The OEM has released its consolidated financial results for the fiscal year 2019, reporting sales of printing equipment consumables were firm globally due to COVID-19 effects.
Brother recorded sales revenue of ¥637.3 billion ($5.94 billion/ €5.48 billion) for the period ended 31 March 2020, down 6.8% from the previous fiscal year, where the company recorded sales revenues of ¥684 billion ($6.37 billion/ €5.88 billion). Operating profits decreased 6.4%, ¥67.3 billion ($627.12 million/ €579.52 million), compared to ¥71.9 billion ($670.12 million/ €619.12 million) in the previous year.
For the printing and Solutions segment, sales for the full year 2019 were reported as ¥390.7 billion ($3.64 billion/ €3.36 billion), down ¥12.3 billion ($114.64 million/ €105.89 million) compared to the same period of the previous fiscal year. In the fourth quarter Brother saw a drop of ¥2.2 billion ($20.50 million/ €18.94 million) in sales revenue. Profit for the segment was up ¥4.9 billion ($45.66 million/ €42.19 million).
Brother said that sales of ink printers and consumables were firm globally and commented “sales revenues were down due to sluggish sales in the machinery business, particularly industrial equipment, and negative foreign exchange effects.”
Forecasts for the next fiscal year remain “undetermined” due to the current COVID-19 pandemic which is “making it difficult to make a reasonable calculation of the impact on results at this stage,” Brother added.
The OEM’s Chinese operations in Shenzhen and Xian are back working since 12 February 2020, however the plant in the Phillipines are still closed. Due to COVID-19 its sales staff are working from home where it is possible.
