Forecasts for the Year Ending Mar. 31, 2007 (1)
Revised Business Results
- Further upward revisions to sales and profits were made to forecast revised in August.
Expected record sales and profits for three consecutive years. - Exchange rate forecast for the 2nd half of FY’06
US$=¥115, Euro=¥145 (Original forecast for 2nd half of FY’06 US$=¥108, Euro=¥136) - Increase dividends
1st half:¥7, 2nd half forecast:¥9 (Including 90th anniversary commemorative dividend of ¥1),
Full year forecast ¥16
(Original forecast for 1st half:¥6.5, 2nd half ¥6.5, Full year:¥13)
Business Environment
Japan
- Machine tools/Industrial machinery
Demands expected to remain strong, especially in Japan. - Automotive production
Uncertainty remains in some automobile manufacturers.
However, total automotive production expected to increase Y-O-Y.
Overseas
- Americas
Some uncertainty remains in automotive products segment. - Europe
Gradual recovery expected - Asia
Capital expenditures in China expected to increase while ASEAN demand may
experience slight decline.