During FY24 1H, due to advancing global inflation and continuing uncertainty in the global situation, sluggish demand and inventory adjustments have continued in the semiconductor-related and information and communications markets, which are our principal markets.
As a result, despite an increase in sales in the Solutions Business, sales revenue for FY24 1H decreased by 2.7%, as compared with the six months ended September 30, 2022 ("FY23 1H"), due mainly to the decrease in demand for our principal products.
Profit decreased as compared with FY23 1H, due mainly to factors such as increases in the prices of raw materials and energy costs, etc., caused by inflation, as well as the decrease in sales revenue. Operating profit decreased by 29.4%, profit before income taxes decreased by 25.4%, and profit attributable to owners of the parent decreased by 25.3%.
[Released on November 1, 2023]
Consolidated financial results for FY24 1H were generally within the range of projections at the beginning of FY24. However, with respect to our major markets, namely the semiconductor-related and information and communication markets, Kyocera expects the current severe business environment will continue during FY24 due to a decrease in sales of smartphones as well as market hesitancy regarding capital expenditures for data centers.
In light of the above business outlook, Kyocera has revised its consolidated financial forecasts for FY24 as set forth below.