JVCKenwood and Alpine reported lower profits for the first half compared to a year ago, although Alpine saw an increase in automotive sector sales.
For Alpine, overall net sales increased by one percent and operating income fell by 29 percent.
Alpine’s Automotive Infotainment Segment
Net sales increased by 10 percent and operating income decreased by 23 percent.
For the U.S., sales of navigation systems decreased, but automotive infotainment sales remained unchanged due to increases in sales of displays, amplifiers and speakers.
Japanese sales of navigation systems were strong and overseas sales were unchanged.
In the OEM market, navigation sales to European automakers were strong.
JVCKenwood for the first half saw sales decline by 1.6 percent to $1.35 billion (146.7 billion yen), and profits fall to $11 million, down from $16 million a year ago. Operating profits fell to $29.3 million, down from $32.3 million for the first half ended September 30.
JVCKenwood Automotive Sector
Sales in the Automotive sector fell due to a drop in OEM business and due to a slowdown in China’s economy. Operating profit fell due to lower OEM sales. Automotive sales totaled $721 million for the first half compared to $793 million a year ago. Operating income fell to $14.7 million compared to $38.5 million a year ago.
For the full fiscal year ending March 2020, JVCKenwood is predicting sales of $2.86 billion, up slightly from last year at $2.83 billion. Operating income is expected to reach $68.2 million, up from $67.2 million and profits should hit $36.8 million, up from $35 million last year.