Seiko Epson : Disclosure of Financial Results Forecast for the Year Ending March 2021
July 31, 2020 at 02:05 am EDT
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Disclosure of Financial Results Forecast for the Year Ending March 2021
- TOKYO, Japan, July 31, 2020 -
Seiko Epson Corporation (TSE: 6724, "Epson") today announced that its board of directors had approved disclosure of its to date undisclosed financial results forecast for the year ending March 2021.
1. Disclosure of financial results for the year ending March 2021 (April 1, 2020 to March 31, 2021)
Profit for
Profit from
the year
Basic
Business
Profit
Profit for
attributable
Revenue
operating
to owners
earnings
profit
before tax
the period
activities
of the
per share
parent
company
Previous
Millions
of
Millions of
Millions of
Millions of
Millions of
Millions of
Yen
yen
yen
yen
yen
yen
yen
forecast (A)
－
－
－
－
－
－
－
Current forecast
930,000
20,000
16,000
14,000
1,000
1,000
2.89
(B)
Change (B - A)
－
－
－
－
－
－
－
Change (%)
－
－
－
－
－
－
－
Reference:
Results for the
1,043,600
40,861
39,479
39,713
7,823
7,733
22.26
year ended
March 2020
Note: Business profit is calculated by subtracting cost of sales and selling, general and administrative expenses from revenue.
2. Reasons for disclosure
Until now, Epson had not disclosed its financial results forecast for the year ending March 2021 due to the difficulties involved in calculating the impact of the coronavirus pandemic on Group operations. We are now disclosing our forecast based on available information and forecasts.
Revenue will be significantly below the same period in the previous year. In the printer business in the first half, stay-at-home demand will drive ongoing enhanced sales of office and home inkjet printers and consumables in North America, western Europe and other developed economies. However, we forecast that this will be offset by production delays and slack demand and sales as a result of the pandemic. Second half revenue will be slightly below the same period in the previous year. Although we expect to benefit from the launch of strategic products, we expect to feel the lingering effects of the pandemic in certain regions.
We also forecast declines in each profit category. While on one hand, in recognition of
the tough business environment, we will implement strict cost cuts and carefully prioritize expenditures throughout the year, profitability will be affected by the impact of the pandemic on revenue.
We are basing our financial disclosures for the second quarter onwards on assumed exchange rates of 105 yen to the US dollar and 118 yen to the euro.
The current forecast is subject to change due to factors including the ongoing impact and recovery period of the pandemic, and the macroeconomic situation both in Japan and the rest of the world.
About Epson
Epson is a global technology leader dedicated to becoming indispensable to society by connecting people, things and information with its original efficient, compact and precision technologies. The company is focused on driving innovations and exceeding customer expectations in inkjet, visual communications, wearables and robotics. Epson is proud of its contributions to realizing a sustainable society and its ongoing efforts to realizing the United Nations' Sustainable Development Goals.
Led by the Japan-based Seiko Epson Corporation, the worldwide Epson Group generates annual sales of more than JPY 1 trillion.
global.epson.com/
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Seiko Epson Corporation published this content on 31 July 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 31 July 2020 06:05:14 UTC
Seiko Epson Corporation specializes in the design, manufacturing and marketing of printing, visual communication and watchmaking equipment and systems, and industrial devices. Net sales break down by family of products as follows:
- printing equipment (71%): printers, scanners, copiers, digital presses, fax machines, ticket printers, labellers, etc. for businesses and individuals. The group also offers consumables (ink cartridges, toners, ribbons, etc.);
- visual communication systems (14.2%): multimedia projectors, smart glasses, LCD displays, etc. ;
- watches and industrial products (14.1%): electronic and mechanical watches, wristwatches, chronometers, optoelectronic devices, precision machine tools, robotic systems, mechatronic products, micro-devices, etc.
- other (0.7%).
At the end of March 2021, Seiko Epson operated 27 production sites worldwide.
Net sales are distributed geographically as follows: Japan (22.3%), the United States (21%), China (14.5%) and other (42.2%).
SEIKO EPSON CORPORATION 
