Canon Electronics Inc.
Annual Report 2019(Unaudited)
Consolidated Financial Highlights
Millions of yen（Amounts less than one million yen are truncated）
FY2018FY2019(from January 1, 2018(from January 1, 2019
to December 31, 2018)
to December 31, 2019)
Net sales
Component

51,07548,366

Electronic Information Appliance

29,48829,930Other

10,203

10,861

Total

90,767

89,158

Profit attributable to owners of parent

7,106

6,116

FY2018(from January 1, 2018
to December 31, 2018)

FY2019(from January 1, 2019
to December 31, 2019)

Basic earnings per share

174.12 yen

149.82yenDiluted earnings per share――

Millions of yen（Amounts less than one million yen are truncated）
As of December 31, 2018

As of December 31, 2019

Total assets

112,997

115,237

Net assets

91,591

95,348―1―

Consolidated Balance Sheets
Millions of yen（Amounts less than one million yen are truncated）
As of December 31, 2018
AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade
Lease investment assets
Merchandise and finished goods
Work in process
Raw materials and supplies
Short-term loans receivable
Other
Allowance for doubtful accounts
Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures
Accumulated depreciation
Buildings and structures, net
Machinery, equipment and vehicles
Accumulated depreciation
Machinery, equipment and vehicles, net
Tools, furniture and fixtures
Accumulated depreciation
Tools, furniture and fixtures, net
Land
Leased assets
Accumulated depreciation
Leased assets, net
Construction in progress
Total property, plant and equipment
Intangible assets
Investments and other assets
Investment securities
Deferred tax assets
Other
Allowance for doubtful accounts
Total investments and other assets
Total non-current assets
Total assets―2―

As of December 31, 2019

19,04323,328
270
1,292
4,099
103
25,0001,797
74,934

21,282
23,140
654
1,270
4,216
177
23,0001,918△075,66031,988△21,063
10,92522,012△19,5212,491
18,611△15,519
3,091
15,0946△42621
32,226
1,589

32,602△21,846
10,75522,626△19,623
3,003
18,199△15,198
3,001
15,907
30
△15
15
1,003
33,686
1,696

1,421
2,150
674
△0
4,246
38,062112,997

1,895
1,550748△04,194
39,577
115,237

Consolidated Balance Sheets
Millions of yen（Amounts less than one million yen are truncated）
As of December 31, 2018
Liabilities
Current liabilities
Accounts payable - trade
Electronically recorded obligations - operating
Lease obligations
Accrued expenses
Income taxes payable
Provision for bonuses
Provision for bonuses for directors (and other officers)
Provision for loss on order received
Other
Total current liabilities
Non-current liabilities
Provision for retirement benefits for directors (and other officers)
Retirement benefit liabilityDeferred tax liabilities
Other
Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Accumulated other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustment
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets―3―

As of December 31, 201911,473
54492
1,384
1,436
378
29264
1,402
17,00810,637
563
212
1,335
1,081
488
26
23
2,335
16,707

221
3,970
30
175
4,398
21,406

221
2,480
24
455
3,181
19,8894,969
9,602
80,361△2,582
92,3504,969
9,602
83,185△2,547
95,210262
413△2,858△2,181
1,421
91,591
112,997352
337△1,718△1,028
1,166
95,348115,237

Consolidated Statements of Income
Millions of yen（Amounts less than one million yen are truncated）
FY2018(from January 1, 2018
to December 31, 2018)
Net sales
Cost of sales
Gross profit
Selling, general and administrative expensesOperating profit
Non-operating income
Interest and dividend income
Subsidy income
Other
Total non-operating income
Non-operating expenses
Foreign exchange losses
OtherTotal non-operating expenses
Ordinary profit
Extraordinary income
Gain on sales of non-current assets
Gain on sales of shares of subsidiaries
Gain on sales of investment securities
Total extraordinary income
Extraordinary losses
Loss on sales and retirement of non-current assets
Special retirement expenses
Total extraordinary losses
Profit before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitLoss attributable to non-controlling interests
Profit attributable to owners of parent―4―FY2019(from January 1, 2019
to December 31, 2019)

90,76770,345
20,422
10,916
9,505

89,15870,291
18,866
10,785
8,081

78
26
51
155

92
16
36
144

152
6
159
9,502

143
9
152
8,073

16
75
8
100

13
0
13

15
15
9,587
2,373
172
2,546
7,041
△65
7,106

11
109
120
7,965
2,023
80
2,104
5,861
△255
6,116

Consolidated Statements of Comprehensive Income
Millions of yen（Amounts less than one million yen are truncated）
FY2018(from January 1, 2018
to December 31, 2018)
Profit7,041

FY2019(from January 1, 2019
to December 31, 2019)
5,861

Other comprehensive income
Valuation difference on available-for-sale securities△8589

Foreign currency translation adjustment

△110

△76

Remeasurements of defined benefit plans, net of tax△1,338

1,139

Total other comprehensive income△1,533

1,152

5,507

7,014

Comprehensive income attributable to owners of parent

5,573

7,269

Comprehensive income attributable to non-controlling interests

△65

△255

Comprehensive income
Comprehensive income attributable to―5―

Consolidated Statements of Shareholders' Equity
FY2018(from January 1, 2018 to December 31, 2018)
Millions of yen（Amounts less than one million yen are truncated）
Shareholders' Equity
Capitalstock

Balance at beginning of current period

Capitalsurplus

4,969

Retainedearnings

9,595

Total
shareholders'equity

Treasuryshares76,519△2,58088,503

Changes of items during period
Dividends of surplus
Profit attributable to owners of parent△3,265△3,265

7,106

7,106
△1

Purchase of treasury shares
7

Capital increase of consolidated subsidiaries

7―Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of current period△1―73,841△13,847

4,969

9,602

80,361△2,582

92,350

Accumulated other comprehensive income

Valuationdifference on
available-forsale securities

Balance at beginning of current period

Foreigncurrencytranslation
adjustment

348

524

TotalRemeasurem
accumulated
ents ofother
definedcomprehensiv
benefit planse income△1,520△648

Noncontrollinginterests

129

Total
net assets

87,985

Changes of items during period
Dividends of surplus―△3,265

Profit attributable to owners of parent

―

7,106

Purchase of treasury shares―△1

Capital increase of consolidated subsidiaries―

7Net changes of items other than shareholders' equity

△85

△110

△1,338△1,533

1,292

△241

Total changes of items during period

△85

△110

△1,338△1,533

1,292

3,605

262413△2,858△2,181

1,421

91,591

Balance at end of current period―6―Consolidated Statements of Shareholders' Equity
FY2019(from January 1, 2019 to December 31, 2019)

Millions of yen（Amounts less than one million yen are truncated）
Shareholders' Equity
CapitalstockBalance at beginning of current period

Capitalsurplus

4,969

Retainedearnings

9,602

80,361△2,582△24

Cumulative effects of changes in accounting policies
Restated balance

Totalshareholders'equity

Treasuryshares

4,969

9,602

80,33692,350△24△2,582

92,326

Changes of items during period
Dividends of surplus
Profit attributable to owners of parent△3,265△3,265

6,116

6,116

Purchase of treasury shares△1

Disposal of treasury shares
Transfer to capital surplus from retained earnings△0△03534―△11―

Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of current period―△02,849

35

2,884

4,969

9,602

83,185△2,547

95,210

Accumulated other comprehensive income

Valuationdifference on
available-forsale securities

Balance at beginning of current period

262

Foreigncurrencytranslation
adjustment

TotalRemeasurem
accumulated
ents ofotherdefinedcomprehensiv
benefit planse income

413△2,858

1,421―

Cumulative effects of changes in accounting policies
Restated balance△2,181

Noncontrollinginterests

262413△2,858△2,181Total
net assets

91,591△24

1,421

91,566

Changes of items during period
Dividends of surplus―△3,265Purchase of treasury shares―△0

Disposal of treasury shares―

34

Transfer to capital surplus from retained earnings――

Net changes of items other than shareholders' equity
Total changes of items during period
Balance at end of current period

89

△76

1,139

1,152

△255

897

89

△76

1,139

1,152

△255

3,781

352

337

△1,718△1,028

1,166

95,348―7―

Consolidated Statements of Cash Flows
Millions of yen（Amounts less than one million yen are truncated）
FY2018FY2019(from January 1, 2018(from January 1, 2019
to December 31, 2018) to December 31, 2019)
Cash flows from operating activities
Profit before income taxes
Depreciation
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for bonuses for directors (and other officers)
Increase (decrease) in provision for loss on order received
Increase (decrease) in retirement benefit liability
Interest and dividend income
Loss (gain) on sales and retirement of property, plant and equipment
Loss (gain) on sales and valuation of investment securities
Loss (gain) on sales of shares of subsidiaries
Decrease (increase) in notes and accounts receivable - trade
Decrease (increase) in inventories
Increase (decrease) in notes and accounts payable - trade
Other, net
SubtotalInterest and dividend income received
Income taxes paid
Net cash provided by (used in) operating activities
Cash flows from investing activities
Purchase of property, plant and equipment
Proceeds from sales of property, plant and equipment
Purchase of intangible assetsProceeds from sales of shares of subsidiaries resulting in change in scope of consolidation
Purchase of investment securities
Proceeds from sales of investment securities
Payments of loans receivableCollection of loans receivable
Other, net
Net cash provided by (used in) investing activities
Cash flows from financing activities
Cash dividends paid
Proceeds from share issuance to non-controlling shareholders
Other, net
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents
Net increase (decrease) in cash and cash equivalentsCash and cash equivalents at beginning of period
Cash and cash equivalents at end of period

―8―

9,587
2,751
26△3253△1,084△78△0△8△75
17△1,410
△912
192
9,254
77
△2,139
7,192

7,965
2,530
110
△3△241
△637
△92
△1△0
166
△169
△803
1,481
10,30692△2,3508,048△2,770
46
△327
104
△502
8
△10,000
735
144△12,560△3,792
14
△357
△347
1
△3,0005,000△170△2,652△3,2691,365△1△1,905△86△7,36026,134
18,773△3,26435△3,229△72,158
18,77320,932