OREANDA-NEWS. Fujitsu today reported a loss for the first quarter attributable to owners of the parent of 18.9 billion yen, representing a deterioration of 25.7 billion yen from the first quarter of fiscal 2014. Although first-quarter projections were not publicly disclosed at the announcement of the full year results of fiscal 2014, the first-quarter results are in line with original expectations. Furthermore, the annual projections for fiscal 2015 remain unchanged.

Consolidated revenue for the first quarter of fiscal 2015 was 1,065.0 billion yen, essentially unchanged from the first quarter of fiscal 2014. Revenue in Japan declined 3.1%. Although revenue from system integration services and server-related revenue increased, revenue from network products and PCs decreased. Although revenue from network products in North America and PCs in Europe declined, revenue outside of Japan rose 3.6%, benefitting from foreign exchange translation.

Fujitsu recorded an operating loss of 27.3 billion yen, representing a deterioration of 34.6 billion yen from the first quarter of fiscal 2014. There was the negative impact of higher procurement costs in Europe for US dollar-denominated components stemming from the weakening of the euro against the US dollar, and there were one-time expenses recorded to cover the reallocation of employees and related costs in the network business in Japan.

Net financial income was 1.8 billion yen, an increase of 0.7 billion yen from the same period in fiscal 2014 resulting primarily from a net gain on foreign exchange.

Income from investments accounted for using the equity method, net, was 8.6 billion yen, an increase of 6.5 billion yen from the first quarter of fiscal 2014, mainly for a device-related affiliate in China and a system LSI design and development affiliate.

As a result, the loss before income taxes was 16.8 billion yen, representing a deterioration of 27.2 billion yen from the first quarter of the previous fiscal year.

The loss for the period attributable to owners of the parent was 18.9 billion yen, representing a deterioration of 25.7 billion yen from the first quarter of fiscal 2014.