From April 1, 2011
To June 30, 2011

Augusut 1, 2011
Funai Electric Co., Ltd.

First Quarter (April-June) Consolidated Financial Summary for the Period Ending March 2012

(Million yen)Previous Year First Quarter

Current Year First Quarter

From April 1, 2010
to June 30, 2010

From April 1, 2011
to June 30, 2011

AmountAmount%Rate ofincrease or
decrease

%

%

%

%

Net Sales

74,958100.0

65,618

100.0

△12.5

Operating Income

2,518

3.4

322

0.5

△87.2

Ordinary Income

1,284

1.7

75

0.1

△94.1

Net Incom before Taxes andOther Adjustments

1,196

1.6

60

0.1

△95.0

Net Income/Loss after Tax *

433

0.6

△1,414△2.2−

Net Income/Loss after Tax **

433

0.6

△2,350△3.6−

Net Income/Loss per Share

12.71△68.90Notes: Includes 13 consolidated subsidiaries, 1 non-consolidated subsidiary accounted for by the equity method.
*For the purpose of comparison the Net Income / Loss after Tax before the deduction of Income taxes for 936 million
yen for prior periods is recorded.
**Supplementary tax assessment based on rectification notice to Funai Electric Co., Ltd. for anti-tax haven system
in HK for 936 million yen for the period of March 2008 to March 2010 was posted as a cost of income taxes for priorperiods in First Quarter consolidated income statement of FY2011.

Member, Financial Accounting Standards Foundation

Financial Report for the 3-Month Period ended June 30, 2011
August 1, 2010

Listed company name:

Funai Electric Co., Ltd.

Securities Code: 6839
Tokyo Stock Exchange
and Osaka Securities Exchange, First Section(URL http://www.funai.jp/ )Representative: President and CEO
Tomonori Hayashi
Inquiries: General Manager,Business Finance HQ
Hisao Fuke
TEL: (072) 870-4395
Scheduled date of Securities Report to be filed to the Kinki Finance Bureau; August 10, 2011
Scheduled date of Commencement of Annual Dividend Payment; −Quarterly Financial Results Supplementation: Yes
Quarterly Financial Results Seminar: Yes
1. First Quarter Consolidated Results for the Period Ending March 2012 (April 1, 2011 – June 30, 2011)(1) Operating Results (Consolidated)(% denotes year on year)
Ordinary Income
Net Income
Net Sales
Operating Income
Million yen%

st65,61874,958(Reference) Comprehensive Income

1 Quarter FY2011
1st Quarter FY2010

Million yen

Million yen%

322
75 △94.1△2,350
△12.5
△87.2
433
2,518
1,284
△3.5
△32.0
△68.5
st
1 Quarter FY 2011 ended June 30, 2011
△4,667 million yen (−%)
△4,459 million yen (−%)
1st Quarter FY 2010 ended June 30, 2010

−
△86.3

Net Income
Per Share%

Million yen

Net Income Per Shareon a Fully Diluted BasisYen

1st Quarter FY2011
1st Quarter FY2010

Yen△ 68.90

−
12.62

12.71

(2) Consolidated Financial Position
Total Assets

Net Assets

Million yen

1st Quarter FY2011
Fiscal Year 2010
(Reference)

Shareholders’ Equity Ratio

Million yen

196,046
125,638
193,910131,228
st
1 Quarter FY 2011 ended June 30, 2011
Fiscal Year 2010 ended March 31, 2011

Shareholders’ Equity

%

%

63.6
67.1
124,632 million yen
130,088 million yen

2. Dividends
Dividend per Sharestnd

1 Quarteryen

Fiscal Year 2010−

Fiscal Year 2011
Fiscal Year 2011
(Projection)−

3rd Quarter2 Quarteryen

Year-Endyen

Annual
yen

yen

0.00

−

40.00

40.00

0.00

−

40.00

40.00

st

(Note) Revision of Annual Dividends Forecast in this 1 Quarter: No

3 Forecast of Consolidated Results for the Fiscal Year ending March 2012 (April 1, 2011 - March 31, 2012)(% denotes year on year)

Net Sales
Six months ending Sep.30.2011

Full Year

Operating Income Ordinary Income

Million yen%

Million yen

156,800
310,000

1.8
4.8

3,400 △25.9
8,000 935.9%

Million yen%

3,400 △28.8
8,000 519.9

Net Income
Million yen

Net Income
Per Share%Yen

200 △94.9
4,200 −

5.86
123.11(Note) Revision of Forecast of Consolidated Results for the six month period or the Full Year in this 1st Quarter: Yes

4 Other Information(1) Changes in Consolidated Subsidiaries (Changes in Scope of Consolidation): No(2) Application of simplified accounting procedure and use of unique accounting procedure for preparation offinancial statements covering consolidated accounting in this 1st quarter: Yes(3) Changes in Accounting Practices, Procedures and Presentation Methods for Consolidated Financial Results①Changes arising from revision of accounting standards: No②Changes arising from other factors: Yes③Changes in accounting estimates: No④Restatement: No(4) Number of Shares Outstanding (Ordinary Shares)①Number of shares outstanding (including treasury stock) as of June 30, 2011; 36,126,196 shares
as of March 31, 2011; 36,123,596 shares②Number of shares of treasury stock as of June 30, 2011; 2,011,607 shares
as of March 31, 2011; 2,011,607 shares③The Average number of outstanding shares on June 30, 2011; 34,112,710 shareson June 30, 2010; 34,092,627 shares※ The Recording of Implementation Conditions Regarding Quarterly Review ProceduresThis quarterly financial summary does not fall within the scope of the Quarterly Review Procedures referenced in
the Financial Instruments and Exchange Act. At the time of disclosure of the quarterly financial summary, theGroup was in the process of implementing the quarterly review procedures for its quarterly financial statements.

Disclaimer;This document contains forward-looking statements and projections regarding business performance
which are not historical facts. Please note that these statements are based on information relating to factorsthat may impact future business performance that was available for analysis at the time this document was
printed. These factors include industry trends relating to the business areas of Funai Electric Co., Ltd. or
the Funai Group, such as audio-visual devices and information communication equipment, the economic
conditions of both domestic and international markets, and fluctuations in currency exchange rates. Actual
performance may greatly differ from projections included in this document because of the impacts ofuncertainty in such areas as the competitive conditions of the electronics industry, market trends, currency
exchange rate, introduction and success of new products, and various other global conditions that may
affect the tax system and other systems.

1. Qualitative Information Regarding Quarterly Financial Results(1) Qualitative Information Relating to Consolidated Business Performance
Our main market is the United States, and during the period in which our first-quarter YTD consolidated earnings
were calculated the recovery of the US economy slowed due to a decrease in personal consumption resulting fromdifficult employment situation marked by increased unemployment and a housing market that remains in thedoldrums.
In the consumer electronics appliances industry, demand for LCD TVs continued to be strong in China and otheremerging markets, while in Japan demand rose above the previous year despite worries about the effect of the
cessation of the Eco-Points System, due to demand for digital-capable TVs prior to the transition to terrestrial digital
broadcasting. At the same time, the trend in Europe and North America remained weak due to the effects of the
product demand cycle and restrained buying due to consumer worries about income.
As a result of the above factors, the Group posted net sales of JPY 65,618 million, a 12.5% decrease compared withthe same period last year.
On the profit front, operating income was JPY 322 million, down 87.2% year on year; ordinary income was JPY 75
million, down 94.1% year on year; and a quarterly net loss of JPY 2,350 million (the quarterly net income for thesame period last year was JPY 433 million).
Segment conditions by location were as follows:i) Japan
In addition to that for Blu-ray Disc recorders, revenues from sales of antennas and related devices increased as aresult of the transition to digital terrestrial broadcasting. Nonetheless, due to stiff price competition in LCD TVs
and the decrease in information equipment sales due to reduced orders for printers, net sales were JPY 35,041
million, a 9.1% decrease compared with the same period last year. Our operating profit (segment profit) was JPY
1,925 million, down 34.8% year on year.
ii) North America
In addition to the weak market, revenues for sales of LCD TVs, our main product, were broadly down due tofalling prices. Sales of DVD players and Blu-ray Disc players also decreased, with net sales amounting to JPY
26,561 million, down 21.9% year on year. Our operating loss (segment loss) was JPY 712 million (the operating
loss for this segment for the same period last year was JPY 201 million).
iii)
Asia
Net sales came to JPY 2,879 million (net sales for the same period last year were JPY 82 million), but we posted
an operating loss (segment loss) of JPY 84 million (operating profit for this segment for the same period lastyear was JPY 1,354 million).
iv)Europe
Sales of DVD-related equipment increased, but revenues decreased sharply due to the effects of the weak market
for LCD TVs, with net sales down 51.1% year on year, to JPY 1,135 million, and an operating loss (segmentloss) of JPY 440 million (operating loss for the same period last year was JPY 123 million).
Sales by Product Segment were as follows:i) Audio-Visual Equipment
In the audio-visual equipment segment, while sales of Blu-ray Disc recorders contributed to an increase inrevenues, sales of other DVD-related equipment were down, and due to weakness in the European and North
American markets prices of LCD TVs also dropped, putting heavy pressure on revenues. As a result, net sales ofthis equipment were JPY 46,147 million, a decrease of 6.2% year on year.
ii) Information Equipment
In the information equipment sector, decreases in orders for printers resulted in net sales of thisequipment were JPY 8,696 million, a decrease of 49.2% year on year.
iii) Others Products
Sales of other products that are not included in the above categories increased as strong demand
for antennas and related devices as a result of the transition to digital terrestrial broadcasting
took hold. As a result, net sales of this equipment were JPY 10,774 million, an increase of 24.6% year onyear.

(2) Qualitative Information Relating to Consolidated Financial Position
Our financial position at the end of first quarter is described below.
Total assets increased by JPY 2,136 million as compared to the end of the previous consolidated fiscal
year. This was mainly due to an increase of JPY 3,897 million in goods and products, and a decreaseof JPY 2,523 million in raw materials and inventories.
Total liabilities increased by JPY 7,726 million as compared to the end of the previous consolidated

fiscal year. This was mainly due to the JPY 11,340 million increases in notes and accounts payables
and decrease of JPY 2,255 million in short-term loans payable.
Net assets fell by JPY 5,590 million as compared to the end of the previous consolidated fiscal year.
This was mainly due to a decrease of JPY 3,075 million and JPY 2,525 million in the retained
earnings and foreign currency translation adjustment account.
(3) Qualitative Information Relating to Consolidated Performance Forecasts:
Please refer to the “Funai Reports Revised Forecast of Consolidated Operating Results” published on August 1,
2011 for information regarding earnings forecasts.
Note: Our performance forecasts include figures based on decisions according to the information available at thetime and include items that are subject to risks and uncertainties. Actual performance may vary from these
forecasts due to rapid changes in economic conditions in the United States, our primary market, and otherregions overseas, as well as rapid fluctuations in product prices.

2. Summary Information(1) Important changes relating to subsidiaries and affiliates during the fiscal term (changes involving specificsubsidiaries that resulted in changes to the scope of consolidated accounting)
There are no relevant changes.
(2) Unique accounting procedure for preparation of consolidated financial statements for fiscal quarter
Expenses relating to taxes are calculated by applying the estimated effective tax rates on the before-tax net profit for
the fiscal quarter, through a practical estimation of the effective tax rates that will take effect after the application of
the tax effect accounting for before-tax net profits of the consolidated fiscal year, including this first fiscal quarter.
The corporate tax adjustment is included in the indicated corporate taxes.
(3) Changes arising from revision of accounting standards, Changes in accounting estimates, Restatement(Change in the Rate Applied for Currency Exchange Conversions)
In the past, the Group applied TTS*1 or TTB*2 rates when carrying out foreign currency exchange conversions.
However, as of the previous second quarter of the consolidated fiscal year, the Group has decided to use TTM*3 rates
instead. This change to utilize TTM rates across all exchange conversions was made in order to ensure clarity inevery income category.
Please note that the new rates were not applied for the previous first quarter year-to-date consolidated period as theGroup’s systems were not updated until the previous second quarter.
Accordingly, the net sales, operating income, ordinary income and net income before taxes and other adjustments inthe previous first quarter consolidated period were posted by less amount of JPY 301 million, JPY 382 million and
JPY 362 million , respectively, compared with after the changes in the rate applied for currency exchange
conversions .
(4) Additional information(Adoption of accounting standards related to accounting changes or correction of errors)
As of the accounting changes or correction of errors made since the beginning of the first quarter of the consolidated
fiscal year under review, the Group has adopted the Accounting Standard for Accounting Changes and Error
Corrections (Statement No. 24 of the Accounting Standard Board of Japan dated December 4, 2009) and thecorresponding Implementation Guidance (Implementation Guidance No. 24 dated December 4, 2009).
(5) Other
Corrective action implemented based on the application of the Anti-Tax Haven Law
1. On June 28, 2005 and June 16, 2008 we received a notice from the Osaka Regional Taxation Bureau regarding theimplementation of corrective action. This notice indicated a decision regarding our subsidiary in Hong Kong,suggesting that it did not satisfy the conditions for exclusion from application of the Anti-Tax Haven Law.
The notification furthermore indicated that the Osaka Regional Taxation Bureau decided to incorporate the income
generated by our subsidiary in Hong Kong into the income of our company for the duration of three years, from April
1, 2001, to March 31, 2004, from April 1, 2004, to March 31, 2007,or taxation purposes.
Because the Company objected to this corrective action, we applied for assessments by the Administrative Review
Office of the Osaka Regional Taxation Bureau on July 25, 2006 and again on August 6, 2008. Thereafter, we received
written verdicts on this case on July 3, 2008, and again on July 23, 2009, indicating that our assertions had been
dismissed. We filed an appeal to have the action cancelled with the Osaka District Court on November 16, 2006 andagain on November 14, 2008, and a hearing for consolidation of those actions was filed on November 26, 2008. The
court dismissed the claims of our Company on June 24, 2011. Thereafter, as the Company is unable to accept the
Osaka District Court’s judgment, we filed a notice of appeal at the Osaka Superior Court on July 7, 2011.
The additional tax amounts to JPY 16,651 million (JPY 19,184 million including incidental taxes) and JPY 15,038
million (JPY16,838 million including incidental taxes), including corporate, residential, and business taxes. We
processed these amounts in the fiscal term ending March 2007 as “retroactive corporate taxes,” since the accounting
procedures relating to additional tax amounts have been clarified through the amendment of the “Handling of Audits
Relating to Accounting Procedures and Disclosures for Taxes” (Report No. 63 of the Auditing and Guaranteeing
Work Committee of the Japanese Institute of Certified Public Accountants) on March 8, 2007.

2. On June 29, 2011 we received a notice from the Osaka Regional Taxation Bureau indicating their decision toincorporate the income generated by our subsidiary in Hong Kong into the income of our company for the duration of
three years, from April 1, 2007, to March 31, 2010, for taxation purposes.
A provisional estimate for the additional tax, including corporate, residential, and business taxes, amounts to JPY 826
million (JPY 936 million including incidental taxes). This amount has been processed as expenses under the categoryof “income taxes for prior periods” in this first fiscal quarter of the consolidated fiscal term.

3. Consolidated Financial Statements(1).Consolidated Quartery Balance Sheets(Mil. Yen)
Fiscal year 2010
(As of March 31, 2011)

1st Quarter FY2011(As of June 30, 2011)ASSETS;
Current Assets
Cash and deposits

70,07670,727

Notes and accounts receivable-trade

36,36735,988Merchandise and finished goods

23,56527,462Work in process

1,795

1,913

Raw materials and supplies

18,477

15,954

Other

8,678

9,077

Allowance for doubtful accounts

△ 139

△ 139

Total current assets

158,820

160,984

Tangible fixed assets

16,29016,177

Intangible assets

3,720

3,466

Other

15,432

15,787

Allowance for doubtful accounts

△ 352

△ 369

Total investments and other assets

15,07915,41835,08935,062

193,910

196,046

Notes and accounts payable-trade28,93840,278

Short-term loans payable

10,096

7,841

Income taxes payable

2,071

1,905

Provision

1,727

1,610

Other

16,09014,622

Total current liabilities

58,926

66,25833−

Provision

2,392

2,944

Other

1,329

1,204

Total noncurrent liabilities

3,755

4,149

62,68170,408

Noncurrent assets

Investment and other assets

Total noncurrent assets
TOTAL ASSETSLIABILITIES;Current Liabilities

Noncurrent liabilities
Long-term loans payables

TOTAL LIABILITIES(Mil. Yen)
Fiscal year 2010
(As of March 31, 2011)

1st Quarter FY2011(As of June 30, 2011)

NET ASSETS;
Shareholders' equity
Capital stock

31,30031,302

Capital surplus

33,26533,267Retained earnings

116,738

113,663

Treasury stock△ 24,341△ 24,341

156,962

153,892

612

752

Foreign currency translation adjestment△ 27,486△ 30,011

Total accumulated other comprehensive income△ 26,874△ 29,259

87

92

Minority interests

1,052

913

Total net asset

131,228

125,638

193,910

196,046

Total shareholders' equity

Accumulated other comprehensive income
Valuation difference on avaiable-for-sale securities

Subscription right to shares

TOTAL LIABILITIES AND NET ASSETS

(2). Consolidated Quartely Statements of Income and Consolidated Quartely Statement ofComprehensive Income(Consolidated Quartely Statements of Income)(Mil. Yen)

Net sales
Cost of sales
Gross profit
Selling, general and administrative expenses
Operating income
Non-operating income
Interest income
Dividends income
Rent income
Other
Total non-operating income
Non-operating expenses
Interest expenses
Equity in losses of affiliates
Foreign exchange losses
Other
Total non-operating expenses
Ordinary income
Extraordinary income
Reversal of allowance for doubtful accounts
Other
Total extraordinary income
Extraordinary loss
Loss on disposal of noncurrent assets
Liquidation loss on affiliated company
Other
Total extraordinary loss
Income before income taxes
Income taxes
Income taxes for prior periods
Total income taxes
Income / loss before minority interests
Minority interests in income
Net income / loss

1st Quarter FY2010

1st Quarter FY2011( from April 1, 2010
to June 30, 2010 )
74,95861,93813,02010,501( from April 1, 2011
to June 30, 2011 )
65,61856,037
9,580
9,258

2,518

322

78
11

48
23
27

26
33
150

34
133

16

34

1
1,346
19
1,384
1,284

19
304
20
379
75

4
2
6

−
0
0

5

−
−
16

88
1
95
1,196
674
−
674

16
60
1,405
936
2,341

521
88
433

△ 2,28168△ 2,350(Consolidated Quartely Statement of Comprehensive Income)Loss before minority interest adjustment
Other comprehensive Income
Valuation difference on avaiable-for-sale securities
Foreign currency translation adjestment
Share of other comprehensive income of associates
accounted for using equity method
Total other comprehensive Income
Comprehensive income(Breakdown)Comprehensive income attributable to owners of parent
Comprehensive income attributable to minority interests(Mil. Yen)

1st Quarter FY2010

1st Quarter FY2011( from April 1, 2010
to June 30, 2010 )521( from April 1, 2011
to June 30, 2011 )△ 2,2815△ 5,121138△ 2,531133

5△ 4,981△ 2,386△ 4,459△ 4,667△ 4,53778△ 4,73567

(3) Notes for Continuing Enterprises
Not Applicable(4) Information by Segment[Segment Information]
Ⅰ. First Quarter Consolidated Fiscal Period – Year to Date (April 1, 2010 to June 30, 2010)
Information Regarding Net Sales and Profit/Loss Conditions by Reporting Segment(Units: Million Yen)
Asia

EuropeTotal

Elimination Consolidated

Japan

N. America(1) Outside customers

38,55433,99982

2,322

74,958−(2) Inter-segment sales

39,846

056,1880

96,035(96,035)−

Total

78,401

33,99956,2702,322

170,993(96,035)

74,958Net Sales

Segment

Income74,958

and

2,951
△201
1,354
△123
3,980
(1,461)
Loss(△)
Note:
1. The negative JPY1,461 million adjustment amount under segment income includes items such as the
JPY16 million relating to the cancellation of inter-segment transactions, JPY277 million of overall
Group expenses that are not apportioned to each reporting segment, and the JPY1,200 million
negative adjustment relating to inventory assets. Overall Group expenses are comprised of generaladministrative expenses that do not belong to a specific reporting segment.
2. Segment income has been adjusted to operating income noted on the first quarter consolidated
income statement.

2,518

Ⅱ. First Quarter Consolidated Fiscal Period – Year to Date (April 1, 2011 to June 30, 2011)
1. Information Regarding Net Sales and Profit/Loss Conditions by Reporting Segment(Units: Million Yen)
Asia

EuropeTotal

Elimination Consolidated

Japan

N. America(1) Outside customers

35,041

26,561

2,879

1,135

65,618−(2) Inter-segment sales

23,665040,143

063,810(63,810)−

Total

58,707

26,561

43,023

1,136

129,428(63,810)

65,618

1,925
△712
△84
△440
687
(364)
Loss(△)
Note:
1. The negative JPY364 million adjustment amount under segment income includes items such as the
JPY0 million relating to the cancellation of inter-segment transactions, JPY262 million of overall
Group expenses that are not apportioned to each reporting segment, and the JPY101 million
negative adjustment relating to inventory assets. Overall Group expenses are comprised of generaladministrative expenses that do not belong to a specific reporting segment.
2. Segment income has been adjusted to operating income noted on the first quarter consolidated
income statement.

322

Net Sales

Segment

Income65,618and(Change in the Rate Applied for Currency Exchange Conversions)
In the past, the Group applied TTS*1 or TTB*2 rates when carrying out foreign currency
exchange conversions. However, as of the previous second quarter of the consolidated fiscal year,
the Group has decided to use TTM*3 rates instead. This change to utilize TTM rates across all
exchange conversions was made in order to ensure clarity in every income category.
Please note that the new rates were not applied for the previous first quarter year-to-dateconsolidated period as the Group’s systems were not updated until the previous second quarter.
Accordingly, the sales and segment income for “Japan” in the previous first quarter consolidated
period were posted by less amount of JPY301 million and JPY382 million, respectively,
compared with after the changes in the rate applied for currency exchange conversions .

(5) Notes of remarkable changes in Shareholders Equity:
Not Applicable(6) Important Subsequent Event
Not Applicablefrom 2011.4.1
to2011.6.30
頁
1. Summary of 1Q Financial Statements (Consolidated)(1) Operating Results, Financial Conditions ･･･････････････････････････ １(2) Profitability and Per Share Data etc. ･･････････････････････････････ １(3) Capital Expenditures, Depreciation, R&D Expenses ･･･････････････ １(4) Cash Flow ･･･････････････････････････････････････････････････････ ２

2. Operating Activities (Consolidated)(1) Slaes by Equipment ･･･････････････････････････････････････････････ ２(2) Sales by Area in Equipment ･･･････････････････････････････････････ ３(3) Sales by Equipment in Areas ･･････････････････････････････････････ ３

１．Summary of 1Q Financial Statements (Consolidated)(1) Operating Results, Financial Conditions（Units : 100 million yen, %）FY 2011Full-Year (Projections)

FY 2010
1Q
AmountFull-Year%%

Change Amount

1Q
Change Amount%

Change Amount%

ChangeNet Sales

749

100.0 △ 3.5

2,959

100.0 △ 6.0

656

100.0 △ 12.5

3,100

100.0

4.8

Operating Income

25

3.4 △ 32.07

0.3 △ 93.1

3

0.5 △ 87.2

80

2.6

935.9

0.4 △ 89.00

0.1 △ 94.1

80

2.6

519.9

Ordinary Income

12

1.7 △ 68.5

12

Net Income / Loss after Tax(Before income tax for prior periods)

4

0.6 △ 86.3

△ 11

△ 0.4

−

△ 14

△ 2.2

−

33

1.1

−

Net Income / Loss after Tax

4

0.6 △ 86.3

△ 11

△ 0.4

−

△ 23

△ 3.6

−

42

1.4

−

Total Assets

2,175

−

−

1,939

−

−

1,960

−

−

−

−

−

Net Assets

1,369

−

−

1,312

−

−

1,256

−

−

−

−

−

（※） Yen-Dollars / Exchange rate
（Units : Yen / Dollars）
FY 2011Full-Year (Projections)
81.23
83.00

FY 2010
1Q

1Q

Full-Year
85.21

91.28

Average Rate in each Period(2) Profitability and Per Share Data etc.
FY 20101Q

Full-Year

FY 2011Full-Year (Projections)
14.6
16.3

1Q

（％）

17.4

13.6

Operating Income Ratio （％）

3.4

0.3

0.5

2.6

Ordinary Income Ratio （％）

1.7

0.4

0.1

2.6

Gross Profit Ratio

Shareholders' Equity Ratio （％）

62.5

67.1

63.6

−

Net Assets Per Share （yen）

3,991.75

3,813.57

3,653.36−

Net Income Per Share （yen）

12.71△ 34.31△ 68.90123.11Return on Assets

（％）

0.2

△

0.6

△

1.1

−

Return on Shareholders' Equity

（％）

0.3

△

0.9

△

1.8

−

(3) Capital Expenditures, Depreciation, R&D Expenses（Units : 100 million yen, %）FY 2011Full-Year (Projections)

FY 2010Full-Year

1Q
AmountChange30

Capital Expenditures

Amount150.0

1Q

ChangeAmount39.5

60

Change△ 60.012

AmountDepreciation Expenses
R&D

Full-Year

%

10

1.3

31

4.1

Change Amount
0.0
0.0

%

1Q
Change Amount

48

1.6

129

4.4 △ 3.7

−1−

11.6

Change△ 41.735

FY 2011Full-Year (Projections)

FY 2010
1Q

Amount%Change Amount

12

1.8

27

4.1 △ 12.9

20.0

%

Change47

1.5 △ 2.1

140

4.5

8.5

(4) CashFlow（Units : 100 million yen）
FY 2011Full-Year (Projections)74−

FY 20101Q

Full-Year
△

1Q

0

△ 51

Income Before Income Taxes

11

14

0

−

Depreciation Expenses

14

63

16

−

△ 25

△ 128

58

−

Cash flows provided by operating activities

OthersCash flows used in investing activities

101

40

131

−

Free cash flows

101

△ 11

205

−

△ 48

24

△ 34

−

△ 10

△ 16

△

2

−

162

−

Cash flows provided by financing activities

Effect of exchange rate changes oncash and cash equivalents
Net increase in cash and cash△

42

equivalents

2

2．Operating Activities (Consolidated)(1) Sales by Equipment（Units : 100 million yen, %）FY 2011Full-Year (Projections)

FY 2010Full-Year

1Q
AmountAudio Visual Equipment
DVD

%

%

Change Amount

1Q
Change Amount%

Change Amount%

Change492

65.7 △ 18.8

1,986

67.1 △ 15.0

461

70.3 △ 6.2

2,375

70

9.4 △ 42.6

269

9.1 △ 30.3

60

9.2 △ 14.3

206

6.7 △ 23.4

11.9

76.6

19.6

BD

51

6.8

34.2

353

86.8

119

18.1

133.3

456

14.7

29.2

LCD TV

362

48.3

5.5

1,330

44.9 △ 16.6

277

42.2 △ 23.5

1,650

53.2

24.1

Others9

1.2 △ 91.3

34

1.2 △ 79.5

5

0.8 △ 44.4

63

2.0

85.3

Information Equipment

171

22.8

56.0

564

19.1

3.3

87

13.3 △ 49.2

420

13.6 △ 25.5

Others

86

11.5

42.5

409

13.8

52.9

108

16.4

24.6

305

9.8 △ 25.4

Total

749

100.0 △ 3.5

2,959

100.0 △ 6.0

656

100.0 △ 12.5

3,100

−2−

100.0

4.8

(2) Sales by Areas in Equipment（Units : 100 million yen, %）FY 2011Full-Year (Projections)

FY 2010
1Q
AmountFull-Year%%

Change Amount

1Q
Change Amount%

Change Amount%

Change492

65.7 △ 18.8

1,986

67.1 △ 15.0

461

70.3 △ 6.2

2,375

76.6

19.6

North America

331

44.2 △ 39.4

1,289

43.6 △ 34.6

263

40.1 △ 20.5

1,602

51.7

24.3

Europe

30

4.0

30.4

83

2.8 △ 33.6

15

2.4 △ 50.0

144

4.6

73.5

Asia and Others

8

1.1

−

38

1.3

111.1

7

1.0 △ 12.5

59

1.9

55.3

123

16.4

232.4

576

19.4

159.5

176

26.8

43.1

570

18.4 △ 1.0

171

22.8

56.0

564

19.1

3.3

87

13.3 △ 49.2

420

13.6 △ 25.5

North America

66

8.8

65.0

214

7.2

15.7

28

4.3 △ 57.6

216

7.0

Europe

42

5.6

10.5

154

5.2 △ 13.0

15

2.3 △ 64.3

129

4.2 △ 16.2

Asia and Others

58

7.7

107.1

179

6.1

41

6.2 △ 29.3

59

1.9 △ 67.0

Audio Visual Equipment

Japan
Information Equipment

6.5

0.9

Japan

5

0.7

66.7

17

0.6

6.3

3

0.5 △ 40.0

16

0.5 △ 5.9

Others

86

11.5

42.5

409

13.8

52.9

108

16.4

24.6

305

9.8 △ 25.4

Total

749

100.0 △ 3.5

2,959

100.0 △ 6.0

656

100.0 △ 12.5

3,100

100.0

4.8

(3) Sales by Equipment in Areas（Units : 100 million yen, %）FY 2011Full-Year (Projections)

FY 2010
1Q
AmountNorth America

Full-Year%

Change Amount%

1Q
Change Amount%

Change Amount%

Change410

54.7 △ 30.3

1,558

52.6 △ 28.0

298

45.4 △ 27.3

1,825

58.9

17.1

1,289

Audio Visual Equipment33144.2 △ 39.4

43.6 △ 34.6

263

40.1 △ 20.5

1,602

51.7

24.3

Information Equipment

66

8.8

65.0

214

7.2

15.7

28

4.3 △ 57.6

216

7.0

0.9

Others

13

1.7

550.0

55

1.8

511.1

7

1.0 △ 46.2

7

Europe0.2 △ 87.3

72

9.6

18.3

238

8.1 △ 21.830

4.7 △ 57.7

273

8.8

14.7

Audio Visual Equipment

30

4.0

30.4

83

2.8 △ 33.6

15

2.4 △ 50.0

144

4.6

73.5

Information Equipment

42

5.6

10.5

154

5.2 △ 13.0

15

2.3 △ 64.3

129

4.2 △ 16.2

Others

0

0.0

−

1

0.1 △ 66.7

0

0.0

−

0

67

9.0

116.1

221

7.5

12.8

51

7.7 △ 23.9

118

3.8 △ 46.6

Asia and Others

0.0−

Audio Visual Equipment

8

1.1

−

38

1.3

111.1

7

1.0 △ 12.5

59

1.9

Information Equipment

58

7.7

107.1

179

6.1

6.5

41

6.2 △ 29.3

59

1.9 △ 67.0

0.2 △ 66.7

0.1 △ 60.0

0.0

55.3
−

3

0.5

200.0

0

200

26.7

109.2

942

31.8

94.7

277

42.2

38.2

884

28.5 △ 6.2

123

16.4

232.4

576

19.4

159.5

176

26.8

43.1

570

18.4 △ 1.0

Information Equipment

5

0.7

66.7

17

0.6

6.3

3

0.5 △ 40.0

16

0.5 △ 5.9

Others

72

9.6

28.6

349

11.8

41.9

98

14.9

36.1

298

9.6 △ 14.6

100.0 △ 3.5

2,959

100.0 △ 6.0

656

100.0 △ 12.5

3,100

OthersJapan
Audio Visual Equipment

Total

1

749

4

−3−

100.0

4.8

（Company）

FUNAI ELECTRIC CO., LTD.
INVESTOR / RELATIONSDEPARTMENT
7-7-1 Nakagaito Daito-city, Osaka 574-0013, JapanTEL 81-72-870-4395 ･ FAX 81-72-870-4613