Pioneer announced its sales grew in car electronics to just shy of $3 billion while profits in car electronics fell 12 percent for the full year ended March 31.
In addition, the company identified its growth plans, which includes entering driver safety technology for autonomous driving.
For car electronics, sales grew by 2 percent to $2.98 billion in 2015 from $2.9 billion in 2014 (357 billion yen v. 348.7 billion yen). But net income fell from $103.5 million in 2014 to $91.5 million in 2015.
Consumer sales of car radios and car navigation increased in North America during the year as did OEM sales. Profits, however, fell globally in car electronics due to a higher cost of doing business (SG&A or selling, general and administrative expenses) and also due mainly to the fall in the value of the Japanese yen, which dropped almost 9 percent against the dollar over the year.
The company outlined plans for the future which includes autonomous driving technology and V2V or V2I (vehicle to vehicle or vehicle to infrastructure) communication technology. Pioneer said it is accelerating efforts to “strengthen the information service business and develop highly precise map data and danger prediction technologies with a view to automated driving, that realize in-vehicle safety and reliability by connected cars with networks.”
In its OEM business, it plans to “strengthen our ability to provide solutions and reinforce mainly the key modules that comprise the area around the driver’s seat, make a full-scale entry into the car speaker business, thereby expanding our business with existing customers and acquire new customers…”
Pioneer is also developing new businesses around its OLED lighting and medical and health care related businesses.
Overall sales for Pioneer in all categories including Home Electronics totaled $4.17 billion, up 0.7 percent for the year, while net income soared to $121.8 million from $4.4 million last year due to a gain from the sale of Pioneer’s DJ business. This offset a decline in operating income of 30 percent for the year.
For the coming year, Pioneer forecasts an overall net income of $8 million with a 3 percent decline in sales to $4.05 billion.