FinancialHibiya Engineering
Summary of Consolidated Financial Results: Second Quarter of Fiscal Year Ending March 31, 2015
9 pages~11 min full read
Hibiya Engineering reported a net loss of 494 million yen for the first half of the fiscal year ending September 30, 2014, a significant decline from the 118 million yen net income recorded in the same period of 2013.
See it on page 1Operating losses widened to 975 million yen from 918 million yen in the prior year, driven by intense market competition and rising labor and material costs.
See it on page 4Net sales grew by 7.1% year-over-year to 28,104 million yen for the six-month period ending September 30, 2014.
See it on page 7Orders received increased by 8.2% to 37,851 million yen, reflecting the company's strategic focus on expanding its comprehensive engineering services.
See it on page 4Total assets decreased to 73,394 million yen as of September 30, 2014, down from 83,531 million yen at the end of the previous fiscal year, primarily due to a reduction in accounts receivable.
See it on page 5The company maintained its full-year forecast, projecting net sales of 71,000 million yen and net income of 2,000 million yen for the fiscal year ending March 31, 2015.
See it on page 1Hibiya Engineering’s consolidated financial results for the second quarter of the fiscal year ending March 31, 2015, reflect a period of operational growth in sales alongside persistent profitability challenges. The company reported net sales of 28,104 million yen for the six-month period ending September 30, 2014, representing a 7.1% increase compared to the same period in the previous year. This growth was supported by an 8.2% rise in orders received, totaling 37,851 million yen, as the firm continued its strategic efforts to function as a comprehensive engineering services provider.
Despite the increase in top-line revenue, the company faced a difficult operating environment characterized by rising labor and material costs and intense market competition. These factors contributed to an operating loss of 975 million yen, slightly wider than the 918 million yen loss recorded in the prior year. Consequently, the company reported an ordinary loss of 755 million yen and a net loss of 494 million yen for the first half, contrasting with the net income of 118 million yen achieved in the same period of 2013.
The financial position as of September 30, 2014, showed total assets of 73,394 million yen, a decrease from the 83,531 million yen reported at the end of the previous fiscal year, largely driven by a reduction in accounts receivable. Total liabilities also declined significantly to 16,797 million yen. The company maintained its full-year forecast, anticipating net sales of 71,000 million yen and net income of 2,000 million yen. Additionally, the firm implemented changes to its accounting standards regarding retirement benefits, though these adjustments had no material impact on the reported quarterly financial statements.
