595 -31,011 -45,849 1,079,547
- -----------------------------------------------------------------------------------------------------------------------------
Gain (Loss) on disposal of treasury stock -365 -80 -445
Dividends declared and approved -25,320 -25,320
Comprehensive income
Net income 6,530 6,530
Net unrealized holding losses
on available-for-sale securities 532 532
Pension liability adjustment -33,507 -33,507
Net unrealized losses on derivative instruments 35 35
Cumulative translation adjustments -61,170 -61,170
---------
Total comprehensive income -87,580
---------
Net changes in treasury stock 9,171 9,171
- -----------------------------------------------------------------------------------------------------------------------------
Ending balance 135,364 186,083 815,725 -125,121 -36,678 975,373
=============================================================================================================================
22
(5) CONSOLIDATED STATEMENTS OF CASH FLOWS
(Year ended March 31, 2008 and 2009) (Millions of yen)
- ---------------------------------------------------------------------------------------------------
Year ended Year ended
March 31, 2008 March 31, 2009
- ---------------------------------------------------------------------------------------------------
I. Cash Flows from Operating Activities:
Net income 106,463 6,530
Adjustments to reconcile net income to net cash
provided by operating activities--
Depreciation and amortization 95,788 101,817
Equity in earnings of affiliates, net of dividends received -622 117
Deferred income taxes 4,970 -5,163
Loss on disposal and sales of tangible fixed assets 2,174 1,885
Loss on valuation of securities 142 26,837
Pension and severance costs, less payments -320 3,971
Changes in assets and liabilities--
(Increase) Decrease in trade receivables -16,567 37,913
Decrease in inventories 129 2,836
Increase in finance receivables -17,183 -3,050
Decrease in trade payables -7,491 -97,372
(Decrease) Increase in accrued income taxes and
accrued expenses and other 5,216 -14,094
Other, net 21,664 25,261
- ---------------------------------------------------------------------------------------------------
Net cash provided by operating activities 194,363 87,488
- ---------------------------------------------------------------------------------------------------
II. Cash Flows from Investing Activities:
Proceeds from sales of property, plant and equipment 1,194 454
Expenditures for tangible fixed assets -85,205 -96,945
Payments for purchases of available-for-sale securities -97,958 -1,781
Proceeds from sales of available-for-sale securities 100,025 243
Decrease in time deposits, net -240 -615
Purchase of business, net of cash acquired -96,796 -157,404
Other, net -19,370 -27,124
- ---------------------------------------------------------------------------------------------------
Net cash used in investing activities -198,350 -283,172
- ---------------------------------------------------------------------------------------------------
III. Cash Flows from Financing Activities:
Proceeds from long-term indebtedness 67,166 237,116
Repayment of long-term indebtedness -75,716 -59,500
Increase in short-term borrowings, net -14,598 110,211
Proceeds from issuance of long-term debt securities -- 85,000
Repayment of long-term debt securities -10,000 -50,539
Dividend paid -22,628 -25,320
Payment for purchase of treasury stock -15,770 -644
Other, net -639 -410
- ---------------------------------------------------------------------------------------------------
Net cash provided by (used in) financing activities -72,185 295,914
- ---------------------------------------------------------------------------------------------------
IV. Effect of Exchange Rate Changes on Cash and Cash Equivalents -8,958 -12,353
- ---------------------------------------------------------------------------------------------------
V. Net Increase (Decrease) in Cash and Cash Equivalents -85,130 87,877
- ---------------------------------------------------------------------------------------------------
VI. Cash and Cash Equivalents at Beginning of Year 255,737 170,607
- ---------------------------------------------------------------------------------------------------
VII. Cash and Cash Equivalents at End of Year 170,607 258,484
- ---------------------------------------------------------------------------------------------------
23
(6) SIGNIFICANT ACCOUNTING POLICIES (CONSOLIDATED)
A) CHANGES IN THE SCALE OF CONSOLIDATION AND THE APPLICATION OF THE EQUITY
METHOD FROM APRIL 1, 2008 TO MARCH 31, 2009.
Consolidated subsidiaries:
34 Additions
38 Removals
Companies accounted for by the equity method:
1 Addition
1 Removals
B) CONSOLIDATED ACCOUNTING POLICIES (SUMMARY)
a. Principles of Consolidation
The consolidated financial statements include the accounts of Ricoh and its
consolidated subsidiaries. Investments in 20% to 50% owned companies when the
Company has the ability to exercise significant influence are accounted for on
the equity basis. All significant inter-company balances and transactions have
been eliminated in consolidation.
b. Securities
In conformity with SFAS No.115, securities are mainly classified as
available-for-sale securities. Available-for-sale securities are reported at
fair value with unrealized gains and losses, net of related taxes, excluded from
earnings and reported in accumulated other comprehensive income (loss).
The cost of the securities sold is computed based on the average cost of each
security held at the time of sale.
c. Inventories
Inventories are mainly stated at the lower of average cost or market. Inventory
costs include raw materials, labor and manufacturing overheads.
d. Plant and Equipment
Depreciation of plant and equipment is computed principally by using the
declining-balance method over the estimated useful lives. Most of the foreign
subsidiaries have adopted the straight-line method for computing depreciation.
Certain leased buildings, machinery and equipment are accounted for as capital
leases in conformity with SFAS No.13, "Accounting for Leases."
e. Goodwill and Other Intangible Assets
In conformity with SFAS No.142, Goodwill and intangible asset determined to have
an indefinite useful life are not amortized. SFAS No.142 requires annual
impairment testing thereof.
f. Pension and Retirement Allowances Plans
The measurement of pension costs and liabilities is determined in accordance
with SFAS No.87, "Employers' Accounting for Pensions" and SFAS No.158,
"Employers' Accounting for Defined Benefit Pension and Other Postretirement
Plans."
g. Use of Estimates
Management of the Company has made a number of estimates and assumptions that
affect the reported amounts of assets, liabilities, revenues and expenses,
including impairment losses of long-lived assets and the disclosures of fair
value of financial instruments and contingent assets and liabilities, to prepare
these financial statements in conformity with accounting principles generally
accepted in the United States of America. Actual results could differ from those
estimates.
24
(7) CHANGES IN SIGNIFICANT ACCOUNTING POLICIES (CONSOLIDATED)
A) CHANGES IN SIGNIFICANT SUBSIDIARIES
The acquisition of IKON Office Solutions, Inc.(hereinafter referred to as IKON,
Inc.) was completed effective as of October 31, 2008, through Ricoh Americas
Corporation(hereinafter referred to as RAC) that was Ricoh's wholly owned U.S.
distribution subsidiary controlling sales comprehensively in the Americas.
Therefore, IKON, Inc. became the wholly owned subsidiary of RAC.
B) CHANGES IN ACCOUNTING METHOD
i. In September 2006, the FASB issued SFAS No.157, "Fair Value Measurements".
The effect that adoption of SFAS 157 has on its consolidated results of
operations and financial condition was not material.
ii. In September 2006, the FASB issued SFAS No.158, "Employers' Accounting for
Defined Benefit Pension and Other Postretirement Plans.". SFAS 158 requires the
measurement date for plan assets and benefit obligations to coincide with the
sponsor's year-end from fiscal years ending after December 15, 2008.
Accordingly, Ricoh adopted in the fiscal year beginning April 1, 2008, and
recorded a reduction of retained earnings of Yen 643 million and increase of
accumulated other comprehensive loss of Yen 6 million as of April 1, 2008.
25
(8) NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
A) SEGMENT INFORMATION
a. Operating Segment Information
(Three months ended March 31, 2008 and 2009) (Millions of yen)
- ----------------------------------------------------------------------------------------------------------------------
Three months ended Three months ended
March 31, 2008 March 31, 2009 Change %
- ----------------------------------------------------------------------------------------------------------------------
IMAGING & SOLUTIONS:
Net sales:
Unaffiliated customers 506,298 469,330 -36,968 -7.3
Intersegment -- -- --
Total 506,298 469,330 -36,968 -7.3
- ----------------------------------------------------------------------------------------------------------------------
Operating expenses 445,872 463,382 17,510 3.9
- ----------------------------------------------------------------------------------------------------------------------
Operating income 60,426 5,948 -54,478 -90.2
Operating income on sales in Office Solutions (%) 11.9 1.3
- ----------------------------------------------------------------------------------------------------------------------
INDUSTRIAL PRODUCTS:
Net sales:
Unaffiliated customers 32,591 21,796 -10,795 -33.1
Intersegment 1,095 649 -446 -40.7
Total 33,686 22,445 -11,241 -33.4
- ----------------------------------------------------------------------------------------------------------------------
Operating expenses 33,569 26,403 -7,166 -21.3
- ----------------------------------------------------------------------------------------------------------------------
Operating income 117 -3,958 -4,075 --
Operating income on sales in Industrial Products (%) 0.3 -17.6
- ----------------------------------------------------------------------------------------------------------------------
OTHER:
Net sales:
Unaffiliated customers 40,688 32,552 -8,136 -20.0
Intersegment -- -- --
Total 40,688 32,552 -8,136 -20.0
- ----------------------------------------------------------------------------------------------------------------------
Operating expenses 39,604 32,773 -6,831 -17.2
- ----------------------------------------------------------------------------------------------------------------------
Operating income 1,084 -221 -1,305 --
Operating income on sales in Other (%) 2.7 -0.7
- ----------------------------------------------------------------------------------------------------------------------
CORPORATE AND ELIMINATIONS:
Net sales:
Intersegment -1,095 -649 446
Total -1,095 -649 446
- ----------------------------------------------------------------------------------------------------------------------
Operating expenses:
Intersegment -1,096 -655 441
Corporate 14,142 13,617 -525 --
Total 13,046 12,962 -84 --
- ----------------------------------------------------------------------------------------------------------------------
Operating income -14,141 -13,611 530 --
- ----------------------------------------------------------------------------------------------------------------------
CONSOLIDATED:
Net sales:
Unaffiliated customers 579,577 523,678 -55,899 -9.6
Intersegment -- -- -- --
Total 579,577 523,678 -55,899 -9.6
- ----------------------------------------------------------------------------------------------------------------------
Operating expenses 532,091 535,520 3,429 0.6
- ----------------------------------------------------------------------------------------------------------------------
Operating income 47,486 (11,842) -59,328 --
Operating income on consolidated net sales (%) 8.2 -2.3
- ----------------------------------------------------------------------------------------------------------------------
Capital expenditures: (Millions of yen)
- ----------------------------------------------------------------------------------
Three months ended Three months ended
March 31, 2008 March 31, 2009 Change %
- ----------------------------------------------------------------------------------
Imaging & Solutions 25,401 22,192 -3,209 -12.6
Industrial Products 682 1,142 460 67.4
Other 544 587 43 7.9
Corporate 738 680 -58 -7.9
- ----------------------------------------------------------------------------------
Total 27,365 24,601 -2,764 -10.1
- ----------------------------------------------------------------------------------
Depreciation: (Millions of yen)
- ----------------------------------------------------------------------------------
Three months ended Three months ended
March 31, 2008 March 31, 2009 Change %
- ----------------------------------------------------------------------------------
Imaging & Solutions 16,897 16,752 -145 -0.9
Industrial Products 1,123 1,753 630 56.1
Other 344 666 322 93.6
Corporate 278 634 356 128.1
- ----------------------------------------------------------------------------------
Total 18,642 19,805 1,163 6.2
- ----------------------------------------------------------------------------------
Identifiable assets: (Millions of yen)
- --------------------------------------------------------------------------
March 31, 2008 March 31, 2009 Change %
- --------------------------------------------------------------------------
Imaging & Solutions 1,643,500 1,870,110 226,610 13.8
Industrial Products 91,635 83,411 -8,224 -9.0
Other 106,233 97,092 -9,141 -8.6
Eliminations -1,063 -612 451 --
Corporate assets 374,063 463,494 89,431 23.9
- --------------------------------------------------------------------------
Total 2,214,368 2,513,495 299,127 13.5
- --------------------------------------------------------------------------
26
(Year ended March 31, 2008 and 2009) (Millions of yen)
- -----------------------------------------------------------------------------------------------------------------
Year ended Year ended
March 31, 2008 March 31, 2009 Change %
- -----------------------------------------------------------------------------------------------------------------
IMAGING & SOLUTIONS:
Net sales:
Unaffiliated customers 1,909,573 1,833,098 -76,475 -4.0
Intersegment -- -- --
Total 1,909,573 1,833,098 -76,475 -4.0
- -----------------------------------------------------------------------------------------------------------------
Operating expenses 1,674,940 1,687,732 12,792 0.8
- -----------------------------------------------------------------------------------------------------------------
Operating income 234,633 145,366 -89,267 -38.0
Operating income on sales in Office Solutions (%) 12.3 7.9
- -----------------------------------------------------------------------------------------------------------------
INDUSTRIAL PRODUCTS:
Net sales:
Unaffiliated customers 144,340 115,550 -28,790 -19.9
Intersegment 4,543 4,121 -422 -9.3
Total 148,883 119,671 -29,212 -19.6
- -----------------------------------------------------------------------------------------------------------------
Operating expenses 144,708 124,597 -20,111 -13.9
- -----------------------------------------------------------------------------------------------------------------
Operating income 4,175 -4,926 -9,101 --
Operating income on sales in Industrial Products (%) 2.8 -4.1
- -----------------------------------------------------------------------------------------------------------------
OTHER:
Net sales:
Unaffiliated customers 166,076 143,048 -23,028 -13.9
Intersegment -- -- --
Total 166,076 143,048 -23,028 -13.9
- -----------------------------------------------------------------------------------------------------------------
Operating expenses 163,529 142,690 -20,839 -12.7
- -----------------------------------------------------------------------------------------------------------------
Operating income 2,547 358 -2,189 --
Operating income on sales in Other (%) 1.5 0.3
- -----------------------------------------------------------------------------------------------------------------
CORPORATE AND ELIMINATIONS:
Net sales:
Intersegment -4,543 -4,121 422
Total -4,543 -4,121 422 --
- -----------------------------------------------------------------------------------------------------------------
Operating expenses:
Intersegment -4,545 -4,128 417 --
Corporate 59,851 66,269 6,418 --
Total 55,306 62,141 6,835 --
- -----------------------------------------------------------------------------------------------------------------
Operating income -59,849 -66,262 -6,413 --
- -----------------------------------------------------------------------------------------------------------------
CONSOLIDATED:
Net sales:
Unaffiliated customers 2,219,989 2,091,696 -128,293 -5.8
Intersegment -- -- --
Total 2,219,989 2,091,696 -128,293 -5.8
- -----------------------------------------------------------------------------------------------------------------
Operating expenses 2,038,483 2,017,160 -21,323 -1.0
- -----------------------------------------------------------------------------------------------------------------
Operating income 181,506 74,536 -106,970 -58.9
Operating income on consolidated net sales (%) 8.2 3.6
- -----------------------------------------------------------------------------------------------------------------
Capital expenditures: (Millions of yen)
- ----------------------------------------------------------------------------
Year ended Year ended
March 31, 2008 March 31, 2009 Change %
- ----------------------------------------------------------------------------
Imaging & Solutions 74,758 87,658 12,900 17.3
Industrial Products 6,503 4,581 -1,922 -29.6
Other 2,140 2,776 636 29.7
Corporate 1,814 1,943 129 7.1
- ----------------------------------------------------------------------------
Total 85,215 96,958 11,743 13.8
- ----------------------------------------------------------------------------
Depreciation: (Millions of yen)
- ----------------------------------------------------------------------------
Year ended Year ended
March 31, 2008 March 31, 2009 Change %
- ----------------------------------------------------------------------------
Imaging & Solutions 63,162 64,356 1,194 1.9
Industrial Products 5,820 6,131 311 5.3
Other 2,128 2,442 314 14.8
Corporate 1,652 1,957 305 18.5
- ----------------------------------------------------------------------------
Total 72,762 74,886 2,124 2.9
- ----------------------------------------------------------------------------
Identifiable assets: (Millions of yen)
- ----------------------------------------------------------------------------
March 31, 2008 March 31, 2009 Change %
- ----------------------------------------------------------------------------
Imaging & Solutions 1,643,500 1,870,110 226,610 13.8
Industrial Products 91,635 83,411 -8,224 -9.0
Other 106,233 97,092 -9,141 -8.6
Eliminations -1,063 -612 451 --
Corporate assets 374,063 463,494 89,431 23.9
- ----------------------------------------------------------------------------
Total 2,214,368 2,513,495 299,127 13.5
- ----------------------------------------------------------------------------
27
b. Geographic Segment Information
(Three months ended March 31, 2008 and 2009) (Millions of yen)
- ---------------------------------------------------------------------------------------------------------------
Three months ended Three months ended
March 31, 2008 March 31, 2009 Change %
- ---------------------------------------------------------------------------------------------------------------
JAPAN:
Net sales:
External customers 275,769 236,950 -38,819 -14.1
Intersegment 108,475 85,553 -22,922 -21.1
Total 384,244 322,503 -61,741 -16.1
- ---------------------------------------------------------------------------------------------------------------
Operating expenses 360,563 321,087 -39,476 -10.9
- ---------------------------------------------------------------------------------------------------------------
Operating income 23,681 1,416 -22,265 -94.0
Operating income on sales in Japan(%) 6.2 0.4
- ---------------------------------------------------------------------------------------------------------------
THE AMERICAS:
Net sales:
External customers 111,005 150,887 39,882 35.9
Intersegment 769 1,279 510 66.3
Total 111,774 152,166 40,392 36.1
- ---------------------------------------------------------------------------------------------------------------
Operating expenses 114,675 165,448 50,773 44.3
- ---------------------------------------------------------------------------------------------------------------
Operating income -2,901 -13,282 -10,381 --
Operating income on sales in the Americas(%) -2.6 -8.7
- ---------------------------------------------------------------------------------------------------------------
EUROPE:
Net sales:
External customers 157,676 115,530 -42,146 -26.7
Intersegment 219 431 212 96.8
Total 157,895 115,961 -41,934 -26.6
- ---------------------------------------------------------------------------------------------------------------
Operating expenses 146,072 123,299 -22,773 -15.6
- ---------------------------------------------------------------------------------------------------------------
Operating income 11,823 -7,338 -19,161 --
Operating income on sales in Europe(%) 7.5 -6.3
- ---------------------------------------------------------------------------------------------------------------
OTHER:
Net sales:
External customers 35,127 20,311 -14,816 -42.2
Intersegment 48,855 31,084 -17,771 -36.4
Total 83,982 51,395 -32,587 -38.8
- ---------------------------------------------------------------------------------------------------------------
Operating expenses 76,829 48,765 -28,064 -36.5
- ---------------------------------------------------------------------------------------------------------------
Operating income 7,153 2,630 -4,523 -63.2
Operating income on sales in Other(%) 8.5 5.1
- ---------------------------------------------------------------------------------------------------------------
CORPORATE AND ELIMINATIONS:
Net sales:
Intersegment -158,318 -118,347 39,971 --
Total -158,318 -118,347 39,971 --
- ---------------------------------------------------------------------------------------------------------------
Operating expenses: -166,048 -123,079 42,969 --
- ---------------------------------------------------------------------------------------------------------------
Operating income 7,730 4,732 -2,998 --
- ---------------------------------------------------------------------------------------------------------------
CONSOLIDATED:
Net sales:
External customers 579,577 523,678 -55,899 -9.6
Intersegment -- -- --
Total 579,577 523,678 -55,899 -9.6
- ---------------------------------------------------------------------------------------------------------------
Operating expenses 532,091 535,520 3,429 0.6
- ---------------------------------------------------------------------------------------------------------------
Operating income 47,486 -11,842 -59,328 --
Operating income on consolidated net sales(%) 8.2 -2.3
- ---------------------------------------------------------------------------------------------------------------
Identifiable assets: (Millions of yen)
- --------------------------------------------------------------------------
March 31, 2008 March 31, 2009 Change %
- --------------------------------------------------------------------------
Japan 1,272,110 1,240,775 -31,335 -2.5
The Americas 310,028 524,511 214,483 69.2
Europe 326,824 318,032 -8,792 -2.7
Other 102,451 91,875 -10,576 -10.3
Eliminations -171,108 -125,192 45,916 --
Corporate assets 374,063 463,494 89,431 23.9
- --------------------------------------------------------------------------
Total 2,214,368 2,513,495 299,127 13.5
- --------------------------------------------------------------------------
28
(Year ended March 31, 2008 and 2009) (Millions of yen)
- --------------------------------------------------------------------------------------------------------
Year ended Year ended
March 31, 2008 March 31, 2009 Change %
- --------------------------------------------------------------------------------------------------------
JAPAN:
Net sales:
External customers 1,050,923 960,658 -90,265 -8.6
Intersegment 484,590 432,538 -52,052 -10.7
Total 1,535,513 1,393,196 -142,317 -9.3
- --------------------------------------------------------------------------------------------------------
Operating expenses 1,427,575 1,331,638 -95,937 -6.7
- --------------------------------------------------------------------------------------------------------
Operating income 107,938 61,558 -46,380 -43.0
Operating income on sales in Japan(%) 7.0 4.4
- --------------------------------------------------------------------------------------------------------
THE AMERICAS:
Net sales:
External customers 432,287 502,338 70,051 16.2
Intersegment 3,496 4,451 955 27.3
Total 435,783 506,789 71,006 16.3
- --------------------------------------------------------------------------------------------------------
Operating expenses 433,429 532,734 99,305 22.9
- --------------------------------------------------------------------------------------------------------
Operating income 2,354 -25,945 -28,299 --
Operating income on sales in the Americas(%) 0.5 -5.1
- --------------------------------------------------------------------------------------------------------
EUROPE:
Net sales:
External customers 602,224 521,062 -81,162 -13.5
Intersegment 2,585 2,477 -108 -4.2
Total 604,809 523,539 -81,270 -13.4
- --------------------------------------------------------------------------------------------------------
Operating expenses 565,736 504,116 -61,620 -10.9
- --------------------------------------------------------------------------------------------------------
Operating income 39,073 19,423 -19,650 -50.3
Operating income on sales in Europe(%) 6.5 3.7
- --------------------------------------------------------------------------------------------------------
OTHER:
Net sales:
External customers 134,555 107,638 -26,917 -20.0
Intersegment 183,043 158,006 -25,037 -13.7
Total 317,598 265,644 -51,954 -16.4
- --------------------------------------------------------------------------------------------------------
Operating expenses 291,141 252,951 -38,190 -13.1
- --------------------------------------------------------------------------------------------------------
Operating income 26,457 12,693 -13,764 -52.0
Operating income on sales in Other(%) 8.3 4.8
- --------------------------------------------------------------------------------------------------------
CORPORATE AND ELIMINATIONS:
Net sales:
Intersegment -673,714 -597,472 76,242 --
Total -673,714 -597,472 76,242 --
- --------------------------------------------------------------------------------------------------------
Operating expenses: -679,398 -604,279 75,119 --
- --------------------------------------------------------------------------------------------------------
Operating income 5,684 6,807 1,123 --
- --------------------------------------------------------------------------------------------------------
CONSOLIDATED:
Net sales:
External customers 2,219,989 2,091,696 -128,293 -5.8
Intersegment -- -- --
Total 2,219,989 2,091,696 -128,293 -5.8
- --------------------------------------------------------------------------------------------------------
Operating expenses 2,038,483 2,017,160 -21,323 -1.0
- --------------------------------------------------------------------------------------------------------
Operating income 181,506 74,536 -106,970 -58.9
Operating income on consolidated net sales(%) 8.2 3.6
- --------------------------------------------------------------------------------------------------------
Identifiable assets: (Millions of yen)
- -------------------------------------------------------------------------------------------------------
March 31, 2008 March 31, 2009 Change %
- -------------------------------------------------------------------------------------------------------
Japan 1,272,110 1,240,775 -31,335 -2.5
The Americas 310,028 524,511 214,483 69.2
Europe 326,824 318,032 -8,792 -2.7
Other 102,451 91,875 -10,576 -10.3
Eliminations -171,108 -125,192 45,916 --
Corporate assets 374,063 463,494 89,431 23.9
- -------------------------------------------------------------------------------------------------------
Total 2,214,368 2,513,495 299,127 13.5
- -------------------------------------------------------------------------------------------------------
29
B) FAIR VALUE OF MARKETABLE SECURITIES
The securities and the respective cost, gross unrealized holding gains, gross
unrealized holding losses and fair value as of March 31, 2008 and March 31, 2009
are as follows:
(Millions of yen)
- ----------------------------------------------------------------------------------------------------
March 31, 2008
- ----------------------------------------------------------------------------------------------------
Gross unrealized Gross unrealized
Cost holding gains holding losses Fair value
- ----------------------------------------------------------------------------------------------------
Current:
Corporate debt securities -- -- -- --
- ----------------------------------------------------------------------------------------------------
0 -- -- 0
- ----------------------------------------------------------------------------------------------------
Noncurrent:
Equity securities 62,208 6,231 3,723 64,716
Corporate debt securities 6,000 -- 754 5,246
Nonmarketable securities (at cost) 1,290 -- 8 1,282
- ----------------------------------------------------------------------------------------------------
69,498 6,231 4,485 71,244
- ----------------------------------------------------------------------------------------------------
(Millions of yen)
- ----------------------------------------------------------------------------------------------------
March 31, 2009
- ----------------------------------------------------------------------------------------------------
Gross unrealized Gross unrealized
Cost holding gains holding losses Fair value
- ----------------------------------------------------------------------------------------------------
Current:
Corporate debt securities -- -- -- --
Other 725 -- -- 725
- ----------------------------------------------------------------------------------------------------
725 -- -- 725
- ----------------------------------------------------------------------------------------------------
Noncurrent:
Equity securities 43,002 2,650 590 45,062
Corporate debt securities 1,279 -- -- 1,279
Nonmarketable securities (at cost) 1,474 -- -- 1,474
- ----------------------------------------------------------------------------------------------------
45,755 2,650 590 47,815
- ----------------------------------------------------------------------------------------------------
C) DERIVATIVES
The Company and certain of its subsidiaries enter into various financial
instrument contracts in the normal course of business and in connection with the
management of their assets and liabilities. The outstanding agreements, carrying
amount and estimated fair value of derivative financial instruments as of March
31, 2008 and March 31, 2009 are as follows:
(Millions of yen)
- -------------------------------------------------------------
March 31, 2008
- -------------------------------------------------------------
Carrying Estimated
amount Fair value
- -------------------------------------------------------------
Interest rate swap agreements, net -594 -594
Foreign currency contracts-net credit 1,349 1,349
Currency options-net credit 100 100
- -------------------------------------------------------------
Total 855 855
- -------------------------------------------------------------
(Millions of yen)
- -------------------------------------------------------------
March 31, 2009
- -------------------------------------------------------------
Carrying Estimated
amount Fair value
- -------------------------------------------------------------
Interest rate swap agreements, net -1,031 -1,031
Foreign currency contracts-net credit -2,994 -2,994
Currency options -1,443 -1,443
- -------------------------------------------------------------
Total -5,468 -5,468
- -------------------------------------------------------------
D) TRANSACTIONS OF RICOH WITH AFFILIATES
(Millions of yen)
- -----------------------------------------------------------------------
March 31, 2008 March 31, 2009
- -----------------------------------------------------------------------
Account balances:
Receivables 3,080 422
Payables 1,930 32
- -----------------------------------------------------------------------
(Millions of yen)
- -----------------------------------------------------------------------
Year ended Year ended
March 31, 2008 March 31, 2009
- -----------------------------------------------------------------------
Transactions:
Sales 20,184 6,677
Purchases 21,274 1,773
Dividend income 625 188
- -----------------------------------------------------------------------
30
E) PER SHARE DATA
(Yen)
- --------------------------------------------------------------------------
March 31, 2008 March 31, 2009
- --------------------------------------------------------------------------
Shareholders' equity per share 1,498.29 1,344.08
Net income per share-basic 146.04 9.02
Net income per share-diluted 142.15 8.75
A reconciliation of the numerator and the denominators of the basic and diluted
per share computations for income is as follows:
(Millions of yen)
- --------------------------------------------------------------------------
March 31, 2008 March 31, 2009
- --------------------------------------------------------------------------
Net income 106,463 6,530
Effect of dilutive securities -25 (25)
- --------------------------------------------------------------------------
Diluted net income 106,438 6,505
- --------------------------------------------------------------------------
(Shares)
- --------------------------------------------------------------------------
March 31, 2008 March 31, 2009
- --------------------------------------------------------------------------
Weight average common shares outstanding 729,010,475 723,924,525
Effect of dilutive securities 19,741,071 19,741,071
- --------------------------------------------------------------------------
Diluted common shares outstanding 748,751,546 743,665,596
- --------------------------------------------------------------------------
31
- -APPENDIX- YEAR ENDED MARCH 31, 2009)
1. CONSOLIDATED QUARTERLY PERFORMANCE OUTLINE
(1) Financial Statements Summary (Quarterly) (Billions of yen)
- ------------------------------------------------------------------------------------------------------------------------------
1Q Change(%) 2Q Change(%) 3Q Change(%) 4Q Change(%)
- ------------------------------------------------------------------------------------------------------------------------------
Net sales 521.5 -1.6 544.3 -2.5 502.0 -9.0 523.6 -9.6
Gross profit 228.3 -0.2 214.9 -3.4 214.1 -9.8 196.8 -17.6
Operating income 39.7 -14.7 25.3 -33.3 21.3 -56.9 -11.8 -124.9
Income before income taxes 43.7 -17.9 15.1 -52.4 1.1 -97.6 -29.1 -171.8
Net income 25.7 -24.0 8.6 -55.4 -4.8 -115.0 -23.0 -208.6
- ------------------------------------------------------------------------------------------------------------------------------
Net income per share (yen) 35.71 -- 11.85 -- -6.62 -- -31.92 --
Net income per share-diluted (yen) 34.75 -- 11.53 -- -- -- --
- ------------------------------------------------------------------------------------------------------------------------------
Total assets 2,304.7 -- 2,220.8 -- 2,405.1 -- 2,513.4 --
Shareholders' investment 1,123.4 -- 1,102.4 -- 984.8 -- 975.3 --
- ------------------------------------------------------------------------------------------------------------------------------
Shareholders' investment per share (yen) 1,558.37 -- 1,519.08 -- 1,357.20 -- 1,344.08 --
- ------------------------------------------------------------------------------------------------------------------------------
Cash flows from operating activities 10.2 -- 10.8 -- -12.3 -- 78.7 --
Cash flows from investing activities -30.7 -- -34.9 -- -185.0 -- -32.4 --
Cash flows from financing activities 18.0 -- 16.1 -- 209.9 -- 51.7 --
Cash and cash equivalents at end of period 174.2 -- 159.6 -- 155.1 -- 258.4 --
- ------------------------------------------------------------------------------------------------------------------------------
(2) Capital expenditures and Depreciation (Billions of yen)
- ------------------------------------------------------------------------------------------------------------------------------
1Q 2Q 3Q 4Q
- ------------------------------------------------------------------------------------------------------------------------------
Capital expenditures 20.4 26.5 25.3 24.6
Depreciation for tangible fixed assets 17.7 17.6 19.7 19.8
- ------------------------------------------------------------------------------------------------------------------------------
(3) R&D Expenditures (Billions of yen)
- ------------------------------------------------------------------------------------------------------------------------------
1Q 2Q 3Q 4Q
- ------------------------------------------------------------------------------------------------------------------------------
R&D expenditures 31.7 31.4 30.2 30.9
R&D expenditures / Total Sales (%) 6.1 5.8 6.0 5.9
- ------------------------------------------------------------------------------------------------------------------------------
(4) Interest income (expenses) net (Billions of yen)
- ------------------------------------------------------------------------------------------------------------------------------
1Q 2Q 3Q 4Q
- ------------------------------------------------------------------------------------------------------------------------------
Interest income (expenses) net 0.2 0.4 -1.1 -0.1
- ------------------------------------------------------------------------------------------------------------------------------
(5) Exchange Rate
- ------------------------------------------------------------------------------------------------------------------------------
1Q 2Q 3Q 4Q
- ------------------------------------------------------------------------------------------------------------------------------
Exchange rate (Yen/US$) 104.66 107.63 96.21 93.61
Exchange rate (Yen/EURO) 163.48 161.92 126.97 122.35
- ------------------------------------------------------------------------------------------------------------------------------
A1
2. CONSOLIDATED SALES BY PRODUCT CATEGORY
(Three months ended March 31, 2008 and 2009) (Millions of yen)
- -----------------------------------------------------------------------------------------------------------------------
Three months ended Three months ended Change excluding
March 31, 2008 March 31, 2009 Change % exchange impact %
- -----------------------------------------------------------------------------------------------------------------------
[Imaging & Solutions]
Imaging Solutions 447,786 400,512 -47,274 -10.6 4,181 0.9
Percentage of net sales (%) 77.3 76.5
Domestic 159,312 144,190 -15,122 -9.5 -15,122 -9.5
Overseas 288,474 256,322 -32,152 -11.1 19,303 6.7
Network System Solutions 58,512 68,818 10,306 17.6 14,018 24.0
Percentage of net sales (%) 10.1 13.1
Domestic 55,168 45,605 -9,563 -17.3 -9,563 -17.3
Overseas 3,344 23,213 19,869 594.2 23,581 705.2
Imaging & Solutions Total 506,298 469,330 -36,968 -7.3 18,199 3.6
Percentage of net sales (%) 87.4 89.6
Domestic 214,480 189,795 -24,685 -11.5 -24,685 -11.5
Overseas 291,818 279,535 -12,283 -4.2 42,884 14.7
The Americas 105,750 149,608 43,858 41.5 63,198 59.8
Europe 152,773 110,678 -42,095 -27.6 -12,138 -7.9
Other 33,295 19,249 -14,046 -42.2 -8,176 -24.6
- ------------------------------------------------------------------------------------------------------------------------
[Industrial Products]
Industrial Products 32,591 21,796 -10,795 -33.1 -9,513 -29.2
Percentage of net sales (%) 5.6 4.2
Domestic 16,822 11,888 -4,934 -29.3 -4,934 -29.3
Overseas 15,769 9,908 -5,861 -37.2 -4,579 -29.0
The Americas 4,663 2,624 -2,039 -43.7 -1,726 -37.0
Europe 5,442 4,073 -1,369 -25.2 -489 -9.0
Other 5,664 3,211 -2,453 -43.3 -2,364 -41.7
- ------------------------------------------------------------------------------------------------------------------------
[Other]
Other 40,688 32,552 -8,136 -20.0 -7,937 -19.5
Percentage of net sales (%) 7.0 6.2
Domestic 35,641 31,762 -3,879 -10.9 -3,879 -10.9
Overseas 5,047 790 -4,257 -84.3 -4,058 -80.4
The Americas 433 163 -270 -62.4 -253 -58.4
Europe 1,359 393 -966 -71.1 -799 -58.8
Other 3,255 234 -3,021 -92.8 -3,006 -92.4
- ------------------------------------------------------------------------------------------------------------------------
Grand Total 579,577 523,678 -55,899 -9.6 749 0.1
Percentage of net sales (%) 100.0 100.0
Domestic 266,943 233,445 -33,498 -12.5 -33,498 -12.5
Percentage of net sales (%) 46.1 44.6
Overseas 312,634 290,233 -22,401 -7.2 34,247 11.0
Percentage of net sales (%) 53.9 55.4
The Americas 110,846 152,395 41,549 37.5 61,219 55.2
Percentage of net sales (%) 19.1 29.1
Europe 159,574 115,144 -44,430 -27.8 -13,426 -8.4
Percentage of net sales (%) 27.5 22.0
Other 42,214 22,694 -19,520 -46.2 -13,546 -32.1
Percentage of net sales (%) 7.3 4.3
- ------------------------------------------------------------------------------------------------------------------------
Reference: Exchange rate
US$ 1 Yen 105.60 Yen 93.61 Yen -11.99
EURO 1 Yen 158.06 Yen 122.35 Yen -35.71
Each category includes the following product line:
Imaging Solutions Digital PPCs, color PPCs, digital duplicators,
facsimile machines, analog PPCs, diazo copiers,
scanners, MFPs(multifunctional printers), laser
printers and software
Network System Solutions Personal computers, PC servers, network systems and
network related software
Industrial Products Thermal media, optical equipments, semiconductors,
electronic component and measuring equipments
Other Digital camera, and so on
A2
(Year ended March 31, 2008 and 2009) (Millions of yen)
- -----------------------------------------------------------------------------------------------------------------
Year ended Year ended Change excluding
March 31, 2008 March 31, 2009 Change % exchange impact %
- -----------------------------------------------------------------------------------------------------------------
[Imaging & Solutions]
Imaging Solutions 1,709,491 1,598,614 -110,877 -6.5 28,258 1.7
Percentage of net sales (%) 77.0 76.4
Domestic 608,913 567,222 -41,691 -6.8 -41,691 -6.8
Overseas 1,100,578 1,031,392 -69,186 -6.3 69,949 6.4
Network System Solutions 200,082 234,484 34,402 17.2 42,698 21.3
Percentage of net sales (%) 9.0 11.2
Domestic 188,141 172,932 -15,209 -8.1 -15,209 -8.1
Overseas 11,941 61,552 49,611 415.5 57,907 484.9
Imaging & Solutions Total 1,909,573 1,833,098 -76,475 -4.0 70,956 3.7
Percentage of net sales (%) 86.0 87.6
Domestic 797,054 740,154 -56,900 -7.1 -56,900 -7.1
Overseas 1,112,519 1,092,944 -19,575 -1.8 127,856 11.5
The Americas 416,446 487,563 71,117 17.1 138,313 33.2
Europe 571,481 501,887 -69,594 -12.2 -6,592 -1.2
Other 124,592 103,494 -21,098 -16.9 -3,865 -3.1
- -----------------------------------------------------------------------------------------------------------------
[Industrial Products]
Industrial Products 144,340 115,550 -28,790 -19.9 -24,901 -17.3
Percentage of net sales (%) 6.5 5.5
Domestic 78,212 64,792 -13,420 -17.2 -13,420 -17.2
Overseas 66,128 50,758 -15,370 -23.2 -11,481 -17.4
The Americas 16,159 13,725 -2,434 -15.1 -644 -4.0
Europe 22,425 18,235 -4,190 -18.7 -2,437 -10.9
Other 27,544 18,798 -8,746 -31.8 -8,400 -30.5
- -----------------------------------------------------------------------------------------------------------------
[Other]
Other 166,076 143,048 -23,028 -13.9 -21,804 -13.1
Percentage of net sales (%) 7.5 6.9
Domestic 140,768 133,385 -7,383 -5.2 -7,383 -5.2
Overseas 25,308 9,663 -15,645 -61.8 -14,421 -57.0
The Americas 2,194 1,574 -620 -28.3 -414 -18.9
Europe 9,313 3,285 -6,028 -64.7 -5,627 -60.4
Other 13,801 4,804 -8,997 -65.2 -8,380 -60.7
- -----------------------------------------------------------------------------------------------------------------
Grand Total 2,219,989 2,091,696 -128,293 -5.8 24,251 1.1
Percentage of net sales (%) 100.0 100.0
Domestic 1,016,034 938,331 -77,703 -7.6 -77,703 -7.6
Percentage of net sales (%) 45.8 44.9
Overseas 1,203,955 1,153,365 -50,590 -4.2 101,954 8.5
Percentage of net sales (%) 54.2 55.1
The Americas 434,799 502,862 68,063 15.7 137,255 31.6
Percentage of net sales (%) 19.6 24.0
Europe 603,219 523,407 -79,812 -13.2 -14,656 -2.4
Percentage of net sales (%) 27.2 25.0
Other 165,937 127,096 -38,841 -23.4 -20,645 -12.4
Percentage of net sales (%) 7.4 6.1
- -----------------------------------------------------------------------------------------------------------------
Reference: Exchange rate
US$ 1 Yen 114.40 Yen 100.55 Yen -13.85
EURO 1 Yen 161.69 Yen 143.74 Yen -17.95
Each category includes the following product line:
Imaging Solutions Digital PPCs, color PPCs, digital duplicators,
facsimile machines, analog PPCs, diazo copiers,
scanners, MFPs(multifunctional printers), laser
printers and software
Network System Solutions Personal computers, PC servers, network systems and
network related software
Industrial Products Thermal media, optical equipments, semiconductors,
electronic component and measuring equipments
Other Digital camera,and so on
A3
3. FORECAST OF CONSOLIDATED SALES BY PRODUCT CATEGORY
(Billions of yen)
- ---------------------------------------------------------------------------------------------------------------------
Year ending March 31, 2009 Half year ending September 30, 2008
------------------------------------- -------------------------------------
Year ended Change Change Change Change
Mar.31,'08 Forecast % Forecast(*) % Forecast % Forecast(*) %
- ---------------------------------------------------------------------------------------------------------------------
[Imaging & Solutions]
Imaging Solutions 1,598.6 1,645.7 2.9 1,747.4 9.3 807.5 -0.8 910.1 11.8
Domestic 567.2 578.9 2.1 578.9 2.1 283.6 -0.9 283.6 -0.9
Overseas 1,031.4 1,066.8 3.4 1,168.6 13.3 523.9 -0.8 626.5 18.7
Network System Solutions 234.5 270.2 15.2 277.2 18.2 132.6 25.6 139.7 32.3
Domestic 172.9 176.7 2.2 176.7 2.2 86.7 -2.3 86.7 -2.3
Overseas 61.6 93.5 51.9 100.5 63.3 45.9 171.6 53.0 213.6
Imaging & Solutions Total 1,833.1 1,915.9 4.5 2,024.6 10.4 940.1 2.2 1,049.8 14.1
Domestic 740.2 755.6 2.1 755.6 2.1 370.3 -1.2 370.3 -1.2
Overseas 1,092.9 1,160.3 6.2 1,269.0 16.1 569.8 4.6 679.5 24.7
The Americas 487.6 595.7 22.2 629.8 29.2 292.5 40.4 326.9 56.9
Europe 501.9 475.0 -5.4 544.6 8.5 233.3 -15.3 303.6 10.2
Other 103.5 89.6 -13.4 94.6 -8.6 44.0 -27.6 49.0 -19.4
- ---------------------------------------------------------------------------------------------------------------------
[Industrial Products]
Industrial Products 115.6 104.1 -9.9 106.8 -7.6 48.6 -28.3 51.3 -24.3
Domestic 64.8 57.5 -11.3 57.5 -11.3 27.3 -26.8 27.3 -26.8
Overseas 50.8 46.6 -8.2 49.3 -3.0 21.3 -30.2 24.0 -21.2
The Americas 13.7 12.7 -7.5 13.5 -1.7 6.5 -19.8 7.3 -9.9
Europe 18.2 14.4 -21.0 16.3 -10.8 6.0 -44.4 8.0 -26.4
Other 18.8 19.5 3.7 19.5 3.7 8.8 -23.6 8.9 -23.6
- ---------------------------------------------------------------------------------------------------------------------
[Other]
Other 143.0 140.0 -2.1 140.9 -1.5 71.3 -8.9 72.2 -7.8
Domestic 133.4 126.9 -4.9 126.9 -4.9 66.5 -7.3 66.4 -7.3
Overseas 9.7 13.1 36.0 14.0 45.3 4.9 -25.5 5.8 -11.5
The Americas 1.6 1.2 -23.8 1.2 -21.2 0.6 -40.0 0.6 -36.0
Europe 3.3 5.1 55.3 5.8 75.3 1.5 -31.8 2.2 -0.9
Other 4.8 6.8 42.4 7.0 46.5 2.8 -17.1 3.0 -11.2
- ---------------------------------------------------------------------------------------------------------------------
Grand Total 2,091.7 2,160.0 3.3 2,272.3 8.6 1,060.0 -0.6 1,173.4 10.1
Domestic 938.3 940.0 0.2 940.0 0.2 464.0 -4.1 464.0 -4.1
Overseas 1,153.4 1,220.0 5.8 1,332.3 15.5 596.0 2.4 709.4 21.9
The Americas 502.9 609.6 21.2 644.5 28.2 299.6 37.7 334.9 54.0
Europe 523.4 494.5 -5.5 566.6 8.3 240.8 -16.6 313.7 8.7
Other 127.1 115.9 -8.8 121.1 -4.7 55.6 -26.6 60.8 -19.8
- ---------------------------------------------------------------------------------------------------------------------
* Excluding foreign exchange impact
Reference: Year ending Mar. 31, '09 Half year ending Sept. 30, '08
Exchange rate (Forecast) (Forecast)
US$ 1 Yen 95.00 Yen 95.00
EURO 1 Yen 125.00 Yen 125.00
Each category includes the following product line:
Imaging Solutions Digital PPCs, color PPCs, digital duplicators,
facsimile machines, analog PPCs, diazo copiers,
scanners, MFPs(multifunctional printers), laser
printers and software
Network System Solutions Personal computers, PC servers, network systems and
network related software
Industrial Products Thermal media, optical equipments, semiconductors,
electronic component and measuring equipments
Other Digital camera and so on
A4
- -APPENDIX B-
[SCHEDULE 1] CONSOLIDATED SALES BY PRODUCT LINE
- -----------------------------------------------------------------------------------------------------
Year ended Year ended Year ended
March 31, 2007 March 31, 2008 March 31, 2009
- -----------------------------------------------------------------------------------------------------
Imaging Solution Business 1,580.1 1,709.4 1,598.6
Network System Solution Business 194.3 200.0 234.4
Industry Business 133.3 144.3 115.5
Other Business 161.0 166.0 143.0
- -----------------------------------------------------------------------------------------------------
Imaging Solution Business (%) 76.4 77.0 76.4
Network System Solution Business (%) 9.4 9.0 11.2
Industry Business (%) 6.4 6.5 5.5
Other Business (%) 7.8 7.5 6.9
100.0 100.0 100.0
- -----------------------------------------------------------------------------------------------------
[SCHEDULE 2] CONSOLIDATED SALES BY GEOGRAPHIC AREA
- -----------------------------------------------------------------------------------------------------
Year ended Year ended Year ended
March 31, 2007 March 31, 2008 March 31, 2009
- -----------------------------------------------------------------------------------------------------
Japan 1,002.2 1,016.0 938.3
The Americas 426.4 434.7 502.8
Europe 507.1 603.2 523.4
Others 133.0 165.9 127.0
- -----------------------------------------------------------------------------------------------------
Japan (%) 48.4 45.8 44.9
The Americas (%) 20.6 19.6 24.0
Europe (%) 24.5 27.2 25.0
Others (%) 6.5 7.4 6.1
Total 100.0 100.0 100.0
- -----------------------------------------------------------------------------------------------------
[SCHEDULE 3] GEOGRAPHIC SEGMENT INFORMATION
- -------------------------------------------------------------------------------------
Year ended Year ended Year ended
Japan March 31, 2007 March 31, 2008 March 31, 2009
- -------------------------------------------------------------------------------------
Net sales (Billions of yen) 1,521.9 1,535.5 1,393.1
Operating income (Billions of yen) 110.3 107.9 61.5
Operating income on net sales (%) 7.2 7.0 4.4
- -------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------
Year ended Year ended Year ended
The Americas March 31, 2007 March 31, 2008 March 31, 2009
- -------------------------------------------------------------------------------------
Net sales (Billions of yen) 429.2 435.7 506.7
Operating income (Billions of yen) 21.1 2.3 -25.9
Operating income on net sales (%) 4.9 0.5 -5.1
- -------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------
Year ended Year ended Year ended
Europe March 31, 2007 March 31, 2008 March 31, 2009
- -------------------------------------------------------------------------------------
Net sales (Billions of yen) 511.7 604.8 523.5
Operating income (Billions of yen) 33.4 39.0 19.4
Operating income on net sales (%) 6.5 6.5 3.7
- -------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------
Year ended Year ended Year ended
Others March 31, 2007 March 31, 2008 March 31, 2009
- -------------------------------------------------------------------------------------
Net sales 269.0 317.5 265.6
Operating income 17.5 26.4 12.6
Operating income on net sales 6.5 8.3 4.8
- -------------------------------------------------------------------------------------
B1