Mizuno Corp. reported revenues rose 9.3 percent in the nine months ended Dec. 31. Operating profits jumped 53.4 percent. Operating profit were up 67.5 percent in the Americas.

 OVERVIEW

  • Revenue totaled 132.2 billion yen, up 9.3 percent compared with the same period in the previous fiscal year. Operating profit stood at 3.6 billion yen, up 52.5 percent. Ordinary profit was 4.0 billion yen, up 51.1 percent, and net income was 2.1 billion yen, up 52.1 percent. * Figures are on a year-on-year basis,and amounts are rounded.
  • The major factors for the sharp recovery were the solid performance of lifestyle sports products (such as running-related products) across the globe and a recovery in the golf products business in the Americas.
  • Although the gross margin declined 0.7 points because of higher costs such as raw materials and personnel expenses, operating profit, ordinary profit and net income all increased significantly as a result of our efforts to curb SG&A expenses with the aim of strengthening cost control.

EUROPE

  • While the European economy was sluggish, the performance of running-related products remained firm. In particular, they gained strong support in the French market.
  • In addition, as the Company took steps to increase demand for indoor sports-related footwear products such as volleyball and handball, revenue was up 42.1 percent despite the difficult economic conditions.
  • Even excluding the effect of foreign exchanges, revenue remained solid, increasing20.0 percent.
  • Although the Company consolidated a local subsidiary in Spain in the third quarter of the current fiscal year, its impact was minor.

 AMERICAS

  • Running shoes continued to be strong in the Americas. In particular, MIZUNO WAVE, Mizuno’s own function, was highly praised and performed well in both South and North America.
  • WAVE SAYONARA, a new product launched in July, won awards from major running specialty journals and gained significant support from runners.
  • The golf and volleyball businesses also contributed to higher revenue. In particular, the golf business boosted sales by nearly 20 percent for the second consecutive year and Mizuno irons have achieved record market share, entering the upward momentum.
  • Revenue was up 31.6 percent. Even excluding the effect of foreign exchange, revenue increased 9.0 percent. Operating profit also rose 67.5 percent.
  • A combination of superior products and strong marketing campaigns contributed to the growth in the running and golf businesses.

JAPAN

  • Running shoes and training apparel goods, among others, remained strong in Japan as well
  • Revenue increased 0.5 percent. Operating profit was up 36.1 percent thanks to the contribution of the control of SG&A expenses.

  • Consolidated results forecast for the fiscal year ending March 2014 is as follows: Revenue of 183.0 billion yen, operating profit of 5.5 billion yen, ordinary profit of 5.5 billion yen and net income of 2.1 billion yen.
  • No change.