KYOTO, Japan, Oct. 19, 2006 (PRIMEZONE) -- Nidec Corporation today announced that Nidec-Read Corporation ("the Company"), one of its consolidated subsidiaries whose shares are listed on the Second Section of the Osaka Stock Exchange (Code:6833), has revised upward its consolidated and non-consolidated financial forecasts for the six months ended September 30, 2006 as follows.
1. Revised consolidated financial forecasts (Japanese GAAP) for the six months ended September 30, 2006.
(From April 1, 2006 to September 30, 2006) (Yen in millions)
For the six months ended Sept. 30, 2006 For the
six months
Previous ended
forecast Revised Change Change Sept. 30,
(Apr. 25, forecast (amount) (percent) 2005
2006)
Net sales 3,300 4,200 900 27.3% 2,952
Operating income 550 760 210 38.2% 409
Recurring income 500 770 270 54.0% 446
Net income 300 460 160 53.3% 260
2. Revised non-consolidated financial forecasts (Japanese GAAP) for the six months ended September 30, 2006.
(From April 1, 2006 to September 30, 2006) (Yen in millions)
For the six months ended Sept. 30, 2006 For the
six months
Previous ended
forecast Revised Change Change Sept. 30,
(Apr. 25, forecast (amount) (percent) 2005
2006)
Net sales 3,150 3,900 750 23.8% 2,792
Operating income 460 590 130 28.3% 345
Recurring income 470 600 130 27.7% 370
Net income 260 350 90 34.6% 209
3. Reasons for revision
Our steady effort for developing new products and new markets had a successful result in the tendency of capital investment increase in the printed-circuit board and semiconductor package industries driven by the boom of digital consumer electronics. This fact along with profit increase contributed by consolidated subsidiaries led to the favorable achievement surpassing the original forecast enormously.
Regarding the revision of the full business year forecast, we are planning to report it on October 27, 2006 when the mid-term business results are announced.
Disclaimer Regarding Forward-Looking Statements
This press release contains forward-looking statements (within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934) about Nidec and its group companies (the Nidec Group). These forward-looking statements are based on the current expectations, assumptions, estimates and projections of the Nidec Group in light of the information currently available to them. These forward-looking statements are subject to various risks and uncertainties. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as "may," "will," "expect," "anticipate," "estimate," "plan" or similar words. These statements discuss future expectations, identify strategies, contain projections of results of operations or of the Nidec Group's financial condition, or state other forward-looking information. Known and unknown risks, uncertainties and other factors could cause the actual results to differ materially from those contained in any forward-looking statement. We cannot promise that our expectations expressed in these forward-looking statements will turn out to be correct. Our actual results could be materially different from and worse than our expectations as a result of certain factors, including, but not limited to (i) the Nidec Group's ability to design, develop, mass produce and win acceptance of their products, (ii) general economic conditions in the computer, information technology and related product markets, particularly levels of consumer spending, (iii) exchange rate fluctuations, particularly between the Japanese yen and the U.S. dollar and other currencies in which we make significant sales or in which the Nidec Group's assets and liabilities are denominated, (iv) the Nidec Group's ability to acquire and successfully integrate companies with complementary technologies and product lines, and (v) adverse changes in laws, regulations or economic policies in any of the countries where the Nidec Group has manufacturing operations, especially China.
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