Mixed Bag for Sharp’s Fiscal Year
Sharp Corporation, a division of Foxconn, today reported results for its fiscal year that ended on March 31, 2019.
Net sales for the year were ¥2,400.0 billion, down 1.1 percent versus the previous fiscal year. Operating profit was ¥84.0 billion, down 6.6 percent versus the previous fiscal year. However, profits were ¥74.2 billion, up 5.7 percent versus the previous fiscal year, but below Sharp’s forecast of ¥90.0 billion.
The Japan-based company reported that U.S.-China trade friction, “fluctuating demand among major customers,” and other factors contributed to a much more challenging environment than it had anticipated.
However, Sharp said it has achieved 10 consecutive quarters of increasingnet profits since the third-quarter quarter of its fiscal 2016 year.
For its fourth quarter that ended on March 31, 2019, Sharp reported net sales of ¥628.5 billion, up 5.1 percent year-over-year. Operating profit for the quarter was ¥15.8 billion, down 19.7 percent year-over-year. Profit took a sharp decline, totaling ¥11.1 billion, and down 24.9 percent year-over-year.
Smart Business Solutions Group
Sharp’s Smart Business Solutions group reported net revenue of ¥320.5 billion, up 0.7 percent versus the previous fiscal year. Revenue for all other segments – Smart Homes and IoT Electronic Systems – were also either flat or up. However, net revenue for Sharp’s Advanced Display Systems was down a sharp 11.7 percent.
Operating profit for Sharp’s Smart Business Solutions group was ¥21.6 billion, down 1.2 percent versus the previous fiscal year. IoT and Advanced Displays saw sharp declines versus the previous year at 13.1 percent and 26.9 percent, respectively.
For its current fiscal year that will end on March 31, 2020, Sharp is forecasting net sales to be up 10.4 percent versus the previous fiscal year; operating profit to be up 18.8 percent versus the previous fiscal year; and profits to be up 7.8 percent.
For its Smart Business Solutions group, Sharp plans to expand its PC lineup, launch smartphones for the enterprise, and acquire new dealers to expand its distribution channel.
- May 2019: Sharp to Re-Enter Television Business in U.S.
- February 2019: Sharp Expands Direct Sales Coverage
- January 2019: Sharp Reports Latest Financial Results
- December 2018: Sharp Returns to Consumer Electronics Show
- October 2018: Sharp Releases Results for First Half of Fiscal Year
- June 2018: Sharp Purchasing Toshiba’s PC Business
- April 2018: Reflecting Profitable Fiscal Year, Sharp to Pay Dividends For First Time in Six Years
- January 2018: Sharp Corporation Revenue and Profits up for Nine-Month Period