KYOCERA Announces Consolidated Financial Results for Third Quarter, Ended Dec. 31, 2022

KYOTO, Japan–(BUSINESS WIRE)–Kyocera Corporation (TOKYO: 6971) today announced its consolidated financial results for the third quarter of the fiscal year ending March 31, 2023. Results are summarized below, both as an aggregation of Kyocera’s first three fiscal quarters (the “period,” i.e., nine months), and as the third quarter alone (the “quarter,” i.e., three months) ended Dec. 31, 2022. Complete details are available at: https://global.kyocera.com/ir/library/f_results.html

Consolidated Financial Highlights: Nine Months Ended December 31, 2022

Unit: Millions (except percentages and per-share amounts)

Nine Months Ended December 31,

2021(FY22)in JPY
2022(FY23)in JPY
Change
2022(FY23)in USD
2022(FY23)in EUR

Amountin JPY
%

Sales revenue:

1,355,665

1,526,497

170,832

12.6

11,477

10,826

Operating profit:

118,458

113,884

(4,574)

(3.9)

856

808

Profit before income taxes:

163,103

162,756

(347)

(0.2)

1,224

1,154

Profit attributable to owners of the parent:

119,833

118,783

(1,050)

(0.9)

893

842

Earnings per share attributable to owners of the parent (basic):

331.34

330.96

－

2.49

2.35

Note on exchange rates: U.S. dollar (USD) and euro (EUR) conversions are provided above as a convenience to the reader, based on the rates of USD1 = JPY133 and EUR1 = JPY141, rounded to the nearest unit (as of December 30, 2022)

Period Summary

This nine-month period was characterized by slowing economic growth rates amid an uncertain global situation, continuing inflation, rising global interest rates and a sharp depreciation in the Japanese yen. Concerning the company’s major revenue sources, the period brought continued robust demand in semiconductor-related markets; however, smartphone-related markets exhibited a slowing trend.

Due to the impact of the company’s investments in expanding component production for semiconductor-related markets, as well as the impact of the weaker yen, the period sales revenue increased by 12.6% over the prior-year period, to JPY1,526,497 (USD11,477) million, marking a record high.

Nevertheless, despite the weaker yen and increased sales revenue for the company as a whole, profit decreased as compared with the prior-year period as operating costs rose, particularly in raw materials and logistics. The Communications Unit experienced a sharp decrease in sales revenue during the period, and the company recorded slowing demand for components used in smartphones during the three months ended Dec. 31, 2022. The period also included two extraordinary costs totaling approximately 10 billion yen: approx. JPY7 billion in litigation costs during the three months ended Sept. 30, 2022, and approx. JPY3 billion in pension liabilities during the three months ended Dec. 31, 2022. Consequently, as compared with the prior-year period, operating profit decreased 3.9%, to JPY113,884 (USD856) million; profit before income taxes decreased 0.2%, to JPY162,756 (USD1,224) million; and profit attributable to owners of the parent decreased 0.9%, to JPY118,783 (USD893) million.

Consolidated Financial Highlights: Third Quarter

Unit: Millions (except percentages)

Three Months Ended December 31,

2021(FY22-Q3)in JPY
2022(FY23-Q3)in JPY
Change
2022(FY23-Q3)in USD
2022(FY23-Q3)in EUR

Amountin JPY
%

Sales revenue:

479,328

514,325

34,997

7.3

3,867

3,648

Operating profit:

42,779

37,396

(5,383)

(12.6)

281

265

Profit before income taxes:

63,752

58,445

(5,307)

(8.3)

439

415

Profit attributable to owners of the parent:

46,614

43,197

(3,417)

(7.3)

325

306

(See note above regarding exchange rates)

Guidance for the Fiscal Year Ending March 31, 2023

During this nine-month period, the company’s sales revenue increased most strongly in semiconductor-related markets. The three months ending Mar. 31, 2023 are forecast to bring slower economic growth, rising global inflation, lower volumes of smartphone sales and production, and higher costs, especially in raw materials and logistics. Under these circumstances, the company has revised its consolidated financial forecasts for the fiscal year ending March 31, 2023 as outlined in the table below.

Consolidated Forecast: Year Ending March 31, 2023

Unit: Yen in millions (except percentages, per-share amounts and exchange rates)

Fiscal 2022Results

Fiscal 2023 ForecastAnnounced onApril 28, 2022

Fiscal 2023 ForecastAnnounced onFebruary 1, 2023

Change(%) fromFiscal 2022Results

Sales revenue:

1,838,938

2,000,000

8.8

Operating profit:

148,910

174,000

120,000

(19.4)

Profit before income taxes:

198,947

220,000

170,000

(14.6)

Profit attributable to owners of the parent:

148,414

154,000

124,000

(16.4)

Earnings per share attributable to owners of the parent (basic):

411.15

426.63

345.49

–

Average USD exchange rate:

112

134

–

Average EUR exchange rate:

131

137

–

*1: Based on the average number of shares outstanding during the nine months ended December 31, 2022

*2: On October 31, 2022, forecast revised from the previous forecast made in April 2022. The previous forecasts were 115 yen for average US$ exchange rate, 125 yen for average Euro exchange rate.

Forward‐Looking Statements

Please refer to https://global.kyocera.com/ir/disclaimer.html

About KYOCERA

Kyocera Corporation (TOKYO:6971, https://global.kyocera.com/), the parent and global headquarters of the Kyocera Group, was founded in 1959 as a producer of fine ceramics (also known as “advanced ceramics”). By combining these engineered materials with metals and integrating them with other technologies, Kyocera has become a leading supplier of industrial and automotive components, semiconductor packages, electronic devices, smart energy systems, printers, copiers, and mobile phones. During the year ended March 31, 2022, the company’s consolidated sales revenue totaled 1.8 trillion yen (approx. US$15.1 billion). Kyocera is ranked #665 on Forbes magazine’s 2022 “Global 2000” list of the world’s largest publicly traded companies, and has been named among “The World’s 100 Most Sustainably Managed Companies” by The Wall Street Journal.
Contacts
KYOCERA Corporation (Japan)
Corporate Communications
Masaru Usami
Tel: +81-(0)75-604-3416
Fax:+81-(0)75-604-3516
E-Mail: webmaster.pressgl@kyocera.jpWebsite: https://global.kyocera.com/