MEL.L Regulatory News (MEL)

20 Mar 2006 07:03

Mitsubishi Electric Corporation20 March 2006 Investor Relations Inquiries Media Contact Yasumitsu Kugenuma Travis WoodwardCorporate Finance Department Public Relations DepartmentMitsubishi Electric Corporation Mitsubishi Electric CorporationTel:+81-3-3218-2391 Tel:+81-3-3218-3380Cad.Irg@rk.MitsubishiElectric.co.jp Travis.Woodward@eb.MitsubishiElectric.co.jp http://global.mitsubishielectric.com/news/ MITSUBISHI ELECTRIC ANNOUNCES DIVIDEND POLICY AND REVISED SALES AND EARNINGS FORECAST FOR FISCAL 2006 (APRIL 1, 2005-MARCH 31, 2006) Tokyo, March 20, 2006 - Mitsubishi Electric Corporation (President and CEO:Tamotsu Nomakuchi) announced today its dividend policy and revised its businessperformance forecast for fiscal 2006. 1) Forecast for Consolidated Results: Fiscal Year (April 2005-March 2006)Figures in the chart below represent revisions from the 3rd quarter earnings release in February 2006. (in billions of yen) Net sales Operating income Income before income Net income taxes Revised Forecast (A) 3,560.0 157.0 152.0 95.0 Previous Forecast (B) 3,460.0 145.0 140.0 83.0 Change(A-B) 100.0 12.0 12.0 12.0 Percentage of change 2.9% 8.3% 8.6% 14.5% Fiscal 2005 Actual Results 3,410.6 120.6 102.3 71.1 2) Forecast for Non-consolidated Results: Fiscal Year (April 2005- March 2006)Figures in the chart below represent revisions from the interim earnings release in October 2005. (in billions of yen) Net sales Ordinary profit Net income Revised Forecast (A) 2,200.0 75.0 48.0 Previous Forecast (B) 2,130.0 55.0 34.0 Change(A-B) 70.0 20.0 14.0 Percentage of Change 3.3% 36.4% 41.2% Fiscal 2005 Actual Results 2,022.0 59.4 26.2 3) Reason for the earnings forecast revision Expected expansions through solid capital investment in Industrial AutomationSystems both domestic and overseas in addition to improvements in mobilehandsets etc. in the domestic market have improved forecast for bothconsolidated and non-consolidated earnings for fiscal 2006. 4) Dividend Policy for fiscal 2006 The company plans to pay a year-end dividend of 5 yen per share, with annual dividend 8 yen. Interim Year end dividend Annual dividend Fiscal 2006 3 yen 5 yen 8 yen Fiscal 2005 (actual) 2 yen 4 yen 6 yen Cautionary Statement The expectation of operating results herein and any associated statement to bemade orally with respect to the Company's current plans, estimates, strategiesand beliefs and any other statements that are not historical facts are forward-looking statements. Words such as "expects", "anticipates", "plans", "believes","scheduled", "estimated", "targeted" along with any variations of these wordsand similar expressions are intended to identify forward-looking statements,which include, but are not limited to, projections of revenues, earnings,performance and production. While the statements herein are based on certainassumptions and premises that the Company trusts and considers to be reasonableunder the circumstances to the date of announcement, you are requested to kindlytake note that actual operating results are subject to change due to any of thefactors as contemplated hereunder and/or any additional factor unforeseeable asof the date of this announcement. Such factors materially affecting theexpectations expressed herein shall include, but are not limited to, thefollowing: (1) Any change in worldwide economic and social conditions as well as laws, regulations, taxation and other legislation (2) Changes in foreign currency exchange rates, especially yen/dollar rates (3) Changes in stock markets, especially in Japan (4) Changes in balance of demand and supply of products that may affect prices and volume, as well as material procurement conditions (5) Changes in the ability to acquire financing, especially in Japan (6) Changes in any patent and its licensing, including any dispute involving patent infringement, that may affect operations (7) Technological change, the development of products using new technology, manufacturing and time-to-market (8) Business restructuring About Mitsubishi Electric With over 80 years of experience in providing reliable, high-quality products toboth corporate clients and general consumers all over the world, MitsubishiElectric Corporation (TSE:6503) is a recognized world leader in the manufacture,marketing and sales of electrical and electronic equipment used in informationprocessing and communications, space development and satellite communications,consumer electronics, industrial technology, energy, transportation and buildingequipment. The company recorded consolidated group sales of 3,410 billion yen(US$ 31.9billion*) in the fiscal year ended March 31, 2005. For more information visit http://global.mitsubishielectric.com * At an exchange rate of 107 yen to the US dollar, the rate given by the Tokyo Foreign Exchange Market on March 31,2005. APPENDIX Revisions in Earnings Forecasts for Fiscal 2006 1. Sales Income by Business Segment (Consolidated) Parenthetical figures are compared to FY '05 units : in billions of yen FY2005 FY2006 FY2006 (b)-(a) Previous Forecast Revised Forecast % (a) (b) % Energy and Electric Systems 791.9 20.8 820.0 860.0 (109) 21.7 40.0 Industrial Automation Systems 781.8 20.6 810.0 850.0 (109) 21.4 40.0 Information and Communication Systems 614.0 16.2 600.0 640.0 (104) 16.1 40.0 Electronic Devices 164.3 4.3 170.0 170.0 (103) 4.3 0 Home Appliances 866.4 22.8 870.0 870.0 (100) 21.9 0 Others 581.6 15.3 580.0 580.0 (100) 14.6 0 Subtotal 3,800.3 100.0 3,850.0 3,970.0 (104) 100.0 120.0 Eliminations and Other ^389.6 - ^390.0 ^410.0 - - ^20.0 Total 3,410.6 - 3,460.0 3,560.0 (104) - 100.0 2. Operating Income by Business Segment (Consolidated) Parenthetical figures are compared to FY '05 units : in billions of yen FY2005 FY2006 FY 2006 (b)-(a) Previous Forecast Revised Forecast (a) (b) Energy and Electric Systems 28.1 24.0 25.0 (89) 1.0 Industrial Automation Systems 72.3 83.0 91.0 (126) 8.0 Information and Communication Systems 0.2 18.0 22.0 (92x) 4.0 Electronic Devices 6.1 14.0 14.0 (228) 0 Home Appliances 25.6 18.0 17.0 (66) ^1.0 Others 10.5 11.0 11.0 (104) 0 Subtotal 143.1 168.0 180.0 (126) 12.0 Eliminations and Other ^22.5 ^23.0 ^23.0 - 0 Total 120.6 145.0 157.0 (130) 12.0 This information is provided by RNS The company news service from the London Stock Exchange