Tokyo - Victor Company of Japan (JVC) reported that its consumer electronics division's sales were down in the Americas for its fiscal year.
The drop was due mainly to a stalled U.S. economic recovery that was influenced by several huge corporate bankruptcies and slowing consumer spending, as well as the Iraq war's impact on future uncertainties, said JVC. The company's reporting period ended March 31.
Overall JVC sales of CE products, however, increased 5.2 percent year-on-year, thanks to strong growth for DVD players, car audio and projection television sets, while sales of digital video cameras struggled. CE sales for the year hit $5.63 billion, up from $5.35 billion in the same period the preceding 12 months.
JVC's software and media products division struggled during the fiscal year, with the music, video and game software industries all under-performing during the period, said the company. Software and media product sales dipped 5.4 percent for the 12 months, down to $1.4 billion, from $1.5 billion a year earlier.
Consolidated JVC sales were generally flat for the 12 months, edging up about 1.4 percent, to $8.06 billion, from $7.95 billion in the year-ago period.
Consolidated operating income and net income both moved into the black during the 12 months, due to such factors as strong sales of the company's CE business in Japan and overseas. Operating income came in at $185.9 million, compared with an operating loss of $100.8 million year over year. Net income hit $52.8 million, compared with a net loss of $371.5 million in the same period a year ago.
JVC predicts a consolidated annual sales increase of 3 percent year-on-year for the period ending March 31, 2004, up to $8.3 billion. Net income should increase to $91.7 million for the 12 months.