Renesas Electronics Reports Financial Results for the Year Ended March 31, 2016
[ Back ]   [ More News ]   [ Home ]
Renesas Electronics Reports Financial Results for the Year Ended March 31, 2016

TOKYO — (BUSINESS WIRE) — May 11, 2016 — Renesas Electronics Corporation (TSE:6723) today announced consolidated financial results for the year ended March 31, 2016.

Summary of Consolidated Financial Results

 
  Year ended
    March 31, 2016
Billion Yen   % of Net Sales
Net sales 693.3 100.0
Sales from semiconductors 675.6
Sales from others 17.7
Operating income 103.8 15.0
Ordinary income 102.1 14.7
Net income attributable to shareholders of parent company   86.3   12.4
Capital expenditures 61.8
Depreciation and others 62.4
R&D expenses   97.4    
Yen
Exchange rate (USD) 121
Exchange rate (EUR)   133    
     
    As of March 31, 2016
Billion Yen
Total assets 849.4
Net assets 381.7
Equity Capital 379.5
Equity ratio (%) 44.7
Interest-bearing debt   244.3
Note 1:   All figures are rounded to the nearest 100 million yen.
Note 2: Capital expenditures refer to the amount of order placed for property, plant and equipment (manufacturing equipment) and intangible assets.
Note 3: Depreciation and others includes depreciation and amortization of intangible assets and amortization of long- term prepaid expenses in consolidated statements of cash flows.

Consolidated Financial Results for the Year Ended March 31, 2016

English translation from the original Japanese-language document
 
 

May 11, 2016

 
Company name

: Renesas Electronics Corporation

Stock exchanges on which the shares are listed : Tokyo Stock Exchange, First Section
Code number : 6723
URL

: http://www.renesas.com

Representative : Tetsuya Tsurumaru, Representative
Director, President and CEO
Contact person : Yoichi Kobayashi, Department Manager
Corporate Communications Dept.
Tel. +81 (0)3-6773-3002

Date of the ordinary general shareholders’ meeting (scheduled)

: June 28, 2016
Filing date of Yukashoken Hokokusho (scheduled) : June 28, 2016
 
(Amounts are rounded to the nearest million yen)
 

1. Consolidated financial results for the year ended March 31, 2016

1.1 Consolidated financial results

 

(% of change from corresponding period of the previous year)

   

Net sales

 

Operating
income

 

Ordinary
income

 

Net income
attributable to
shareholders of
parent company

  Million   %   Million   %   Million   %   Million   %
yen yen yen yen
 
Year ended March 31, 2016 693,289 (12.4) 103,782 (0.6) 102,100 (3.1) 86,292 4.8
 
Year ended March 31, 2015   791,074   (5.0)   104,427   54.4   105,335   79.7   82,365   ---
Reference: Comprehensive income for the year ended March 31, 2016: 69,838 million yen (-43.0%)
Comprehensive income for the year ended March 31, 2015: 122,544 million yen (---%)
 
                     
   

Net income
per share
basic

 

Net income
per share
diluted

 

Net income
ratio per
equity

 

Ordinary
income ratio
per total
assets

 

Operating
income ratio
per sales

  Yen   Yen   %   %   %
 
Year ended March 31, 2016 51.76 --- 25.0 12.1 15.0
 
Year ended March 31, 2015   49.41   ---   31.4   13.0   13.2

Reference:

Equity in net income of affiliates of the year ended March 31, 2016: 5 million yen
Equity in net income of affiliates of the year ended March 31, 2015: 273 million yen
 

1.2 Consolidated financial position

    Total assets   Net assets   Equity ratio  

Net assets per
share

  Million yen   Million yen   %   Yen
 
March 31, 2016 849,376 381,739 44.7 227.63
 
March 31, 2015   840,087   311,909   36.8   185.67
Reference:

Equity as of March 31, 2016: 379,479 million yen

Equity as of March 31, 2015: 309,529 million yen
 

1.3 Consolidated cash flows

   

Cash flows from
operating activities

 

Cash flows from
investing activities

 

Cash flows from
financing activities

 

Cash and cash
equivalents at the
end of the year

  Million yen   Million yen   Million yen   Million yen
 
Year ended March 31, 2016 126,296 (33,551) (30,339) 398,410
 
Year ended March 31, 2015   116,746   (26,603)   (23,762)   343,722
 

2. Cash dividends

 
    Cash dividends per share  

Total
dividends
during
the year

 

Dividends
payout
ratio
(consolidated)

 

Dividends
ratio per
net assets
(consolidated)

   

At the end
of first
quarter

 

At the end
of second
quarter

 

At the end
of third
quarter

 

At the
end of
year

  Total      
  Yen   Yen   Yen   Yen   Yen
 
Year ended --- 0.00 --- 0.00 0.00 --- --- ---
March 31, 2016
Year ended --- 0.00 --- 0.00 0.00 --- --- ---
March 31, 2015                                

Year ending
December 31,
2016
(forecast)

  ---   ---   ---   ---   ---  

 

  ---    
 

3. Forecast of consolidated results for the three months ending June 30, 2016

(% of change from corresponding period of the previous year)

   

Net sales

 

Operating
income

 

Ordinary

income

 

Net income
attributable to
shareholders of
parent company

 

Net
income
per share

  Million yen   %   Million yen   %   Million yen   %   Million yen   %   yen
 
Three months --- --- --- --- --- --- --- --- ---
ending June 30,
2016                                    

Note: Change in forecast of consolidated results since the most recently announced forecast: No

 

Renesas Electronics Group plans to implement a change of the fiscal term in which the fiscal year-end will change from March 31 to December 31 starting from the fiscal year 2016. The change is subject to approval of “a partial amendment to its Articles of Incorporation” at the 14th Ordinary General Shareholders’ Meeting to be held on June 28, 2016.

The same change in the fiscal term will be applied to the consolidated subsidiaries of Renesas Group, with some exceptions. The current fiscal year (fiscal year ending December 31, 2016) in which the transition to the new accounting period is to take place, will comprise the financial results for the nine months from April 1, 2016, to December 31, 2016.

Renesas Electronics reports its consolidated forecast on a quarterly basis as substitute for a yearly forecast. However, due to impacts of the Kumamoto Earthquake that occurred after April 14, 2016, it is difficult to disclose the forecast of consolidated results for the three months ending June 30, 2016 at the time of the issuance of this earnings report. For details, please refer to Appendix 1.1.2., “Consolidated Forecasts” on page 4.

4. Others

4.1 Changes in significant subsidiaries for the year ended March 31, 2016

(Changes in specified subsidiaries resulting in changes in scope of consolidation): No

4.2 Changes in Accounting Policies, Changes in Accounting Estimates and Corrections of Prior Period Errors

1. Changes in accounting policies with revision of accounting standard: Yes

2. Changes in accounting policies except for 4.2.1: No

3. Changes in accounting estimates: No

4. Corrections of prior period errors: No

4.3 Number of shares issued and outstanding (common stock)

1. Number of shares issued and outstanding (including treasury stock)

As of March 31, 2016: 1,667,124,490 shares

As of March 31, 2015: 1,667,124,490 shares

2. Number of treasury stock

As of March 31, 2016: 2,581 shares

As of March 31, 2015: 2,548 shares

3. Average number of shares issued and outstanding

For the year ended March 31, 2016: 1,667,121,924 shares

For the year ended March 31, 2015: 1,667,121,942 shares

(Reference) Non-consolidated results for the year ended March 31, 2016

Non-consolidated financial results

     

 

 

(% of change from corresponding period of the previous year)

   

Net sales

 

Operating
income

 

Ordinary
income

 

Net income

Million yen   % Million yen   % Million yen   % Million yen   %
 
Year ended March 31, 2016 651,022 (9.4) 93,020 25.4 88,258 22.5 65,555 (22.5)
 
Year ended March 31, 2015   718,784   (2.6)   74,155   231.3   72,070   363.4   84,617   --
 
   

Net income
per share: basic

 

Net income per
share: diluted

  Yen   Yen
 
Year ended March 31, 2016 39.32 --
 
Year ended March 31, 2015   50.76   --
 

Non-consolidated financial position

   

Total assets

  Net assets   Equity ratio  

Net assets per
share

  Million yen   Million yen   %   Yen
 
March 31, 2016 798,625 282,617 35.4 169.52
 
March 31, 2015   768,804   217,255   28.3   130.32
Reference: Equity at the end of the year ended March 31, 2016: 282,617 million yen
Equity at the end of the year ended March 31, 2015: 217,255 million yen
 

(Note) Information regarding the implementation of audit procedures

These financial statements are under the audit procedures based upon the Financial Instruments and Exchange Act at the time of issuance of this report.

 

Cautionary Statement

The statements with respect to the financial outlook of Renesas Electronics Corporation (hereafter “the Company”) and its consolidated subsidiaries (hereafter “the Group”) are forward-looking statements involving risks and uncertainties. We caution you in advance that actual results may differ materially from such forward-looking statements due to changes in several important factors.
The Group will hold an earnings conference for institutional investors and analysts on May 11, 2016. The Group plans to post the materials which are provided at the meeting, on the Group’s website on that day.

(Significant Subsequent Events)
(Impact of the Earthquake in Kumamoto Prefecture)
The Kawashiri Factory of Renesas Semiconductor Manufacturing Co., Ltd., a wholly-owned subsidiary of the Company was damaged by the Kumamoto Earthquake that occurred after April 14, 2016.
After that, the company resumed investigations inside the clean room and having completed a thorough assessment, the company has resumed production of some of the manufacturing processes starting April 22.
Some of the subcontractor companies have been confirmed damages by the earthquake. The company in cooperation with its suppliers and partner companies are accelerating recovery efforts.
In addition, amount of the damages for the consolidated financial statements is currently under consideration.

(Adoption of Stock Option (Stock Acquisition Right))
The Company has resolved at the Meeting of Board of Directors held on May 11, 2016, to submit a proposal concerning both the level of remuneration, etc., relating to stock options for Renesas members of the board (excluding outside directors) and the determination of the concrete details to the 14th Ordinary General Shareholders' Meeting to be held on June 28, 2016.

1. Reason for the proposal
The proposal will ask shareholders to approve the adoption of stock option plan in which Renesas members of the board (except for outside directors) will be allocated stock acquisition rights as remuneration. This would mean that Renesas members of the board would share the merits of a rise in Renesas’ share value and the risks of a drop in the share value with the shareholders, and would increase their desire to further contribute to increasing Renesas' stock price and increasing the value of the company.

2. Details of stock acquisition rights to be granted as stock option
(1) Type and number of stocks to be issued upon exercise of the stock acquisition rights
The type of shares to be issued upon exercise of the stock acquisition rights shall be Renesas common stock, and the number of stocks that are in each stock acquisition right (hereinafter “number of shares granted”) shall be 100 shares. However, following the date of passage of this proposal (hereinafter "date of passage"), if Renesas performs either a stock split (including an allotment of shares without contribution of Renesas common stock. This applies to all mentions of stock splitting in the remainder of this document.) or a stock consolidation, the number of stocks granted shall be adjusted according to the following formula. If the result of the adjustment includes a fractional part of a stock, that fractional part would be discarded.

(Adjusted number of shares granted) = (Number of shares granted prior to adjustment) × (Stock split or stock consolidation ratio)

In addition to the above, if, at any time after the date of passage, Renesas undergoes a merger or a company split, or similar situation of this type and an adjustment of the number of shares granted, Renesas may appropriately adjust the number of shares granted within a logical range. Note that if, at any time after the date of passage, Renesas performs an adjustment of the number of share unit (excluding cases where this is associated with a stock split or a stock consolidation; this definition applies to the term “adjustment of the number of share unit” in the remainder of this document), Renesas may appropriately adjust the number of shares granted within a logical range and proportional to the ratio of the said adjustment of the number of share unit. This applies to these new stock options as resolved by the Meeting of Board of Directors for that issuance following the date that the said adjustment of the number of share unit takes effect.
Note that while there are now five members of the board (of whom two are outside directors), if the company director appointment proposal is adopted without change at Renesas' 14th Ordinary General Shareholders’ Meeting scheduled for June, 28, 2016, then there will be five members of the board (of whom three are outside directors).

(2) Total number of stock acquisition rights
The maximum number of stock acquisition rights to be allocated is limited to the number (with the fractional part, if any, dropped) calculated as follows. This number is given by dividing the value to be given as remuneration or other compensation as stock options to members of the board by the fair price of a stock option as calculated by a fair calculation method such as the Black-Scholes Model based on the closing price of Renesas common on the previous business day of the Meeting of Member of the Board at which the stock option allocation was determined (in case there was no closing price, the reference price of the next business day shall be used).

(3) Amount to be paid for stock acquisition rights
The amount paid for each individual stock option shall be an amount determined at the Meeting of the Board of Directors based on a fair price for the stock option as calculated by a fair calculation method such as the Black-Scholes Model when the stock options are allocated.

(4) The amount to be invested when exercising each stock acquisition right
The amount to be invested when exercising each stock acquisition right shall be given by multiplying a monetary value of 1 JPY per each individual stock that can be granted by exercising the corresponding stock option by the number of assigned stocks.

(5) Exercise period for stock acquisition rights
The exercise period shall be determined by the Meeting of Board of Directors within the range of ten years from the following day after the stock options are allocated (hereinafter “allocation date”).

(6) Transfer restrictions of stock acquisition rights
Regarding the acquisition of stock acquisition rights due to transfer, approval is required as a resolution of the Meeting of Board of Directors.

(7) Conditions relating to exercise of stock acquisition rights
In principle, a person granted an allocation of stock options may execute those options starting on the day one year after the share allocation date. However, when such a person lose his position both as Member of the Board and as Senior Vice President due to, for example, expiration of the term of office, the said person may execute the said stock options starting on the day following said loss of position. Other conditions on execution of stock options shall be decided by the Meeting of Board of Directors.

(8) Other items for exercise of stock acquisition rights
The details of other items for exercise of stock acquisition rights, etc. shall be determined by the Meeting of Board of Directors that resolves the subscription requirements of the allocation of stock acquisition rights.

(Reference)
Renesas expects following the conclusion of the General Shareholders’ Meeting, to grant stock options with the same conditions as the above-mentioned stock options, to Renesas senior vice presidents (excluding senior vice presidents with joint appointment as members of the board), Renesas employees, and members of the board (excluding outside directors), senior vice presidents, and employees of Renesas consolidated subsidiary companies.



Contact:

Renesas Electronics Corporation
Media Contacts
Kyoko Okamoto, +81 3-6773-3001
Email Contact
Investor Contacts
Makie Uehara, +81 3-6773-3002
Email Contact