Financial Summary for FY2009
and Outlook for FY2010

Consolidated Gross Profit

  • Let me now move on to consolidated gross profit.
  • This graph shows the factors behind the change in gross profit-gross profit decrease of the parent company and consolidated subsidiaries, and gross profit of newly consolidated companies.
  • While the net sales of the parent company saw a significant decline, we curtailed the decrease in the consolidated gross profit to a mere 7.2 billion yen by thoroughly reviewing the cost of sales.
  • A decrease of 19.2 billion yen came from existing consolidated subsidiaries. Some of our subsidiaries, including ISID (Information Services International-Dentsu, Ltd.) , Dentsu Holdings USA, Inc. and DENTSU TEC Inc., saw some decrease. The net decrease by Geneon Entertainment Inc. also had some impact.
  • As shown in pale yellow, newly consolidated subsidiaries, such as McGarry Bowen, LLC, Dentsu Creative X Inc. and Dentsu-Smart LLC, contributed an 8.4 billion yen increase.
  • As a result, consolidated gross profit decreased by 17.9 billion yen. The gross profit margin increased by 1.0 percentage point to 17.7%.
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