Brother Industries, Ltd. has released its financial results for the first quarter of its fiscal year ending June 30, 2017. Despite revenue from sales enjoying 6.5% growth to ¥167.7 billion (US$1.51 billion), its business segment profit dropped 13.1% compared with the same period last year.
The company claims that if you exclude the decrease of ¥2.2 billion yen (US$19.8million) that resulted from the change of calculation method of unrealized inventory profit in in its Printing and Solutions (P&S) sector, the Business segment profit stayed almost at the same level as the previous year.
The P&S business includes printers, All-in-Ones, labeling systems and scanners. The P&S business grew steadily on a global basis, as well as sales of the inkjet all-in-one models with ink tanks.
Operational profit decreased due to the Yen dropping sharply against the Euro, creating a temporary increase of impairment loss related to the exchange contract. The negative impact of exchange gain reported ahead of schedule during the last fiscal year in accordance with the IFRS standard also contributed to the decrease in operational profit.