Asics Corp. reported a 13.7% increase in global net revenues to ¥194.52 billion ($1.67 bn) for the fiscal year from ¥171.04 billion ($1.51 bn) last year. Operating income jumped 23.1% to ¥20.25 billion ($173.3 mm), but increased tax expenses caused net income to grow only 0.5% to ¥13.89 billion ($118.6 mm).

The Sports Shoes Category saw continuous growth in the overseas market, especially in running shoes and sportstyle shoes, as well as growth in walking shoes in the Japanese domestic market, which paired together to boost segment revenues 20.0% to ¥135.25 billion ($1.16 bn).
“Firm growth” in athletic sports apparel lead to a 3.6% revenue increase to ¥42.67 billion ($365.3 mm) for the fiscal year.
The company noted weakness in the baseball equipment business in the Japanese domestic market as the culprit behind a 2.9% decrease in segment net revenue to ¥16.60 bn ($142.1 mm).

Within the company’s domestic market of Japan, the sports shoes and sports wear categories experienced “firm growth,” but softness in the sports equipment category slowed revenue growth to a gain of 1.6% over last year at ¥87.63 billion ($750.1 mm). Operating income for the country, however, increased 11.2% to ¥4.34 billion ($37.2 mm).

In the U.S., continued strong sales of running shoes expanded sales to ¥43.18 billion yen ($369.6 mm), while operating income jumped 29.7% to ¥3.51 billion ($30.0 mm).

Europe saw Strong sales of running shoes and sportstyle shoes bring sales for the region up 19.4% to ¥61.53 billion ($526.7 mm), with operating income increasing 22.8% to ¥10.87 billion ($93.0 mm).

Start-ups in China and Taiwan by the company’s subsidiaries and strengthened sales in Australia expanded revenues in the rest of the world by 38.2% to ¥9.17 billion ($78.5 mm). Operating income increased 29.1% to ¥1.94 billion ($16,6 mm).

Looking ahead, the company expects fiscal 2008 revenues to grow 9.2% to ¥212.50 billion ($1.80 bn) with a corresponding increase in operating income of 8.7% to ¥22.00 billion ($186.6 mm). Net income is expected to grow 0.9% to ¥14.00 billion ($118.7 mm).