Please note that JavaScript and style sheet are used in this website,
Due to unadaptability of the style sheet with the browser used in your computer, pages may not look as original.
Even in such a case, however, the contents can be used safely.
Company Information
Message from the President
BUSINESS REPORT (For the period from April 1 to September 30, 2012)
Nobuhiro Endo President, NEC CorporationI would like to express my sincere appreciation for your continuous support of the NEC Group.
The worldwide economy during the six months ended September 30, 2012 was characterized by cautious investment activity and consumer spending in developed countries in response to the financial crisis in Europe. Also, the growth rate of emerging countries slowed due to a slowdown in exports to developed countries and the raising of interest rates to control inflation.
Meanwhile, the Japanese economy moved towards recovery through business demand related to recovery efforts from the Great East Japan Earthquake of March 2011, the gradual pick-up of capital investment and robust consumer spending.
In terms of our market environment, the recovery of IT investment in Japan and Network-related demand continued to be strong.
Under this business environment, NEC recorded consolidated net sales of 1,447.8 billion yen for the six months ended September 30, 2012, an increase of 0.3% year-on-year.
Regarding profitability, consolidated operating income improved by 40.6 billion yen year-on-year, for an operating income of 47.4 billion yen, mainly due to increased sales from the IT Solutions business and the Carrier Network business as well as the execution of structural reforms and sale of LCD-related patents.
Net income (loss) for the six months ended September 30, 2012 was a profit of 8.0 billion yen, a year-on-year improvement of 19.0 billion yen, mainly due to an improvement in operating income.
However, in light of growing economic uncertainty, NEC regrettably has decided not to pay an interim dividend for fiscal 2013. We deeply regret any inconvenience to our shareholders.
During the six months ended September 30, 2012, NEC carried out head-count reductions and restructuring measures within underperforming business areas. NEC also made acquisitions and alliances in order to expand its global business and energy business.
The NEC Group will continue to strive to achieve full year forecasts, and to resume a year-end dividend of 4 yen per share.
By steadily building on business achievements, NEC endeavors to regain the trust of capital markets, and also aims to generate profit as a business entity through reform. Our overriding goal is to enhance corporate value.
We look forward to your continued support and understanding as we work to reach our goals.
November 2012
Nobuhiro Endo
President, NEC Corporation
NEC Online TV (about NEC in video)
NEC's business strategy
President Endo speaks on NEC's business strategy and the vision of the future. [ 05:57 ]
（In English, Chinese, Portuguese, French, Spanish and Italian)
