Overview of 1H FY2012 and
Future Management Policies
- Let me start with an overview of the Dentsu Group's earnings for the first half of fiscal 2012.
- On the back of events such as the London Olympic Games, consolidated earnings for the first half of fiscal 2012 reached targets following recovery from the declines due to the effects of the devastating earthquake that occurred in the first half of fiscal 2011.
However, ordinary income and net income came in below target due to foreign exchange losses that were incurred in relation to the acquisition of Aegis.
- In terms of breakdown within the Dentsu Group, the parent company fell short of targets but the shortage was covered by the strong performance of domestic Group companies. The results of overseas Group companies were mostly in line with expectations.
- However, although targets were reached, the performance of the first half is by no means satisfactory in view of the trend of the overall market.
Instead, the need to achieve results in the front-line reforms that we have been implementing from the beginning of the term has been highlighted.
- Based on this recognition, we view the outlook for the full-year as follows.