First, I would like to express my sincere appreciation for your support of GS Yuasa.
I will present the Company's operating performance for the first six months of the fiscal year ending March 31, 2021.
In the first six months of fiscal year ending March 31, 2021, the global economy saw business conditions deteriorate severely owing to the impact of the novel coronavirus pandemic. While economic activity has been resuming in stages and signs of a recovery are gradually emerging, a second wave of coronavirus infections has begun to appear in some parts of the world. The economic outlook therefore remains highly uncertain.
In this economic environment, the GS Yuasa Group’s consolidated net sales for the first six months of the fiscal year totaled ¥172,325 million, down ¥18,089 million or 9.5% from the same period of the previous fiscal year. The decline in sales mainly reflects declines in domestic and overseas sales of lead-acid batteries for new vehicles and lower sales of lithium-ion batteries for plug-in hybrid vehicles. Consequently, operating income was ¥5,294 million (¥6,424 million before goodwill amortization), a year-on-year decrease of ¥2,254 million or 29.9%, and ordinary income was ¥6,500 million, down ¥1,924 million or 22.8% year on year. Profit attributable to owners of parent came to ¥121 million (¥1,220 million before goodwill amortization), a year-onyear decrease of ¥4,652 million or 97.5%. In addition to the decline in ordinary income, first -half profit attributable to owners of parent takes into account the recoverability of deferred tax assets in light of the decline in profitability and the recording of impairment loss at a consolidated subsidiary.
I sincerely hope we will be able to count on the continued support and encouragement of our shareholders as we rise to meet the challenges ahead.
November 6, 2020