Mitsubishi Electric Corporation and Subsidiaries
|Years ended March 31||2017||2018||2018||2019||2020||2021|
|Profit before income taxes||296,249||364,578||353,206||315,958||281,986||258,754|
|Net profit attributable to Mitsubishi
Electric Corp. stockholders
|Cash and cash equivalents||662,469||599,199||599,199||514,224||537,559||767,406|
|Bonds and borrowings||352,124||311,485||311,950||298,438||267,008||248,897|
|Mitsubishi Electric Corp. stockholders' equity||2,039,627||2,259,355||2,294,174||2,399,946||2,429,743||2,754,293|
|Cash flows from operating activities||365,950||240,450||265,768||239,817||395,834||542,119|
|Cash flows from investing activities||(148,632)||(178,219)||(182,015)||(210,668)||(203,997)||(176,552)|
|Free cash flows||217,318||62,231||83,753||29,149||191,837||365,567|
|Cash flows from financing activities||(123,495)||(128,291)||(149,813)||(112,067)||(156,454)||(157,352)|
|Per Share Amounts:
Earnings per share attributable to Mitsubishi Electric Corp. stockholders (Yen)
|Cash dividends declared (Yen)||27||40||40||40||40||36|
|Mitsubishi Electric Corp. stockholders' equity (Yen)||¥950.37||¥1,052.96||¥1,069.19||¥1,118.83||¥1,132.69||¥1,283.88|
|Operating profit ratio (%)||6.4||7.2||7.4||6.4||5.8||5.5|
|Return on revenue (%)||5.0||6.1||5.8||5.0||5.0||4.6|
|Return on equity (ROE) (%)||10.9||12.6||11.7||9.7||9.2||7.5|
|Return on assets (ROA) (%)||5.1||6.4||6.0||5.2||5.1||4.2|
|Mitsubishi Electric Corp. stockholders'
equity ratio (%)
|Bonds and borrowings to total assets (%)||8.4||7.3||7.2||6.9||6.1||5.2|
- The consolidated financial statements of the Group are prepared in accordance with International Financial Reporting Standards (IFRS) from the year ended March 31, 2019 and also for the fiscal year ended March 31, 2018 as comparative information.
- The balance of bonds and borrowings and the ratio of bonds and borrowings to total assets include lease liabilities until the fiscal year ended March 31, 2019.
- Diluted earnings per share attributable to Mitsubishi Electric Corp. stockholders is equal to Basic earnings per share attributable to Mitsubishi Electric Corp. stockholders under IFRS, as no dilutive securities existed.
(Year ended March 31, 2021)
The economy in the fiscal year ended March 31, 2021 continued to see recovery in China mainly owing to an increase in capital expenditures for fixed assets, particularly in public investment, as an effect of political measures. Japan, the U.S. and Europe experienced a significant economic slowdown due to the serious impact of the novel coronavirus diseases (COVID-19) in the three months ended June 30, 2021, but saw recovery in the corporate sector in general, while the paces of recovery in the household sector varied depending on the situation of the expansion of COVID-19.
Under these circumstances, the Mitsubishi Electric Group has been working even harder than before to promote growth strategies rooted in its advantages, while continuously implementing initiatives to strengthen its competitiveness and business structure.
As a result, the business performance for the fiscal year ended March 31, 2021 is as follows.
(Year ended March 31, 2021)
Total assets as of the end of this fiscal year increased from the end of the previous fiscal year by 388.1 billion yen to 4,797.9 billion yen. The change in balance of total assets was mainly attributable to increases in cash and cash equivalents by 229.8 billion yen, other non-current assets by 124.9 billion yen and other financial assets by 86.1 billion yen. Working capital saw a decrease in the sum of trade receivables and contract assets by 63.0 billion yen, while inventories increased by 49.8 billion yen.
Cash and cash equivalents increased due to reduced use of materials and cost which exceeds a decrease in trade receivables reflecting decreased revenue for fiscal 2021. Other non-current assets increased due primarily to an increase in net defined benefit assets mainly reflecting a rise in stock prices. Other financial assets increased due primarily to an increase in investment securities mainly reflecting a rise in stock prices.
Total liabilities increased from the end of the previous fiscal year by 56.3 billion yen to 1,927.3 billion yen due primarily to increases in accrued expenses by 37.3 billion yen and contract liabilities by 26.8 billion yen, while balances of bonds, borrowings and lease liabilities decreased by 11.5 billion yen. Bonds and borrowings decreased by 18.1 billion yen from the end of the previous fiscal year to 248.8 billion yen, with the ratio of bonds and borrowings to total assets recording 5.2%, representing a 0.9 point decrease compared to the end of the previous fiscal year.
Mitsubishi Electric Corporation stockholders’ equity increased by 324.5 billion yen compared to the end of the previous fiscal year to 2,754.2 billion yen. The stockholders’ equity ratio was recorded at 57.4%, representing a 2.3 point increase compared to the end of the previous fiscal year. These changes mainly result from increases from recording a net profit attributable to Mitsubishi Electric Corporation stockholders of 193.1 billion yen and accumulated other comprehensive income by 129.6 billion yen mainly reflecting a rise in stock prices and the yen depreciating against other currencies, despite a decrease due to dividend payment of 77.2 billion yen.
(Year ended March 31, 2021)
Cash flows from operating activities for fiscal 2021 was 542.1 billion yen (cash in), while cash flows from investing activities was 176.5 billion yen (cash out). As a result, free cash flow was 365.5 billion yen (cash in). Cash flows from financing activities was 157.3 billion yen (cash out), and cash and cash equivalents at end of period increased from the end of the previous fiscal year by 229.8 billion yen to 767.4 billion yen.
Net cash provided by operating activities increased by 146.2 billion yen from the previous fiscal year due primarily to reduced use of materials and cost throughout fiscal 2021 and increased trade payables to deal with increased orders in the fourth quarter, despite decreased profit.
Net cash used in investing activities decreased by 27.4 billion yen from the previous fiscal year due mainly to a decrease in purchase of property, plant and equipment.
Net cash used in financing activities increased by 0.8 billion yen from the previous fiscal year.