Denso’s consolidated net sales for the fiscal first quarter ended 30 June 2014 rose 3.2% year on year to JPY1.03 trillion (US$10.2bn). Operating income was down 16.7% to JPY85.05bn.

Net income 20.1% to JPY68.79bn.

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“The sales increased due to a production volume increase. Despite the variable cost reduction and the increase in production volume, the operating income decreased due to research and development expenditures and investment costs that will strength future growth,” said Kenichiro Ito, executive director of Denso.

H1 forecast

Net sales: JPY2.02 trillion

Operating income: JPY164bn

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Income before income taxes and minority interests: JPY177bn

Net income: JPY116bn

Fiscal year forecast

Net sales: JPY4.14 trillion

Operating income: JPY350bn

Income before income taxes and minority interests: JPY378bn

Net income: JPY248bn

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