Denso has posted first half of fiscal year results that show sales and profit down on last year.

Denso Corporation has announced its global financial results for the first half of the fiscal year ending 31 March 2017:

Consolidated revenue totalled JPY2,176.9bn (US$21.5bn), an 2.3% decrease from the previous year.
Consolidated operating profit totalled JPY142.7bn (US$1.4bn), a 3.6% decrease from the previous year.
Consolidated profit attributable to owners of the parent company totalled JPY97.5bn (US$964.1m), a 13.8% decrease from the previous year.
“Despite the production volume increase and the growth in sales, Denso’s revenue and operating profit decreased due to the appreciation of the yen,” said Koji Arima, president and CEO of Denso Corporation.

In Japan, despite the impact of the exchange rate, the production volume increase led to an increase in revenue to JPY1,292.3bn (US$12.8bn), an 0.7% increase from the previous year. The impact of the exchange rate of export sales led to an operating profit of JPY52.6bn (US$519.8m), a 26.4% decrease from the previous year.

In North America, despite an increase in car production and sales expansion, boosted by the steady economic growth, impact of exchange rate led to a decrease in revenue to JPY516.6bn (US$5.1bn), a 7.3% decrease from the previous year. As a result of the increase in production volume, the operating profit totalled JPY29.5bn (US$291.9m), a 18.3% increase from the previous year.

In Europe, despite car production increase and sales expansion due to the moderate recovery of the market , impact of exchange rate led to a decrease in revenue to JPY280.2bn (US$2.8bn), an 5.1% decrease from the previous year. As a result of the increase in production volume, the operating profit totalled to JPY9.3bn (US$92.5m), a 50.9% increase from the previous year.

In Asia, despite the increase of car production and sales expansion, impact of exchange rate resulted in a revenue decrease of JPY539.3bn (US$5.3bn), a 6.3% decrease from the previous year. As a result of the increase in production volume, an operating profit totalled JPY46.1bn (US$456.1m), a 9.1% increase from the previous year.

In other areas, mainly the South American region, including Brazil and Argentina, revenue totalled JPY30.5bn (US$301.9m), an 5.4% decrease from the previous year. The operating profit totalled JPY1.7bn (US$17.1m).