IR News｜Results

 Benesse Corporation today announced that it has raised its projected financial results on a consolidated and non-consolidated basis for FY2002 (April 1, 2002 - March 31, 2003) as follows.


1. Revised Consolidated Results for FY2002 (April 1, 2002 - March 31, 2003)

[Revised projection (A)]
Sales : 258,200 million yen
Ordinary Income : 16,000 million yen
Net Income : 6,900 million yen

[Projection made on November 15, 2002 (B)]
Sales : 257,400 million yen
Ordinary Income : 11,800 million yen
Net Income : 5,000 million yen

[Change (A)-(B)]
Sales : 800 million yen (0.3%)
Ordinary Income : 4,200 million yen (35.6%)
Net Income : 1,900 million yen (38.0%)


2. Revised Non-consolidated Results for FY2002 (April 1, 2002 - March 31, 2003)

[Revised projection (A)]
Sales : 176,000 million yen
Ordinary Income : 13,200 million yen
Net Income : 8,100 million yen

[Projection made on November 15, 2002 (B)]
Sales : 175,600 million yen
Ordinary Income : 9,300 million yen
Net Income : 5,400 million yen

[Change (A)-(B)]
Sales : 400 million yen (0.2 %)
Ordinary Income : 3,900 million yen (41.9%)
Net Income : 2,700 million yen (50.0%)


3. Factors in revising our performance projections

(1)Non-consolidation
The above-mentioned revision is made because we have the prospect of achieving a cost reduction of about 1.8 billion yen in cost of sales and about 2.0 billion yen in sales and general administrative expenses, as a result of our effort to reduce manufacturing costs and improve sales efficiency in each operation, especially our core business of correspondence courses, while sales have generally met our expectations.


(2)Consolidation
Consolidated performance projections are mainly revised as the revision of the non-consolidated performance projections.


(3)Regarding transfer to Government of the substitutional portion of employees' pension fund
As of March 14, 2003 we have received approval from the Minister of Health, Labour and Welfare to relinquish the future payment obligations regarding our agency part of the employees' pension fund, due to the enforcement of the Law Concerning Defined-Benefit Corporate Pension Plans. The Company and some of our consolidated subsidiaries in Japan will apply the transitional measure as provided in Article 47-2 of the "Practical Guidelines Regarding Retirement Benefits Accounting (Interim Report)" (Report No.13 of Accounting System Committee, Japanese Institute of Certified Public Accountants), and will recognize the extinction of the retirement benefits debts related to our substitutional portion and the return value for pension assets as of the appropriate approval date, which results in the prospect of about 3.1 billion yen in special profits on both non-consolidated and consolidated bases.


Note:
The above-mentioned projects are based on the information available to date and the premise at present relating to uncertain factors that affect our future performance. Actual performance may be significantly different from this projections depending on various factors going forward.