Notice of Revised Financial Results Outlook and Notice of Extraordinary Loss (Non-Consolidated)

 

- TOKYO, Japan, January 31, 2012 -

In light of recent business trends, Seiko Epson Corporation ("Epson", TSE: 6724) today announced it was revising its full year (April 1, 2011, to March 31, 2012) consolidated financial results outlook issued on November 14, 2011.

Epson has also announced an extraordinary loss for the third quarter (October 1 to December 31, 2011) of the same fiscal year.

1. Revised full-year outlook (fiscal year ending March 31, 2012)

(April 1, 2011, to March 31, 2012)

(Unit: billion yen, except where stated otherwise)

  Net sales Operating
income
Ordinary
income
Net income Net earnings
per share (yen)
Previous
outlook (A)
(November 14, 2011
907.0 31.0 29.0 8.0 40.12
Revised outlook (B) 880.0 27.0 27.0 5.0 26.06
Difference (B-A) -27.0 -4.0 -2.0 -3.0 -
Change (%) -3.0% -12.9% -6.9% -37.5% -
Reference:
Previous year
(ending March 2011)
973,663 32,709 31,174 10,239 51.25

Reasons for revision

Epson has downwardly revised its net sales outlook. This is because of the instability caused by the European debt crisis and the subsequent weakness of the euro against the yen, uncertainty in the economies of developed nations, and the effect of these factors on both information-related equipment and electronic devices.

Epson is also revising its operating income outlook. This was due to factors such as a temporary increase in logistics expenses associated with meeting demand in the year-end selling season. Because of the above, net income will also be lower than previously forecast.

Going forward, Epson will continue to pursue a strategy based on its SE15 Corporate Vision, taking advantage of its original strengths as it seeks to generate unique customer value. In addition to cutting costs, and efficiently allocating expenses, Epson is strengthening its business structure as it seeks to return to growth.

Epson is now assuming exchange rates of 75 yen to the US dollar and 100 yen to the euro.

2. Notice of extraordinary loss (non-consolidated) Provision for allowance for doubtful accounts

Epson has posted a non-consolidated extraordinary loss of 6,579 million yen as a provision for allowance of doubtful accounts in consideration of the financial situation at a subsidiary company.

This extraordinary loss has not been included in the consolidated accounts because it has already been factored into the profit and loss of the consolidated company in question.


About Epson
Epson is a global imaging and innovation leader that is dedicated to exceeding the vision of customers worldwide through its compact, energy-saving, high-precision technologies, with a product line-up ranging from printers and 3LCD projectors for enterprise and the home, to sensors and other microdevices. Led by the Japan-based Seiko Epson Corporation, the Epson Group comprises more than 78,000 employees in 99 companies around the world, and is proud of its ongoing contributions to the global environment and the communities in which it operates.
http://global.epson.com/