JVCKenwood and Alps Alpine reported sales and earnings for the nine month period ending December 31, 2022.
JVCKenwood reported strong results, with its sales in the Mobile & Telematics sector (including infotainment) gaining to $1 billion, (148.4 billion yen), up from $839 million the year prior. Operating income for the sector was $32 million, compared to an operating loss of $9.8 million a year ago.
The company warned that despite strong sales it is not revising upward its forecast for its full fiscal year in this segment. It said, “market inventories have increased considerably, not only for car products but also for TVs and other products. Therefore, the Q4 [calendar Q1 2003] could be a period of inventory adjustment, so we are taking a cautious outlook. That is also why we did not change our full-year forecast for the M&T sector.”
Sales for the entire JVCKenwood corporation rose to $1.86 billion (247.5 billion yen) up from $1.46 billion a year ago. Operating income rose to $84 million, up from $2 million a year ago. Net income soared to $117 million, up from $3.8 million a year ago.
As a result, JVCKenwood raised its corporate guidance for the full year ended April 1, 2023 to an expected $2.5 billion in sales up from $2.48 billion projected last October and $2.25 billion originally forecast last April. It now expects net profits to reach $120 million, up from an original forecast of $30 million last April.
At Alps Alpine, sales for the Module and Systems Segment, which includes infotainment, rose 32 percent to $2.6 billion for the first nine months, but operating income continued to fall, though less so than a year ago. Operating loss was $38 million compared to a loss of $60 million the year prior. This was due in part to the higher costs of materials, said Alps Alpine.
For the total company, both sales and net income gained during the nine month period. Sales rose to $5.3 billion, compared to $4.5 billion the year prior. Net income rose to $158 million compared to $111 million a year ago. Operating income increased to $259 million, up from $209 million.
Alps Alpine is forecasting sales of $6.7 billion for its full fiscal year and net income of $298 million.
What percentage of this business reported is 12V aftermarket?
16 percent of JVCKenwood’s total sales (all divisions) is in aftermarket sales.
Of JVCKenwood’s M&T sector, Aftermarket is 27.5 percent and OEM is 62 percent. The rest is “service.”