Financial Highlights

Results for 1Q of FY2024 (from January 1 to March 31, 2024)

During the period from January to March of the fiscal year under review, the Japanese economy continued to recover moderately. The recovery in consumer spending slowed despite the recovery in the domestic travel market, mainly due to increased prices reflecting higher energy and raw material costs. Corporate capital expenditure was robust, chiefly due to replacement investment in the manufacturing industry, which had been postponed because of the COVID-19 pandemic and higher prices. In particular, appetite for IT investment in financial and manufacturing businesses and a wide range of other sectors was high and remained strong.

Under such economic conditions, the Canon Marketing Japan Group recorded net sales of 157,226 million yen (up 1.6% year on year), primarily attributable to strong sales from SI services and IT infrastructure services against the backdrop of active corporate IT investment.
In terms of profit, operating income decreased 9.7% year on year, to 13,808 million yen, ordinary income fell 9.4%, to 13,968 million yen year on year, and net income attributable to owners of the parent declined 8.9% year on year, to 9,523 million yen, reflecting a decrease in gross profit due to a fall in sales of consumer products and higher IT expenses and other SG&A expenses.

Full-year projections for the fiscal year ending December 31, 2024

The Group has revised the sales projection for the fiscal year ending December 31, 2024, to reflect the incorporation of Primagest, Inc. as a consolidated subsidiary and actual sales in the first quarter. The operating income, ordinary income, and net income attributable to owners of the parent projections announced on January 29, 2024, remain unchanged despite the amortization of goodwill related to the incorporation of Primagest, Inc. as a consolidated subsidiary.