At the outset, I would like to express my heartfelt gratitude for your continued support and understanding of our company.
Our Company closed the 96th (2019) fiscal year on March 31, 2020. The report on our business performance is presented in the Financial Data page on this web site.
There was a slowdown in the world economy during the fiscal year under review. The United States economy remained steady, while in Europe, the economy slowed down at the end of the year. The economy also slowed down in Asia, especially in China due to the trade friction with the United States and in India due to the decline of automotive sales. The Japanese economy was generally strong in the first half, but slowed down in the second half due to the increase in value added tax in the third quarter and from the impact of the new Coronavirus (COVID-19) in the fourth quarter.
As for the automobile industry, which has a close relationship with our Group, the number of automobiles produced decreased. For example, it decreased by 2 million units in China and by 1 million units in India from the previous year. Automobile production in the United States and Europe declined year-on-year, and production in Japan also declined by about 3%.
Against this backdrop, our Group's consolidated sales for the fiscal year under review amounted to 84,530 million yen (decrease by 6.5% year on year), due to the decrease in the number of automobiles produced in Asia and other countries in the world.
Operating income was 5,234 million yen (24.4% decrease from the previous fiscal year), and ordinary income was 5,964 million yen (24.1% decrease from the previous fiscal year). Net income attributable to shareholders of the parent company deceased by 29.4% to 3,517 million yen. These were strongly affected by the decrease in sales and the impact of exchange rates, although we promoted rationalization and cost reduction activities in labor costs and expenses.
We will pay a year-end dividend of 70 yen per share on June 29, 2020, comprehensively taking into account our recent performance and dividend payout ratio.
We look forward to the continued, long term support and understanding of our shareholders and other investors.
Kaoru Itoh, Chairman & CEO
- In addition, due to the spread of the new coronavirus (COVID-19) infection, there has been delay in the settlement and auditing work for some of our overseas affiliates. The financial results distributed at this time are before the audit by the accounting auditors. The final audited financial reports will be presented in late July.