Investor Relations Performance Trends
March 2024 term 3Q
The Group has taken various measures with the aim of achieving stable profit and growth from a medium- to long-term perspective as outlined in “IKO Medium-term Business Plan 2023~Deepening, Expanding, Embracing Change~.”
From a sales perspective, the Group strove to engrain the IKO brand in markets and enhance customer convenience by participating in exhibitions at home and abroad and renewing the website specially set up for the Mechatronics series.
In terms of product development, we worked to create new innovative products by having our technical and development departments engage in direct dialogue with customers as well as by strengthening our market-in development approach, which strives to accurately identify market needs and issues.
From a production standpoint, we worked hard to expand production capacity, for example, investing in the expansion of our production subsidiary IKO THOMPSON VIETNAM CO., LTD. In addition, Chinese production subsidiary UBC (Suzhou) Bearing Co., Ltd. is stepping up its environmental conservation and sustainable management efforts through such measures as the introduction of solar power systems aimed at reducing CO2 emissions.
As a result, consolidated net sales for the nine-month period under review totaled ¥42,139 million, down 19.2% year on year. On the earnings front, due mainly to decreased revenue and production, operating profit came to ¥3,035 million, down 59.5% year on year, and ordinary profit came to ¥3,888 million, down 53.1% year on year. Profit attributable to owners of the parent amounted to ¥2,267 million, down 60.6% year on year.
Consolidated Balance Sheets
Total assets as of December 31, 2023, totaled \118,427 million, an increase of \4,079 million compared with the end of the previous fiscal year. This mainly comprised increases in cash and deposits of ¥1,409 million, inventories of \3,642 million and investment securities of ¥1,734 as well as decrease in notes and accounts receivable-trade of \3,572 million.
Total liabilities amounted to \43,895 million, an increase of \1,210 million compared with the end of the previous fiscal year. This mainly comprised increases in short-term borrowings of \1,250 million and long-term borrowings of ¥5,835 million as well as decrease in notes and accounts payable-trade of \3,382 million and income taxes payable of ¥2,559 million.
Total net assets amounted to ¥74,532 million, an increase of ¥2,869 million compared with the end of the previous fiscal year. This mainly comprised an increases in valuation difference on available-for-sale securities of ¥1,224 million and foreign currency translation adjustments of ¥1,441 million.
