Ricoh released their financial results for the period 1 April 2017 to 30 June 2017 (Q1 of 2017).
Ricoh’s sales for the first quarter increased by 1 percent as compared to the previous corresponding period, to ¥492.5 billion ($4.4 billion/ €3.7 billion). Sales in all segments excluding the Office Printing segment increased.
Ricoh reports that the Japanese economy continued to show some signs of a gradual recovery. Under such market conditions, sales in all segments, excluding the Office Printing segment increased. As a result, the sales in the domestic market increased by 4.3 percent compared to the previous corresponding period.
As for the overseas market, though the U.S. economy continued to show a gradual recovery, the European economy remains uncertain with Brexit. China and other developing countries in Asia are showing gradual recovery. Under such market conditions, the Commercial Printing segment mainly increased but the sales in the Office Printing segment and the other segments decreased.
As for overseas sales by region, sales in the Americas increased by 0.4 percent, sales in Europe, Middle East and Africa decreased by 4.8 and sales in other regions, which include China, South East Asia and Oceania, increased by 4.9 percent.
Gross profit increased by 0.6 percent compared to the previous corresponding period, to ¥199.9 billion ($1.8 billion/ €1.5 billion), mainly due to the increase in sales.
Sales in the Office Printing segment decreased by 2.8 percent to ¥284.6 billion ($2.57 billion/ €2.18 billion) compared to the previous corresponding period. Due to adjustment of prices which focused on profitability, the amount of MFP sales decreased in the domestic and overseas.
Sales in the Commercial Printing segment increased by 6.9 percent to ¥45.6 billion ($0.41 billion/ €0.34 billion) compared to the previous corresponding period. This is due to the increase in sales of colour cut sheet printers and related parts & supplies in both domestic and overseas.
Sales in the Industrial Printing segment increased by 78.4 percent to ¥4.3 billion ($39 million/ €32 million) compared to the previous corresponding period. Sales of Inkjet heads were good
Based on the results of the first quarter and the changes in the business environment, Ricoh revised its forecast for domestic and overseas sales from those previously announced. Ricoh is now forecasting an increased sales income from the domestic market, a decrease in sales of the overseas markets compared to the forecast given in April.