twice connect

Matsushita Posts Dramatic Profit Gains

10/27/2006 09:33:00 AM Eastern

Osaka, Japan – Matsushita Electric Industrial, marketers of the Panasonic brand, reported a major increase in net income and a gain in consolidated group sales due to digital A/V products for its fiscal second quarter ended Sept. 30.

Net income increased a whopping 156 percent to $672 million while operating profit was up 14 percent to $1.21 billion versus the same quarter last year. The company said the improvements were due mainly to a decrease in expenses associated with early retirement programs versus last year.

Consolidated group sales for the second quarter were up 2 percent to $19.1 billion. Matsushita cited sales gains in digital A/V products, home appliances, components and devices, among other operations. Overseas sales increased 3 percent to $9.61 billion for the quarter.

While profits and sales were up, Matsushita did report that the U.S. economy was in a slowdown during the quarter, rising raw material costs, and continuous price declines mainly in digital A/V products due to intensified global competition.

For the first half Matsushita reported a 3 percent sales increase to $37.2 billion, with net income again up a whopping 79 percent to $976 million. Operating profit was also up dramatically during the first half, 21 percent to $1.76 billion.

Digital A/V and flat-panel products drove sales during the first half with overseas sales being up 6 percent to $18.72 billion.

Concerning individual divisions, AVC Networks, the unit where most of its consumer electronics products reside, had a sales gain of 1 percent to $15 billion during the first half. Sales of audio/video products, flat panel TVs and digital cameras as part of AVC’s business was up 8 percent versus last year. Sales were also strong for PCs and automotive electronics, but mobile phone sales in Japan and overseas were down 3 percent during the half.

In home appliances sales were up 4 percent to $5.12 billion due to “favorable sales” of air conditioners and compressors.

ProSource Meeting Filled With Optimism

San Antonio — Optimism reigned at ProSource’s

Ingram Draws 500 To Spring Vendor Expo

Scottsdale, Ariz. — Ingram Micro Consumer

CEA Holds ’14 Digital Patriots Dinner

Washington — CEA held its annual Digital Patriots’

8 Technology Accessories For a Greener Earth

An Earth Day review of Earth-friendly products, by

BrandSource Shows Diverse Product Selection

BrandSource’s Summit show at the Marriott World

Scenes From Toy Fair

By Lisa Johnston

ADL Honors Morales, Bilas, Paull, Weedfald At Annual Dinner

New York — The Anti-Defamation League’s National