Fujitsu Reports Fiscal 2012 First-Quarter Financial Results

TOKYO — Fujitsu (TSE:6702) today reported a consolidated net loss of 23.7 billion yen (US$300 million) for the first quarter of fiscal 2012, representing a deterioration of 3.3 billion yen from the first quarter of fiscal 2011. The first quarter loss was in line with April projections, and no change has been made to full-year projections for increased income.

Device Solutions

Net sales in Device Solutions amounted to 130.3 billion yen (US$1,649 million), a decline of 7.5% compared to the first quarter of fiscal 2011. Sales in Japan declined 11.4%. LSI device sales decreased as shipments of CPUs for the next-generation supercomputer system were completed during the first quarter of fiscal 2011, and sales of LSI devices for use in Fujitsu’s own servers were sluggish. In addition, sales of LSI devices for digital audio-visual equipment were adversely impacted by the delayed recovery in market conditions. Sales of electronic components, particularly of batteries, also fell. Sales outside Japan declined 2%. However, sales increased 1% on a constant currency basis. For electronic components, sales of semiconductor packages, primarily to Asia, increased as a result of the market recovery.

The Device Solutions segment recorded an operating loss of 3.6 billion yen (US$46 million), representing a deterioration of 2.6 billion yen from the first quarter of fiscal 2011. In Japan, earnings of LSI devices were adversely affected by lower sales and the decline in production line capacity utility rates. Production lines for 300mm wafers are maintaining high utilization rates, although basic product lines remain at a low level. Outside Japan, electronic components were adversely impacted by yen appreciation although there was a positive effect from increased sales of semiconductor packages.

Net Sales (Billion Yen)

                          First  Change vs.
                        Quarter       1Q FY
                        FY 2012        2011
                        -------  ----------
 LSI Devices               67.8      -12.0%
 Electronic Components     62.7       -2.0%
Total                     130.3       -7.5%
 Japan                     72.0      -11.4%
 Outside Japan             58.3       -2.0%

Operating Income           -3.6        -2.6