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Sharp CE Segment Sales Rise 12.2% In Fiscal Year

4/27/2004 03:25:00 PM Eastern

Osaka, Japan — Climbing sales of LCD televisions and camera-equipped mobile phones boosted sales 12.2 percent in the audio/visual and communication equipment segment at Sharp. Sales reached $7.7 billion in the 12 months, up from $6.9 billion in the year-ago period. The company anticipates tacking on another 10.2 growth percentage in the current fiscal year, to $8.5 billion.

Operating income in Sharp’s A/V and communication equipment segment, primarily consumer electronics products, made a strong 16.2 percent move in the fiscal year, ended March 31, hitting $256.1 million. In the current year, this number should increase 11.4 percent to $285.2 million, said Sharp.

LCD televisions over 10 inches enjoyed the most dramatic sales increase in the CE segment during the year, rising to $1.6 billion, a 95.5 percent jump. LCD televisions are expected to do $2.8 billion in sales in the current fiscal year, ending in March of 2005, a 72.6 percent rise.

Mobile phones, the consumer electronics segment’s largest player, increased sales by 37.2 percent during the 12 months, reaching $3.1 billion. Phones are expected to make another 5 percent jump this year to $3.2 billion.

Color TVs, the third largest CE category, registered a 23.4 percent sales slide in the year, down to $1 billion. The drop is expected to widen in the current year, a decrease of 33.2 percent to $671.7 million.

Total overseas sales for Sharp in the 12 months rose 47.2 percent, hitting $10.2 billion, up from $8.7 billion year-on-year. Overseas sales of CE products increased 6.5 percent to $3.3 billion, and this number is expected to rise 11.1 percent this year to $3.7 billion.

Sales to the Americas in the 12 months moved to $2.8 billion, down 8.3 percent from the previous year. Sales should turn around a bit in the current year, rising 3 percent to $2.9 billion.

Consolidated Sharp sales for the year rose 12.7 percent, hitting $20.8 billion from $18.4 billion year-over-year. Net income jumped 86.3 percent in the year to $558.7 million from $299.9 million.

In the current year, Sharp anticipates consolidated sales rising to $23.3 billion, with net income moving up to $690.1 million.

The company said it plans to intensify its sales activities in a global market, mainly by strengthening its LCD television and mobile phone businesses. Sharp plans to expand its line of advanced LCD color TVs, best suited to high-definition digital broadcasting. Mobile phones will be upgraded to optimize 3G’s unique features.