MITSUBISHI ELECTRIC CORPORATIONPUBLIC RELATIONS DIVISION
7-3, Marunouchi 2-chome, Chiyoda-ku, Tokyo, 100-8310 JapanFOR IMMEDIATE RELEASE

No. 3167

Investor Relations Inquiries

Media Inquiries

Investor Relations Group, Corporate Finance Division
Mitsubishi Electric Corporation
Cad.Irg@rk.MitsubishiElectric.co.jp

Public Relations Division
Mitsubishi Electric Corporation
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www.MitsubishiElectric.com/news/

Mitsubishi Electric Announces Consolidated Financial Results
for the First 9 Months and Third Quarter of Fiscal 2018TOKYO, February 2, 2018 – Mitsubishi Electric Corporation (TOKYO: 6503) announced today its
consolidated financial results for the first 9 months and third quarter, ended December 31, 2017, of thecurrent fiscal year ending March 31, 2018 (fiscal 2018).
1. Consolidated First 9 Months Results (April 1, 2017 – December 31, 2017)
Net sales:
3,115.0 billion yen (6% increase from the same period last year)
Operating income:
232.4 billion yen (32% increase from the same period last year)
Income before income taxes:
277.2 billion yen (41% increase from the same period last year)
Net income attributable to193.1 billion yen (43% increase from the same period last year)
Mitsubishi Electric Corp.:
In the first 9 months of fiscal 2018, from April through December 2017, the global economy saw a stablestatus in China, a buoyant expansion in the U.S. and gradual trends of recovery in Japan and Europe. In
addition, the yen weakened against the U.S. dollar and the euro in and after May compared to the same
period of the previous fiscal year, but became stronger against the U.S. dollar after the latter half ofNovember.
Under these circumstances, consolidated net sales for the first 9 months of fiscal 2018 increased by 6%
compared to the same period of the previous fiscal year to 3,115.0 billion yen due primarily to increased
sales in the Energy and Electric Systems, Industrial Automation Systems, Electronic Devices and Home
Appliances segments.
Consolidated operating income increased by 32% compared to the same period of the previous
fiscal year to 232.4 billion yen, due to increased profits in the Energy and Electric Systems, Industrial
Automation Systems, Information and Communication Systems and Electronic Devices segments.
Income before income taxes increased by 41% compared to the same period of the previous fiscal
year to 277.2 billion yen, due primarily to an increased operating income, recording a gain from sales ofinvestment securities in Renesas Electronics Corporation, and an improvement of exchange gains and losses.
Net income attributable to Mitsubishi Electric Corporation increased by 43% compared to thesame period of the previous fiscal year to 193.1 billion yen.

1/17

Consolidated Financial Results by Business Segment (First 9 months, Fiscal 2018)
Energy and Electric Systems
Total sales:
805.3 billion yen(3% increase from the same period last year)
Operating income:26.6 billion yen(12.8 billion yen increase from the same period last year)
The social infrastructure systems business saw a decrease in orders from the same period of the previous
fiscal year due primarily to decreases in orders of the power systems business outside Japan as well as thetransportation systems business in Japan, while sales remained substantially unchanged compared to thesame period of the previous fiscal year.
The building systems business remained substantially unchanged in orders, while sales increased
compared to the same period of the previous fiscal year due primarily to growth in the renewal business inJapan and the new installation of elevators and escalators outside Japan.
As a result, total sales for this segment increased by 3% from the same period of the previous
fiscal year. Operating income increased by 12.8 billion yen from the same period of the previous fiscal year
due primarily to a shift in project portfolios.
Industrial Automation Systems
Total sales:
1,070.5 billion yen
Operating income:147.6 billion yen(12% increase from the same period last year)(45.0 billion yen increase from the same period last year)

The factory automation systems business saw increases in both orders and sales from the same period of theprevious fiscal year due primarily to growth in capital expenditures in the fields of organic light emitting
diodes (OLED) mainly in Korea, smartphones and electric cars in China as well as buoyancy in exports bymachinery manufacturers in Japan.
The automotive equipment business saw increases in both orders and sales from the same period of
the previous fiscal year, due primarily to increases in sales volume of Japanese car manufacturers in China,
as well as the weaker yen, despite decreased car sales in North America.
As a result, total sales for this segment increased by 12% from the same period of the previous
fiscal year. Operating income increased by 45.0 billion yen from the same period of the previous fiscal year
due primarily to an increase in sales.
Information and Communication Systems
Total sales:
274.7 billion yen
6.2 billion yen
Operating income:(4% decrease from the same period last year)(1.7 billion yen increase from the same period last year)

The telecommunications equipment business saw decreases in both orders and sales compared to the same
period of the previous fiscal year due primarily to decreased demand in communications infrastructure
equipment.
The information systems and service business saw an increase in sales compared to the same
period of the previous fiscal year, mainly owing to an increase in the system integrations business.
The electronic systems business saw an increase in orders compared to the same period of theprevious fiscal year due to an increase in large-scale projects in the defense systems business, while sales
experienced a decrease compared to the same period of the previous fiscal year due primarily to a shift inlarge-scale projects in the defense systems and the space systems business.
As a result, total sales for this segment decreased by 4% from the same period of the previous
fiscal year. Operating income increased by 1.7 billion yen from the same period of the previous fiscal year
due primarily to a shift in project portfolios.
Electronic Devices
Total sales:
Operating income:149.8 billion yen
12.0 billion yen(10% increase from the same period last year)(6.8 billion yen increase from the same period last year)

The electronic devices business saw an increase in orders from the same period of the previous fiscal year
due to increases in demand for power modules used in consumer and industrial applications, and total sales
increased by 10% compared to the same period of the previous fiscal year, despite a decrease in demand for
optical communication devices.
Operating income increased by 6.8 billion yen compared to the same period of the previous fiscal
year due primarily to an increase in sales.

2/17Home Appliances
Total sales:
Operating income:

779.1 billion yen
49.1 billion yen(4% increase from the same period last year)(8.5 billion yen decrease from the same period last year)

The home appliances business saw an increase in sales of 4% from the same period of the previous fiscal year
due to an increase in sales of air conditioners for Europe, China and the U.S., in addition to the weaker yen.
Operating income decreased by 8.5 billion yen compared to the same period of the previous fiscal
year due primarily to increases in material prices and sales expenses.
OthersTotal sales:
Operating income:

556.6 billion yen
14.9 billion yen(8% increase from the same period last year)(0.3 billion yen decrease from the same period last year)

Sales increased by 8% compared to the same period of the previous fiscal year due primarily to an increasein sales at affiliated companies involved in materials procurement.
Operating income decreased by 0.3 billion yen from the same period of the previous fiscal year
due primarily to a shift in project portfolios.
2. Consolidated Third-quarter Results (October 1, 2017 – December 31, 2017)
Net sales:
1,038.6 billion yen (7% increase from the same period last year)
Operating income:83.1 billion yen (54% increase from the same period last year)
Income before income taxes:
91.9 billion yen (27% increase from the same period last year)
Net income attributable to61.9 billion yen (32% increase from the same period last year)
Mitsubishi Electric Corp.:
Consolidated net sales for this quarter, from October through December 2017, was 1,038.6 billion yen, a 7%
increase from the same period of the previous fiscal year, due to increased sales in all segments.
Consolidated operating income was 83.1 billion yen, an increase of 54% from the same period of
the previous fiscal year, with increased profits in the Energy and Electric Systems, Industrial Automation
Systems, Information and Communication Systems, Electronic Devices and Home appliances segments.
Income before income taxes increased by 27% compared to the same period of the previous fiscal
year to 91.9 billion yen due primarily to an increased operating income despite a decrease of gain on foreignexchange in the same period of the previous fiscal year.
Net income attributable to Mitsubishi Electric Corporation increased by 32% compared to thesame period of the previous fiscal year to 61.9 billion yen.
Consolidated Financial Results by Business Segment (Third Quarter, Fiscal 2018)
Energy and Electric Systems
Total sales:
277.4 billion yen (7% increase from the same period last year)
Operating income:16.5 billion yen (11.9 billion yen increase from the same period last year)
The social infrastructure systems business remained substantially unchanged in orders, while sales increased
compared to the same period of the previous fiscal year due primarily to growth in the power systems
business, the public utility systems business, and the transportation systems in Japan.
The building systems business remained substantially unchanged in orders, while sales increased
compared to the same period of the previous fiscal year due primarily to growth in the renewal business inJapan and the new installation of elevators and escalators outside Japan.
As a result, total sales for this segment increased by 7% from the same period of the previous
fiscal year. Operating income increased by 11.9 billion yen from the same period of the previous fiscal year
due primarily to an increase in sales.

3/17

Industrial Automation Systems
Total sales:
366.8 billion yen
Operating income:52.7 billion yen(10% increase from the same period last year)(12.2 billion yen increase from the same period last year)

The factory automation systems business saw increases in both orders and sales from the same period of theprevious fiscal year due primarily to growth in capital expenditures in the fields of smartphones and electriccars in China, and buoyancy in exports by machinery manufacturers in Japan.
The automotive equipment business saw increases in both orders and sales from the same period of
the previous fiscal year due primarily to increases in sales volume of Japanese car manufacturers in China as
well as the weaker yen, despite decreased car sales in North America.
As a result, total sales for this segment increased by 10% from the same period of the previous
fiscal year. Operating income increased by 12.2 billion yen from the same period of the previous fiscal year
due primarily to an increase in sales.
Information and Communication Systems
Total sales:
89.7 billion yen
3.4 billion yen
Operating income:(3% increase from the same period last year)(2.8 billion yen increase from the same period last year)

The telecommunications equipment business saw decreases in both orders and sales compared to the same
period of the previous fiscal year due primarily to decreased demand in communications infrastructure
equipment.
The information systems and service business saw an increase in sales compared to the same
period of the previous fiscal year, mainly owing to an increase in the system integrations business.
The electronic systems business saw increases in both orders and sales from the same period of theprevious fiscal year due primarily to increases in orders for large-scale projects in the defense systems
business as well as increases in sales by progress in orders already received for projects in the space systems
business.
As a result, total sales for this segment increased by 3% from the same period of the previous
fiscal year. Operating income increased by 2.8 billion yen from the same period of the previous fiscal year
due primarily to a shift in project portfolios.
Electronic Devices
Total sales:
Operating income:50.3 billion yen
5.0 billion yen(2% increase from the same period last year)(1.6 billion yen increase from the same period last year)

The electronic devices business saw an increase in orders from the same period of the previous fiscal year
due to increases in demand for power modules used in industrial and automotive applications, and total sales
increased by 2% compared to the same period of the previous fiscal year, despite a decrease in demand for
optical communication devices.
Operating income increased by 1.6 billion yen compared to the same period of the previous fiscal
year due primarily to an increase in sales.
Home Appliances
Total sales:
Operating income:239.9 billion yen
10.6 billion yen(6% increase from the same period last year)(1.7 billion yen increase from the same period last year)

The home appliances business saw an increase in sales of 6% from the same period of the previous fiscal year
due to an increase in sales of air conditioners for Europe, China and the U.S., in addition to the weaker yen.
Operating income increased by 1.7 billion yen compared to the same period of the previous fiscal
year due primarily to an increases in sales.
OthersTotal sales:
Operating income:

194.2 billion yen
5.1 billion yen(9% increase from the same period last year)(0.7 billion yen decrease from the same period last year)

Sales increased by 9% compared to the same period of the previous fiscal year due primarily to an increasein sales at affiliated companies involved in materials procurement.
Operating income decreased by 0.7 billion yen from the same period of the previous fiscal year
due primarily to a shift in project portfolios.

4/17

Financial Standing
An analysis on the status of assets, liabilities and equity on a consolidated basis
Total assets as of the end of this fiscal quarter increased from the end of the previous fiscal year by 11.7
billion yen to 4,184.0 billion yen. The change in the balance of total assets is mainly attributable to increases
in the balance of inventories by 199.2 billion yen as a result of work-in-process as recorded in commensuratewith progress in job orders under pertinent contracts, while trade receivables decreased by 135.8 billion yen
primarily as a result of credit collection.
Total liabilities decreased from the end of the previous fiscal year by 208.4 billion yen to 1,823.1 billion yen.
The outstanding balances of debts and corporate bonds decreased by 33.4 billion yen from the end of theprevious fiscal year to 318.7 billion yen, resulting in a decline in the ratio of interest bearing debt to total
assets to 7.6%, representing a 0.8 point decrease compared to the end of the previous fiscal year. The
outstanding balance of trade payables decreased by 127.2 billion yen, and retirement and severance benefits
decreased by 21.0 billion yen, mainly resulting from an increase in pension assets following a rise in stock
prices.
Mitsubishi Electric Corporation shareholders’ equity increased by 214.7 billion yen compared to the end of
the previous fiscal year to 2,254.3 billion yen. The shareholders’ equity ratio was recorded at 53.9%,
representing a 5.0 point increase compared to the end of the previous fiscal year. These changes referred toabove primarily result from recording a net income attributable to Mitsubishi Electric Corporation of 193.1
billion yen and accumulated other comprehensive income by 90.9 billion yen caused by such factors as theweaker yen and rising stock prices, despite a dividend payment of 68.6 billion yen.
An analysis on the status of cash flow on a consolidated basis
Cash flows from operating activities decreased by 59.9 billion yen compared to the same period of theprevious fiscal year to 111.5 billion yen (cash in) due primarily to increases of inventories. Cash flows frominvesting activities increased by 29.6 billion yen compared to the same period of the previous fiscal year to120.5 billion yen (cash out) due to increases in proceeds from the purchases of tangible fixed assets andother factors. As a result, free cash flow was 8.9 billion yen (cash out). Cash flows from financing activities
were 116.3 billion yen (cash out) mainly due to dividend payment.

Forecast for Fiscal 2018 (year ending March 31, 2018)
As a result of the weaker yen as well as the growth expected in the Industrial Automation Systems segmentin which it sees an increase in demand for capital expenditures mainly in Asia, the company’s consolidated
earnings forecast for fiscal 2018, ending March 31, 2018, has been revised from the announcement on
October 31, 2017 as stated below.
Consolidated Earnings Forecast for Fiscal 2018
Previous forecast
Consolidated
Current forecast(announced Oct. 31)
Net sales:
4,390.0 billion yen
4,420.0 billion yen (4% increase from fiscal 2017)
Operating income:
315.0 billion yen
325.0 billion yen (20% increase from fiscal 2017)
Income before income taxes:
350.0 billion yen
370.0 billion yen (25% increase from fiscal 2017)
Net income attributable to250.0 billion yen
265.0 billion yen (26% increase from fiscal 2017)
Mitsubishi Electric Corp.:
The exchange rate in the fourth quarter of fiscal 2018 remains unchanged from the previous announcement
at 105 yen to the U.S. dollar, while the exchange rate to the euro has been revised to 125 yen, five yen
weaker than the previous rate.
Note: The results forecast above is based on assumptions deemed reasonable by the Company at the present
time, and actual results may differ significantly from forecasts. Please refer to the cautionary statement at
the end.

5/17

Consolidated Financial Results Summary
1. Consolidated First 9 Months Results(In billions of yen except where noted)
FY ’17 9 months (A) FY ’18 9 months (B)(Apr. 1, 2016 –(Apr. 1, 2017 –Dec. 31, 2016)
Dec. 31, 2017)
Net sales

B–A

B/A
(%)

2,947.1

3,115.0

167.8

106

Operating income

175.5

232.4

56.8

132

Income before income taxes

196.1

277.2

81.0

141

135.3

193.1

57.7

143

63.06 yen

90.00 yen

26.94 yen

143

Net income attributable to
Mitsubishi Electric Corp.
Basic net income per share
attributable to Mitsubishi
Electric Corp.
2. Consolidated Third-quarter Results(In billions of yen except where noted)
FY ’17 Q3 (A)(Oct. 1, 2016 –Dec. 31, 2016)

FY ’18 Q3 (B)(Oct. 1, 2017 –Dec. 31, 2017)

B–A

B/A
(%)

Net sales

974.7

1,038.6

63.9

107

Operating income

53.8

83.1

29.2

154

Income before income taxes

72.4

91.9

19.5

127

46.9

61.9

14.9

132

21.90 yen

28.89 yen

6.99 yen132

Net income attributable to
Mitsubishi Electric Corp.
Basic net income per share
attributable to Mitsubishi
Electric Corp.
Notes:

1) Consolidated financial charts made in accordance with U.S. GAAP.
2) The Company has 204 consolidated subsidiaries.

6/17

Consolidated Profit and Loss Statement (First 9 Months, Fiscal 2018)(In millions of yen)

Net sales
Cost of sales
Selling, general andadministrative expenses
Loss on impairment oflong-lived assets
Operating income
Other income
Interest and dividends
Equity in earnings ofaffiliated companies
Other
Other expenses
Interest
Other
Income before income taxes
Income taxes
Net income
Net income attributable tothe noncontrolling interests
Net income attributable to
Mitsubishi Electric Corp.

FY ’17 9 months(Apr. 1, 2016 –Dec. 31, 2016)
% of
(A)
total
2,947,113
100.0
2,042,322
69.3

FY ’18 9 months(Apr. 1, 2017 –Dec. 31, 2017)
% of
(B)
total
3,115,012
100.0
2,112,607
67.8

B–A

B/A (%)

167,899
70,285106103

727,27024.6

768,464

24.7

41,194

106

1,944

0.1

1,532

0.0

(412)

79

175,577
46,646
6,330

6.0
1.6
0.2

232,40951,587
7,247

7.5
1.6
0.2

56,832
4,941
917

132
111
114

14,351

0.5

15,696

0.5

1,345

109

25,96526,0282,154
23,874
196,195
51,695
144,500

0.9
0.9
0.1
0.8
6.7
1.8
4.9

28,644
6,769
2,044
4,725
277,22775,883201,344

0.9
0.2
0.1
0.1
8.9
2.4
6.5

2,679
(19,259)(110)(19,149)
81,032
24,18856,844

110
26
95
20
141
147
139

9,161

0.3

8,226

0.3

(935)

90

135,339

4.6

193,118

6.2

57,779143

Consolidated Comprehensive Income Statement (First 9 Months, Fiscal 2018)(In millions of yen)

Net income
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments
Pension liability adjustments
Unrealized gains on securities
Unrealized gains (losses) on derivative instruments

Total
Comprehensive income
Comprehensive income attributable tothe noncontrolling interests
Comprehensive income attributable to
Mitsubishi Electric Corp.

7/17

FY ’179 months (A)(Apr. 1, 2016 –Dec. 31, 2016)
144,500

FY ’189 months (B)(Apr. 1, 2017 –Dec. 31, 2017)
201,344(26,781)
23,386
26,519182
23,306
167,806

43,83040,693
10,379(65)
94,837296,181

70,611
17,307(16,140)(247)
71,531
128,375

7,248

12,074

4,826

160,558

284,107

123,549

B–A
56,844

Consolidated Profit and Loss Statement (Third Quarter, Fiscal 2018)(In millions of yen)
FY ’17 Q3(Oct. 1, 2016 –Dec. 31, 2016)

974,759
683,967

% of
total
100.0
70.2

1,038,670
700,366

% of
total
100.0
67.4

236,96224.3

255,191

53,83019,498
2,068

5.5
2.0
0.2

4,828

(A)

Net sales
Cost of sales
Selling, general andadministrative expenses
Operating income
Other income
Interest and dividends
Equity in earnings ofaffiliated companies
Other
Other expenses
Interest
Other
Income before income taxes
Income taxes
Net income
Net income attributable tothe noncontrolling interests
Net income attributable to
Mitsubishi Electric Corp.

FY ’18 Q3(Oct. 1, 2017 –Dec. 31, 2017)
(B)

B–A

B/A (%)

63,911
16,399

107
102

24.6

18,229108

83,113
9,899
2,362

8.0
1.0
0.2

29,283(9,599)
294

154
51
114

0.5

5,729

0.6

901

119

12,602859
592
267
72,46922,53749,932

1.3
0.1
0.1
0.0
7.4
2.3
5.1

1,808
1,028
605
423
91,98427,35464,630

0.2
0.1
0.1
0.0
8.9
2.7
6.2

(10,794)
169
13
156
19,515
4,817
14,698

14
120
102
158
127
121
129

2,935

0.3

2,636

0.2

(299)

90

46,997

4.8

61,9946.0

14,997132

Consolidated Comprehensive Income Statement (Third Quarter, Fiscal 2018)(In millions of yen)

Net income
Other comprehensive income (loss), net of tax
Foreign currency translation adjustments
Pension liability adjustments
Unrealized gains on securities
Unrealized gains on derivative instruments

Total
Comprehensive income
Comprehensive income attributable tothe noncontrolling interests
Comprehensive income attributable to
Mitsubishi Electric Corp.

8/17

FY ’17 Q3 (A)(Oct. 1, 2016 –Dec. 31, 2016)
49,932

FY ’18 Q3 (B)(Oct. 1, 2017 –Dec. 31, 2017)
64,63066,97928,162
46,710224
142,075
192,007

17,16522,824
13,67517
53,681
118,311(49,814)(5,338)(33,035)(207)(88,394)(73,696)

9,844

4,449

(5,395)

182,163

113,862(68,301)

B–A
14,698

Consolidated Balance Sheet(In millions of yen)
FY ’17 (A)(ended Mar.
31, 2017)(Assets)
Current assets
Cash and cash equivalents
Trade receivables
Inventories
Prepaid expenses and other current assets
Long-term trade receivables
Investments
Net property, plant and equipment
Other assets
Total assets(Liabilities)
Current liabilities
Bank loans and current portion of long-term debt
Trade payables
Other current liabilities
Long-term debt
Retirement and severance benefits
Other fixed liabilities
Total liabilities(Equity)
Mitsubishi Electric Corp. shareholders’ equity
Common stock
Capital surplus
Retained earnings
Accumulated other comprehensive income (loss)
Treasury stock at cost
Noncontrolling interests
Total equity
Total liabilities and equity
Balance of Debt
Accumulated other comprehensive income (loss):
Foreign currency translation adjustments
Pension liability adjustments
Unrealized gains on securities
Unrealized gains on derivative instruments

9/17

FY ’ 18
9 months (B)(ended Dec.
31, 2017)

B–A

2,500,685
662,469
1,037,201
643,040
157,975
2,815
618,935
732,611317,224
4,172,270

2,490,034
551,670
902,389
842,281
193,694
1,798
671,641
757,869
262,658
4,184,000(10,651)(110,799)(134,812)
199,241
35,719(1,017)52,70625,258(54,566)
11,7301,525,761
124,368
780,202621,191
227,756
194,990
83,0552,031,562

1,368,433
110,782
652,998
604,653
207,935
173,91172,824
1,823,103(157,328)(13,586)(127,204)(16,538)(19,821)(21,079)(10,231)(208,459)

2,039,627
175,820
212,530
1,654,557(2,052)(1,228)101,0812,140,708
4,172,270

2,254,351
175,820
212,543
1,778,97888,937(1,927)
106,5462,360,897
4,184,000

214,724
13
124,42190,989(699)
5,465
220,189
11,730352,124

318,717(33,407)

18,535(156,993)
136,35254

58,591(116,271)
146,6152

40,056
40,722
10,263(52)

Consolidated Cash Flow Statement(In millions of yen)

Cash flows from operating activities
1 Net income
2 Adjustments to reconcile net income to net cash
provided by operating activities(1) Depreciation of tangible fixed assets and other(2) Decrease in trade receivables(3) Decrease (increase) in inventories(4) Increase (decrease) in trade payables(5) Other, net
Net cash provided by operating activities
II
Cash flows from investing activities
1 Capital expenditure
2 Proceeds from sale of property, plant and equipment
3 Purchase of short-term investments and investment
securities (net of cash acquired)
4 Proceeds from sale of short-term investments andinvestment securities (net of cash disposed)
5 Other, net
Net cash used in investing activities
I+II Free cash flow
III
Cash flows from financing activities
1 Proceeds from long-term debt
2 Repayment of long-term debt
3 Increase (decrease) in bank loans, net
4 Dividends paid
5 Purchase of treasury stock
6 Reissuance of treasury stock
7 Other, net
Net cash provided by (used in) financing activities
IV
Effect of exchange rate changes on cash and cash
equivalents
V
Net increase (decrease) in cash and cash equivalents
VI
Cash and cash equivalents at beginning of periodVII
Cash and cash equivalents at end of period

FY ’17 9 months(Apr. 1, 2016 –Dec. 31, 2016)(A)

FY ’18 9 months(Apr. 1, 2017 –Dec. 31, 2017)(B)

144,500

201,344

56,844

101,452
149,645(118,535)(60,735)(44,790)
171,537

111,271
152,385(181,672)(117,293)(54,491)
111,544

9,819
2,740
(63,137)(56,558)(9,701)(59,993)(114,351)
6,194(135,221)
2,204(20,870)(3,990)(3,906)(6,701)(2,795)

19,181

29,72910,5482,017(90,865)
80,672(10,524)(120,513)(8,969)(12,541)(29,648)(89,641)

147(33,074)(652)(57,963)(1,096)0(5,154)(97,792)180(36,710)(2,998)(68,696)(699)
0(7,419)(116,342)

33(3,636)(2,346)(10,733)397(0)(2,265)(18,550)(2,598)14,512

17,110(19,718)
574,170
554,452(110,799)
662,469
551,670(91,081)
88,299(2,782)

B–A

I

10/17

Consolidated Segment Information (First 9 Months, Fiscal 2018)
1. Sales and Operating Income by Business Segment(In millions of yen)

Business Segment

Energy and Electric Systems
Industrial Automation
Systems
Information andCommunication Systems

FY ’17 9 months
FY ’18 9 months(Apr. 1, 2016 –(Apr. 1, 2017 –Dec. 31, 2016)
Dec. 31, 2017)
OperatingOperatingSales (A)Sales (C)income (D)income (B)784,744
13,758805,347
26,639

C–A

D–B

C/A
(%)

20,603

12,881

103

951,988

102,569

1,070,518

147,608

118,530

45,039112285,4624,451

274,789

6,249(10,673)

1,798

96

135,850
746,404

5,116
57,625

149,860
779,163

12,00049,11814,01032,7596,884(8,507)

110
104

OthersSubtotal

514,5713,419,019

15,297
198,816

556,657
3,636,334

14,997
256,61142,086217,315(300)
57,795108
106

Eliminations and otherTotal(471,906)
2,947,113(23,239)
175,577(521,322)
3,115,012(24,202)
232,409(49,416)
167,899(963)
56,832

106

Electronic Devices
Home Appliances*Note: Inter-segment sales are included in the above chart.

2. Sales and Operating Income by Location(In millions of yen)
FY ’17 9 months(Apr. 1, 2016 –Dec. 31, 2016)
OperatingSales (A)income (B)FY ’18 9 months(Apr. 1, 2017 –Dec. 31, 2017)
OperatingSales (C)income (D)

C–A

D–B

C/A
(%)

2,325,814

86,041

2,427,796

141,524

101,982

55,483

104

North America

302,591

4,809

306,163

8,543

3,572

3,734

101

Asia (excluding Japan)

756,770

69,912880,208

71,866

123,438

1,954

116

Europe313,419

11,023352,851

11,42639,432

403

113

Others33,751

1,740

37,908

1,950

4,157

210

112

Subtotal

3,732,345

173,525

4,004,926

235,309

272,581

61,784107

Eliminations(785,232)

2,052(889,914)(2,900)(104,682)(4,952)-

Total

2,947,113

175,577

3,115,012

232,409

167,899

56,832106

Location

Japan*Note: Inter-segment sales are included in the above chart.

11/17

3. Sales by Location of Customers(In millions of yen)

Location of Customers

Japan
North AmericaAsia(excluding Japan)
EuropeOthersTotal overseas sales
Consolidated total

FY ’17 9 months(Apr. 1, 2016 –Dec. 31, 2016)% of total
Sales (A)net sales
1,616,573
54.9

FY ’18 9 months(Apr. 1, 2017 –Dec. 31, 2017)% of total
Sales (B)net sales
1,625,632
52.2

B–A

B/A (%)

9,059

101

304,670

10.3

306,423

9.8

1,753

101

680,07423.1

803,635

25.8

123,561118

286,728
59,0689.7
2.0

319,11360,20910.3
1.932,385
1,141

111
102

1,330,540
2,947,113

45.1
100.0

1,489,380
3,115,012

47.8
100.0

158,840
167,899

112
106

12/17

Consolidated Segment Information (Third Quarter, Fiscal 2018)
1. Sales and Operating Income by Business Segment(In millions of yen)

Business Segment

Energy and Electric
Systems

FY ’17 Q3(Oct. 1, 2016 –Dec. 31, 2016)
OperatingSales (A)income (B)FY ’18 Q3(Oct. 1, 2017 –Dec. 31, 2017)
OperatingSales (C)income (D)

C–A

D–B

C/A
(%)

259,273

4,576

277,461

16,53018,188

11,954

107

334,368

40,458366,80252,72932,434

12,271

110

87,196583

89,750

3,447

2,554

2,864

103

49,313
227,007

3,342
8,957

50,328239,913

5,030
10,658

1,015
12,906

1,688
1,701

102
106

OthersSubtotal

177,800
1,134,957

5,902
63,818194,264
1,218,518

5,181
93,575

16,464
83,561(721)
29,757

109
107

Eliminations and other
Total(160,198)
974,759(9,988)53,830(179,848)
1,038,670(10,462)
83,113(19,650)
63,911(474)
29,283

107

Industrial Automation
Systems
Information andCommunication Systems
Electronic Devices
Home Appliances*Note: Inter-segment sales are included in the above chart.

2. Sales and Operating Income by Location(In millions of yen)

Location

FY ’17 Q3(Oct. 1, 2016 –Dec. 31, 2016)
OperatingSales (A)income (B)FY ’18 Q3(Oct. 1, 2017 –Dec. 31, 2017)
OperatingSales (C)income (D)

C–A

D–B

C/A
(%)

Japan

785,379

37,679825,868

61,45640,48923,777105

North America

98,735689

96,816731(1,919)42

98

Asia (excluding Japan)

250,617

20,642289,230

21,727

38,613

1,085

115Europe100,356

2,380

115,658

2,492

15,302

112

115

Others

11,732863

15,056

1,039

3,324

176

128

Subtotal

1,246,819

62,253

1,342,628

87,44595,80925,192108

Eliminations(272,060)(8,423)(303,958)(4,332)(31,898)

4,091

-

Total

974,759

53,8301,038,670

83,11363,911

29,283107*Note: Inter-segment sales are included in the above chart

13/17

3. Sales by Location of Customers(In millions of yen)

Location of Customers

Japan
North AmericaAsia(excluding Japan)
EuropeOthersTotal overseas sales
Consolidated total

FY ’17 Q3(Oct. 1, 2016 –Dec. 31, 2016)% of total
Sales (A)net sales
534,678
54.9

FY ’18 Q3(Oct. 1, 2017 –Dec. 31, 2017)% of total
Sales (B)net sales
549,194
52.9

B–A

B/A (%)

14,516

103

101,932

10.4

97,671

9.4(4,261)

96

229,080

23.5

263,447

25.3

34,367

115

90,282
18,7879.3
1.9104,790
23,56810.1
2.3

14,508
4,781

116
125

440,081974,759

45.1
100.0

489,476
1,038,670

47.1
100.0

49,39563,911

111
107

Cautionary Statement
The Mitsubishi Electric Group (hereafter “the Group”) is involved in development, manufacture and sales ina wide range of fields including Energy and Electric Systems, Industrial Automation Systems, Information
and Communication Systems, Electronic Devices and Home Appliances, and these operations extend
globally, not only inside Japan, but also in North America, Europe, Asia and other regions. While thestatements herein are based on certain assumptions and premises that the Group trusts and considers to bereasonable under the circumstances on the date of announcement, actual financial standings and operating
results are subject to change due to any of the factors as contemplated hereunder and/or any additional factor
unforeseeable as of the date of this announcement. Such factors materially affecting the expectations
expressed herein shall include but are not limited to the following:(1) Important trends
The Group’s operations may be affected by trends in the global economy, social conditions, laws, tax
codes and regulations.
(2) Foreign currency exchange rates
Fluctuations in foreign currency markets may affect the Group’s sales of exported products and purchasesof imported materials that are denominated in U.S. dollars or euros, as well as its Asian production bases’
sales of exported products and purchases of imported materials that are denominated in foreign currencies.
(3) Stock markets
A fall in stock market prices may cause the Group to record devaluation losses on marketable securities, orcause an increase in retirement benefit obligations in accordance with a decline in the fair value of pension
assets.
(4) Supply/demand balance for products and procurement conditions for materials and components
A decline in prices and shipments due to changes in the supply/demand balance, as well as an increase inmaterial prices due to a worsening of material and component procurement conditions, may adversely
affect the Group’s performance.
(5) Fund raising
An increase in interest rates, the yen interest rate in particular, would increase the Group’s interest
expenses.
(6) Significant patent matters
Important patent filings, licensing, copyrights and patent-related disputes may adversely affect related
businesses.
(7) Environmental legislation or relevant issues
The Group may incur losses or expenses owing to changes in environmental legislation or the occurrenceof environmental issues. Such changes in legislation or the occurrence of environmental issues may also
impact manufacturing and all corporate activities of the Group.

14/17

(8) Flaws or defects in products or services
The Group may incur losses or expenses resulting out of flaws or defects in products or services, and thelowered reputation of the quality of all its products and services may affect the entire Group.
(9) Litigation and other legal proceedings
The Group’s operations may be affected by lawsuits or other legal proceedings against Mitsubishi Electric,
its subsidiaries and/or equity-method affiliated companies.
(10) Disruptive changes
Disruptive changes in technology, development of products using new technology, timing of production
and market introduction may adversely affect the Group’s performance.
(11) Business restructuring
The Group may record losses due to restructuring measures.
(12) Information security
The performance of the Group may be affected by computer virus infections, unauthorized access andother unpredictable incidents that lead to the loss or leakage of personal information held by the Groupor confidential information regarding the Group’s business such as its technology, sales and otheroperations.
(13) Natural disasters
The Group’s operations, particularly manufacturing activities, may be affected by the occurrence ofearthquakes, typhoons, tsunami, fires and other large-scale disasters.
(14) Other significant factors
The Group’s operations may be affected by the outbreak of social or political upheaval due to terrorism,
war, pandemic by new strains of influenza and other diseases, or other factors.
Notes
1. Change in the accounting policy
On April 1, 2017, the Company adopted Accounting Standards Update 2015-17 "Balance SheetClassification of Deferred Taxes" issued by the Financial Accounting Standards Board. To reflect thisadoption, all deferred tax assets and liabilities have been classified as noncurrent in the consolidated balance
sheets and subsequently, deferred tax assets and liabilities in the same tax-paying component or tax
jurisdiction were offset. The consolidated balance sheet as of March 31, 2017 has been reclassified to reflect
this adoption and accordingly, deferred tax assets previously included in 'Prepaid expenses and other current
assets' and deferred tax liabilities previously included in 'Other liabilities' have been reclassified as 'Other
assets'.
###About Mitsubishi Electric Corporation
With over 90 years of experience in providing reliable, high-quality products, Mitsubishi Electric
Corporation (TOKYO: 6503) is a recognized world leader in the manufacture, marketing and sales ofelectrical and electronic equipment used in information processing and communications, space development
and satellite communications, consumer electronics, industrial technology, energy, transportation andbuilding equipment. Embracing the spirit of its corporate statement, Changes for the Better, and its
environmental statement, Eco Changes, Mitsubishi Electric endeavors to be a global, leading green company,
enriching society with technology. The company recorded consolidated group sales of 4,238.6 billion yen(US$ 37.8 billion*) in the fiscal year ended March 31, 2017. For more information visit:
http://www.MitsubishiElectric.com*At an exchange rate of 112 yen to the US dollar, the rate given by the Tokyo Foreign Exchange Market on
March 31, 201715/17

【Supplementary Materials】
February 2, 2018
Mitsubishi Electric Corporation

Fiscal 2018 Third-quarter Consolidated Results

1. Financial Results
2. Net Sales and Operating Income by Segment
3. Overseas Net Sales by Segment
4. Foreign Exchange Rates for Recording Net Sales andImpact of Exchange Rate Fluctuations on Net Sales

16/17

FY ’17: Apr. 1, 2016 – Mar. 31, 2017
FY ’18: Apr. 1, 2017 – Mar. 31, 2018
1. Financial Results(Consolidated)(Billions of yen, year-on-year % change)

FY ’17
1st Half(Actual)
Net sales

Q3(Actual)FY ’189 months(Actual)

Full Year(Actual)

1st Half(Actual)Q3(Actual)

9 months(Actual)(+7) 3,115.0

Full Year(Forecast)

1,972.3

(-4)

974.7

(-5) 2,947.1(-5) 4,238.6(-4) 2,076.3(+5) 1,038.6

Operating income

121.7

(-4)

53.8

(-33)

175.5

(-15)

270.1

(-10)

149.2

(+23)

83.1 (+54)

232.4 (+32)(+6) 4,420.0

325.0 (+20)(+4)

Income before income taxes

123.7

(-7)

72.4

(-15)

196.1

(-10)

296.2

(-7)

185.2

(+50)

91.9 (+27)

277.2 (+41)

370.0 (+25)

Net income attributable to
Mitsubishi Electric Corp.

88.3

(-5)

46.9

(-22)

135.3

(-11)

210.4

(-8)

131.1

(+48)

61.9 (+32)

193.1 (+43)

265.0 (+26)

Figures in parentheses in the right column indicate change from the previous corresponding period

2. Net Sales and Operating Income by Segment(Billions of yen, year-on-year % change)

FY ’17
1st Half(Actual)Energy and Electric
Systems

Net Sales

525.4

Q3
(Actual)(0)

9.1 (+143)

FY ’189 months(Actual)

259.2

(-9)

Full Year(Actual)

784.7(-3) 1,227.9(-3)

1st Half(Actual)
527.8

(0)

Q3
(Actual)

9 months(Actual)

277.4

805.3

(+7)

Full Year(Forecast)(+3) 1,240.0

4.5

(-69)

13.7

(-25)

44.3

(-12)

10.1

(+10)

16.5 (+261)

Industrial Automation
Systems
Operating Income

617.6

(-7)

334.3

(+2)

951.9

(-4) 1,310.1

(-1)

703.7

(+14)

366.8 (+10) 1,070.5 (+12) 1,440.0 (+10)

62.1

(-26)

40.4

(-6)

102.5

(-19)

140.0

(-12)

94.8

(+53)

52.7 (+30)

147.6 (+44)

190.0 (+36)

Information andCommunication
Systems

274.7

450.0

Operating Income
Net Sales

Electronic Devices

Home Appliances

Net Sales

198.2

(-12)

87.1

(-38)

285.4

(-22)

447.7

(-20)

185.0

(-7)

89.7

(+3)

3.8

(-)

0.5

(-93)

4.4

(0)

12.7

(-15)

2.8

(-28)

3.4

(+491)

6.2 (+40)

Net Sales

86.5

(-30)

49.3 (+15)

135.8

(-18)

186.5

(-12)

99.5

(+15)

50.3

(+2)

149.8 (+10)

200.0

Operating Income

1.7

(-89)

3.3 (+28)

5.1

(-73)

8.3

(-50)

6.9 (+293)

5.0 (+51)

12.0 (+135)

13.0 (+55)

Net Sales

519.3

(+2)

227.0

(+3)

746.4

(+2) 1,004.4

(+2)

539.2

(+4)

239.9

48.6 (+47)

8.9

(-40)

57.6 (+20)

69.6

(+9)

38.4

(-21)

10.6 (+19)

49.1 (-15)

57.0 (-18)

(-1)

177.8

(+4)

514.5

(+1)

713.6

(+1)

362.3

(+8)

194.2

(+9)

556.6

(+8)

750.0

(+5)

9.3 (+28)

5.9

(-7)

15.2 (+12)

23.2

(-2)

9.8

(+4)

5.1 (-12)

14.9

(-2)

23.0

(-1)

(+6) 5,120.0(+5)

Operating Income

Operating Income

Subtotal

Eliminations and other

Consolidated total

336.7

Net Sales

2,284.0

Operating Income

134.9

Net Sales-311.7(-4) 1,134.9(-4) 3,419.0(-4) 4,890.3(-3) 2,417.8(+6) 1,218.5

(-4)

(-29)

(-14)

(-9)

(+21)

63.8
-160.1198.8-471.9298.3-651.7163.0-341.4

(+6)

779.1

(+7) 3,636.3

93.5 (+47)-179.8(-4)

57.0 (+29)

Operating Income

Net Sales

Others26.6 (+94)(+1)

15.0 (+18)(+4) 1,040.0-521.3-700.0

-13.2

-9.9

-23.2

-28.2

-13.7

-10.4

-24.2

-30.0

1,972.3

(-4)

974.7

(-5) 2,947.1(-5) 4,238.6(-4) 2,076.3(+5) 1,038.6(+7) 3,115.0(+6) 4,420.0

Operating Income

121.7

(-4)

53.8

(-33)

(-15)

(-10)

(+23)

149.2

(+4)

355.0 (+19)

Net Sales

270.1

(+7)

256.6 (+29)

Operating Income

175.5

(+1)

83.1 (+54)

232.4 (+32)(+4)

325.0 (+20)

3. Overseas Net Sales by Segment(Billions of yen, year-on-year % change)

FY ’18

FY ’17
1st Half(Actual)Q3(Actual)

9 months(Actual)

Full Year(Actual)

1st Half(Actual)Q3(Actual)

9 months(Actual)Energy and Electric Systems

197.3

(-11)

97.3

(-14)

294.7

(-12)

419.6

(-9)

202.6

(+3)

102.5

Industrial Automation Systems

357.4

(-9)

196.0

(+9)

553.4

(-3)

766.1

(+1)

430.8

(+21)

217.4 (+11)

648.3 (+17)

Information and Communication Systems

5.4

(-56)

1.7

(-93)

7.1

(-81)

11.2

(-76)

5.6

(+3)

3.0 (+73)

8.6 (+20)

Electronic Devices

46.9

(-10)

27.6 (+20)

74.5

(-1)

102.0

(+4)

57.0

(+22)

29.1

(+5)

86.2 (+16)

Home Appliances

275.8

(+1)

112.4

388.3

(+2)

518.2

(+4)

294.3

(+7)

132.2 (+18)

426.5 (+10)

7.4

(+2)

9.2

(+24)

890.4

(-7)

999.9

(+12)

OthersConsolidated total
Ratio of overseas net sales to total sales(+6)

4.7 (+36)
440.0

45.1%

12.2 (+13)(-3) 1,330.5
45.1%

15.7 (+11)(-6) 1,833.1
45.1%

(-2)

5.0

(+6)

305.2

(+4)

14.3 (+17)

489.4 (+11) 1,489.3 (+12)

48.2%

43.2%

(+5)

Full Year(Forecast)

47.1%

47.8%

4. Foreign Exchange Rates for Recording Net Sales and Impact of Exchange Rate Fluctuations on Net Sales
FY ’17
1st Half(Actual)Average exchange rates

Impact of exchange rate
fluctuations on net sales

Q3(Actual)FY ’18Full Year(Actual)

1st Half(Actual)Q3(Actual)Q4(Forecast)

US$

¥105

¥111

¥109

¥111

¥113

¥105

Euro

¥118

¥119

¥119

¥128

¥133

¥125

Consolidated total

About ￥127.0
About ￥41.0
billion decrease billion decrease

About ￥186.0
About ￥47.0
About ￥23.0
billion decrease billion increase billion increase

US$

About ￥31.0
About ￥9.0
billion decrease billion decrease

About ￥44.0
About ￥10.0
About ￥3.0
billion decrease billion increase billion increaseEuro

About ￥25.0
About ￥6.0
billion decrease billion decrease

About ￥35.0
About ￥13.0
About ￥8.0
billion decrease billion increase billion increase

The average exchange rates represent the exchange rates applied for calculating profits and losses of foreign subsidiaries and affiliated companies in the consolidated statements.

17/17