FY21 sales increased 13% year-on-year to 2 trillion 339.2 billion yen primarily due to an increase in sales of TVs and digital cameras resulting from an improvement in product mix. Primarily due to the impact of the increase in sales, operating income increased 85.1 billion yen year-on-year to 212.9 billion yen.
During the previous fiscal year, we faced various supply constraints, such as continued disruption of manufacturing and logistics resulting from the COVID19 pandemic, and a shortage of components, primarily semiconductors. However, we were able to overcome these issues primarily through close management of our supply chain and achieved an operating income margin of over 9%.
FY22 sales are expected to increase 3% year-on-year to 2 trillion 400 billion yen primarily due to the impact of exchange rates, despite a decrease in unit sales of TVs.
Operating income is expected to decrease 32.9 billion yen to 180 billion yen. This forecast incorporates the total of an already observable impact and an estimated additional impact going forward of approximately 30 billion yen on our supply chain, due to the spread of COVID-19 in China.
Going forward, due to continued spread of infection, there is a possibility that the operations at factories in Shanghai and the surrounding region, as well as procurement of parts from the region, will be constrained. Thus, we currently expect it will take approximately 3 months for the situation to normalize.
With the situation in Ukraine and Russia and the slowdown of the global economy resulting from rapid inflation, we expect the demand environment this fiscal year to be even more severe than recent years.
By quickly responding to changes in the market going forward and further enhancing our resilience to changes in the environment through digitization and streamlining of our operations, we will aim to maintain and improve our profitability.
FY21 sales increased 6% year-on-year to 1 trillion 76.4 billion yen, primarily due to the impact of exchange rates and an increase in sales of sensors for digital cameras and industrial equipment.
Operating income increased 9.7 billion yen year-on-year to 155.6 billion yen, primarily due to the impact of the increase in sales.
FY22 sales are expected to increase 37% year-on-year to 1 trillion 470 billion yen and operating income is expected to increase 44.4 billion yen to 200 billion yen.
