Panasonic on Tuesday reported an operating profit for the the year ended March 31, 2015 (fiscal 2015), due to business restructuring benefits, fixed cost reductions and materials cost streamlining. Operating profit for the 12 months ended March was 381.9 billion yen. The company cited strong demand for its automotive products, which include batteries and electronic components, as well as the positive impact of a weaker yen.
Consolidated group sales for the same period were 7,715.0 billion yen, at the same level as 7,736.5 billion yen in the year ended March 31, 2014 (fisca l 2014). In Japan, although sales in housing-related and consumer electronics businesses decreased due mainly to weakening demand after the consumption tax hike in April 2014, sales of residential solar photovoltaic systems were strong. The company's overseas sales increased due mainly to strong sales in automotive-related business along with robust demand, and a positive effect from yen depreciation.
Panasonic said it expects operating profit to grow 15 percent to 430 billion yen (2 billion pounds) in the fiscal year that started in April.
The Osaka-based firm's upturn comes after years of losses on consumer electronics like TVs and smartphones.
Piloting the restructuring, Chief Executive Kazuhiro Tsuga has said Panasonic's future strategy will mean seeking growth through spending around 200 billion yen on mergers and acquisitions in the current fiscal year alone.