Japan Display : Presentation slides for Fiscal Year 2019 Consolidated Financial Results
July 01, 2020 at 12:44 am EDT
Share
1. 2Q-FY2014 Financial Results & FY2014 Forecast
2. Measures for Improving Earnings
Summary of 2Q-FY 2014 Financial Results Meeting
Downward revision of the financial forecast for FY2014 was made on Oct 15 1H: Net sales: ¥310.0 bn ¥285.6 bn
OP: ¥1.0 bn a loss of ¥20.3 bn Full term: Net sales: ¥750.0 bn ¥740.0bn
OP: ¥40.0 bn ¥6.5 bn
2Q financial results fell below initial forecasts due mainly to product shipment delays, lower-than-expected Full-HD sales and a recorded inventory write-down
Net sales and operating profit to improve in the 2H due to recovery in production for a large customer, higher sales of Full-HD/WQHD and Pixel EyesTM to China and other Asian customers and cost-cutting measures
Extraordinary loss of 2.1 bn yen for provision for doubtful accounts established in 2Q
1H-FY 2014 Consolidated Operating Results
(Billion yen)
1H-FY14
1H-FY14
Increase/
1H-FY14
Increase/
Actual
Est. May 15
Decrease
Est. Oct 15
Decrease
Net sales
285.6
310.0
(24.4)
286.3
(0.7)
Operating income
(20.3)
1.0
(21.3)
(20.9)
0.6
-7.1%
0.3%
-7.3%
Ordinary income
(22.5)
(3.2)
(19.3)
(22.5)
0.0
-7.9%
-1.0%
-7.9%
Net income
(27.8)
(3.2)
(24.6)
(25.3)
(2.5)
-9.7%
-1.0%
-8.8%
EBITDA
14.2
38.3
(24.1)
-
-
5.0%
12.4%
• 1H and full-term forecast announced May 15 revised on October 15 due to product shipment delays in the 2Q, lower shipments of Full-HD (HD720 shipments increased) and an inventory write-down
• Actual results for 1H were almost the same as the estimate announced on Oct.15 except for net income because of extraordinary loss booked for accounts receivables of our overseas subsidiaries
Extraordinary Loss Taken on Accounts Receivable
An extraordinary loss of 2.13 bn yen was recorded in 2Q for 4.26 bn yen accounts receivable from Taiwan's Wintek Corporation, a customer of JDI's subsidiaries that has filed for corporate reorganization proceedings
Corporate reorganization proceeding in Taiwan may become a prolonged process. Since it is unclear how much Wintek can pay off receivables under a corporate reorganization plan, the remaining amount of accounts receivable will be addressed later
The distribution of products to a smartphone maker, one of our display users, was changed prior to the filing for corporate reorganization proceedings. Outstanding receivables from Wintek will not increase in future
For the purpose of collecting accounts receivable, negotiations with Wintek and JDI display users continue. JDI will strengthen its credit management of customers designated by our display users
Attachments
Original document
Permalink
Disclaimer
Japan Display Inc. published this content on 30 June 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 01 July 2020 04:43:01 UTC
Japan Display Inc. is engaged in the development, design, manufacture and sale of small and medium-size displays and related products. Its display is the electronic component that displays images such as characters, photographs, moving images as an output device of electronic device. The Company's small and medium-sized displays are mainly mounted on smart phones, tablet terminals, car-mounted equipment, medical equipment, wearable devices, digital cameras, among others. The Company operates through the Small and Medium Size Display business.