Funai Electric Co., Ltd. has revised its forecast of operating results released with the announcement of results for the third quarter period ending February 4, 2008 as described below.

 

1. Revised Consolidated Fiscal Year Results (April 1, 2007 to March 31, 2008)

(Units: Million Yen)

	Net Sales	Operating Income	Ordinary Income	Net Income Before Subsidary Dividend *1	Net Income
Previously Announced Forecast (A)	279,000	(2,100)	2,300	[(1,900)]	(7,400)
Revised Forecast (B)	277,100	(2,410)	(4)	[     160]	(5,380)
Amount of Increase/Decrease (B–A)	(1,900)	(310)	(2,340)	[   2,060]	2,020
Percentage Changed (%)	(0.7)	－	－	[　　－　　]	[　－　]
(Reference) Previous FY Results (to March 2007)	396,712	20,766	26,591	[　　－　　]	(3,665)*2

*1: Shows net income in cases where dividends from subsidiaries were not implemented.

*2: Full year net income as a result of reversing the “long-term suspense payments of
income taxes” for additional taxes based on Report No. 63 of the Auditing and Assurance Practice Committee of the Japanese Institute of Certified Public Accountants (JICPA), Accounting, Presentation, and Audit Treatment for Various Taxes, and disposing of the amount as “prior fiscal year corporation taxes, etc.” Using conventional methods in previous years would have resulted in net income of 15,518 million yen.

 

2. Reasons Behind Revision of Consolidated Results Forecast

During the fourth quarter, the company incurred an exchange loss of 3.0 billion yen (2.0 billion yen for the full year) as a non-operating expense as a result of the yen’s strong appreciation against the U.S. dollar. As a result, the company projects the ordinary income of 2.3 billion announced in the previous forecast will become an ordinary loss of 40 million yen.

The company also projects the net loss for the fiscal year to improve by approximately 2.0 billion yen from the previously announced forecast as the result of reporting a gain on sale of securities of 5.2 billion yen (5.6 billion yen for the full year) in extraordinary income in the fourth quarter.

Based on the above factors, the company has revised the net sales, operating income, ordinary income and the net income for the fiscal year consolidated operating results forecast announced on February 4, 2008.

 

(Note)

The aforementioned estimates are forward-looking statements about the future performance of Funai Electric Co., Ltd. based on management’s assumptions and beliefs in light of information currently available, and involve known and unknown risks and uncertainties.

Various factors such as a change in economic conditions overseas (especially changes in the company’s key U.S. market) and severe price fluctuations may cause actual events and results to differ materially from those anticipated in these statements.

 

INQUIRIES ABOUT THIS PRESS RELEASE
Naoyuki Takanaka
Invester/ Public Relations Department
TEL:+81-72-870-4395

Funai Reports Revised Forecast of Consolidated Fiscal Year Results [PDF:22KB]