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, 2022.
In the first six months of the fiscal year ending March 31, 2022, the global economy saw the resumption in economic activities due to the economic policies of various countries and the progress made in administering vaccines for the novel coronavirus (COVID-19). On the other hand, some countries in the Asian region implemented measures such as lockdowns and there were frequent state of emergency declarations in Japan, which means that concerns remain about the spread of infections. In addition to that, factors such as rises in the prices of raw materials and supply chains disruptions caused by shortages of components and containers mean that the economic outlook 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 ¥195,124 million, up ¥22,798 million or 13.2% from the same period of the previous fiscal year. This increase in Group sales mainly reflects a recovery in sales of lithium-ion batteries for plug-in hybrid vehicles and an increase in sales of lead-acid batteries in the automotive batteries business overseas as well as the exchange rate benefit from a weaker yen. Operating profit was largely in line with the previous fiscal year at ¥5,226 million (¥6,356 million before goodwill amortization), a year-on-year decrease of ¥67 million or 1.3%, mainly due to the higher price of raw materials. Ordinary profit was ¥6,569 million, a year-on-year increase of ¥69 million or 1.1%, due to the improvement of non-operating profit associated with the recovery of operating results of some associates accounted for under the equity method. Profit attributable to owners of parent was ¥2,207 million, a year-on-year increase of ¥2,085 million, due to the recording of gain on bargain purchase as extraordinary income and the impact of the reduction in impairment loss compared to the same period of the previous fiscal year.
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 05, 2021