[C&C for Human Potential / NEC Corporation]

10/25/96

Contact :
Ken Fukuchi, Akiko Shikimori, Chris Shimizu, Aston Bridgman
Public Relations Division
TEL    : 81-3-3798-6511
FAX    : 81-3-3457-7249
e-mail : *@p10-22150.star.nec.co.jp

Financial Results for the First Half of Fiscal year 1997


I. OPERATING RESULTS AND RELATED DATA FOR THE FIRST HALF OF FISCAL 1997

                                              1996 1H:       APR 1 - SEP 30, 1995
                                              1997 1H:       APR 1 - SEP 30, 1996
                                              1996:          APR 1, 1995 - MAR31, 1996

Yen(millions),except
per share figures
US$(millions),except
per share figures
(A)/(B)
x 100
Yen/US$(millions),except
per share figures
1997 1H(A) 1996 1H(B) 1997 1H 1996 1H 1996(Yen) 1996(US$)
Net Sales 2,242,541 1,921,737 20,023 17,158 116.7 4,397,192 39,261
Income before Income taxes 60,946 49,684 544 444 122.7 151,318 1,351
Net Income 31,211 20,237 279 181 154.2 77,166 689
Net Income per share 17.82 12.24 0.16 0.11 145.6 45.21 0.40
Total Assets 4,554,053 4,355,101 40,661 38,885 104.6 4,683,120 41,814


  1. The consolidated financial statements of NEC Corporation and its subsidiaries are prepared in conformity with the according principles generally accepted in the United States of America.
    The company does not adopt the provisions of Statement of Financial Accounting Standards (SFAS)No. 115, "Accounting for Certain Investments in Debt and Equity Securities".
    If SFAS No. 115 was implemented, the balance of shareholders' equity as of September 30, 1996 would have increased by 180,416 million yen (US$ 1,611 million).

  2. Number of consolidated subsidiaries : (127)

  3. Computation of net income per share is based on the average number of shares of common stock outstanding during each year, with consideration of the dilutive effect of common stock equivalents.

  4. US dollar amounts are translated from yen, for convenience only, at the rate of US $1= 112 yen.


II. CONSOLIDATED STATEMENT OF INCOME

Yen(millions)
( % of total sales)
US$(millions) (A)/(B)
x 100
Yen/US$(millions)
( % of total sales)
1997 1H(A) 1996 1H(B) 1997 1H 1996 1H 1996(Yen) 1996(US$)
Net Sales


Cost of Sales


Selling, general and administrative
expenses

Operating income
2,242,541
(100.0)

1,547,410
(69.0)

602,760
(26.9)

92,371
(4.1)

1,921,737
(100.0)

1,267,220
(65.9)

549,806
(28.6)

104,711
(5.5)

20,023


13,816


5,382


825
17,158


11,314


4,909


935
116.7


122.1


109.6


88.2
4,397,192
(100.0)

2,980,718
(67.8)

1,168,672
(26.6)

247,802
(5.6)

39,261


26,614


10,435


2,212
Non-operating income


  • Interest, dividends

  • Other

Non-operating expenses


  • Interest

  • Other
35,170
(1.6)

7,545

27,625

66,595
(3.0)

30,848

35,747

15,758
(0.8)

9,442

6,316

70,785
(3.7)

35,308

35,477

314


67

247

595


276

319

141


84

57

632


315

317

223.2






94.1
30,080
(0.7)

15,936

14,144

126,564
(2.9)

69,793

56,771

269






1.130
Income before income taxes 60,946
(2.7)
49,684
(2.6)
544

444

122.7

151,318
(3.4)
1,351

Income taxes


Minority Interest in consolidated
subsidiary companies

Equity in earnings of
affiliated companies
29,862
(1.3)

597
-

724
-

34,180
(1.8)

158
-

4,891
(0.3)

267


5


7

305


1


43

87.4


377.8


14.8

76,376
(1.7)

4,029
(0.1)

6,253
(0.2)

682


36


56

Net Income 31,211
(1.4)
20,237
(1.1)
279

181

154.2

77,166
(1.8)
689



III. CONSOLIDATED BALANCE SHEET

Yen (millions) US$ (millions) (A) - (B) (C) - (D)
1997 1H(A) 1996(B) 1997 1H(C) 1996(D) Yen(millions) US$(millions)
Current assets

  • Cash and cash equivalents

  • Time deposits

  • Marketable securities

  • Notes and accounts receivable,
    trade

  • Inventories

  • Other current assets

Long-term receivables,trade

Investments and advances

Property, plant and equipment

Other assets

2,498,147

337,758

407

100,498

902,741


1,053,818

102,925

27,774

494,912

1,275,807

257,413

2,755,812

381,005

1,468

97,646

1,141,936


1,044,368

89,389

24,294

429,306

1,218,817

254,891

22,305

3,016

4

897

8,060


9,409

919

248

4,419

11,391

2,298

24,606

3,402

13

872

10,196


9,325

798

217

3,833

10,882

2,276

-257,665

-43,247

-1,061

2,852

-239,195


9,450

13,536

3,480

65,606

56,990

2,522

-2,301

-386

-9

25

-2,136


84

121

31

586

509

22

Total Assets4,554,0534,683,12040,66141,814-129,067-1,153


Yen (millions) US$ (millions) (A) - (B) (C) - (D)
1997 1H(A) 1996(B) 1997 1H(C) 1996(D) Yen(millions) US$(millions)
Current liabilities

  • Short-term borrowings and
    Current portion of long-term
    debt
  • Notes and accounts payable,
    trade
  • Other current liabilities

Long-term liabilities

Minority shareholders' equity in
consolidated subsidiaries

Shareholders' equity

  • Common stock

  • Additional paid-in capital

  • Retained earnings

  • Cumulative translation adjust-
    ments
2,221,082

841,741


932,909

446,432

1,368,860

53,473


910,638

191,605

300,685

435,420

-17,072

2,411,980

814,247


1,079,309

518,424

1,341,903

50,385


878,852

191,294

300,374

412,720

-25,536

19,831

7,515


8,330

3,986

12,222

477


8,131

1,711

2,685

3,888

-153

21,536

7,270


9,637

4,629

11,981

450


7,847

1,708

2,682

3,685

-228

-190,898

27,494


-146,400

-71,992

26,957

3,088


31,786

311

311

22,700

8,464

-1,705

245


-1,307

-643

241

27


284

3

3

203

75

Total Liabilities and Shareholders'
Equity
4,554,053

4,683,120

40,661

41,814

-129,067

-1,153



IV.SALES BY PRODUCTS

Yen (millions)
( % of total sales)
US$ (millions) (A) / (B)
x 100
Yen/US$ (millions)
( % of total sales)
1997 1H (A) 1996 1H (B) 1997 1H 1996 1H 1996 (Yen) 1996 (US$)
C

&

C


Communications systems and
equipment

Computers and industrial
electronic systems

Electron devices

764,606
(34.1)

902,162
(40.2)

459,545
(20.5)
518,557
(27.0)

824,770
(42.9)

468,831
(24.4)
6,827


8,055


4,103

4,630


7,364


4,186

147.4


109.4


98.0

1,227,016
(27.9)

1,942,858
(44.2)

1,032,983
(23.5)
10,956


17,347


9,223

C&C Total

2,126,313
(94.8)
1,812,158
(94.3)
18,985

16,180

117.3

4,202,857
(95.6)
37,526

Other operations

116,228
(5.2)
109,579
(5.7)
1,038

978

106.1

194,335
(4.4)
1,735

Total


{Overseas}

2,242,541
(100.0)

{538,815}
(24.0)

1,921,737
(100.0)

{524,168}
(27.3)

20,023


{4,811}

17,158


{4,680}

116.7


{102.8}

4,397,192
(100.0)

{1,210,279}
(27.5)

39,261


{10,806}




[Copyright(C) NEC Corporation 1996. NEC and C&C are trademarks of NEC Corporation.]