FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For the month of …. | January | ……………………………………………… , | 2021 |
CANON INC. | ||||
(Translation of registrant’s name into English) | ||||
30-2, Shimomaruko 3-Chome, Ohta-ku, Tokyo 146-8501, Japan | ||||
(Address of principal executive offices) |
[Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
Form 20-F | X | Form 40-F |
[Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes | No | X |
[If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):82-....................
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
CANON INC. | ||
(Registrant) |
Date…. | January 28, 2021 | By....../s/.......... Sachiho Tanino............. | ||||||
(Signature)* | ||||||||
Sachiho Tanino General Manager Consolidated Accounting Div. Canon Inc. |
*Print the name and title of the signing officer under his signature.
The following materials are included.
1. | RESULTS FOR THE FOURTH QUARTER AND THE FISCAL YEAR ENDED DECEMBER 31, 2020 |
CONSOLIDATED RESULTS FOR THE FOURTH QUARTER
AND THE FISCAL YEAR ENDED DECEMBER 31, 2020
January 28, 2021
CONSOLIDATED RESULTS
(Millions of yen, thousands of U.S. dollars, except per share amounts) | ||||||||||||||||||||||||||||||||
Actual | Projected | |||||||||||||||||||||||||||||||
Year ended December 31, 2020 | Year ended December 31, 2019 | Change(%) | Year ended December 31, 2020 | Year ending December 31, 2021 | Change(%) | |||||||||||||||||||||||||||
Net sales | ¥ | 3,160,243 | ¥ | 3,593,299 | - | 12.1 | $ | 30,386,952 | ¥ | 3,400,000 | + | 7.6 | ||||||||||||||||||||
Operating profit | 110,547 | 174,420 | - | 36.6 | 1,062,952 | 158,500 | + | 43.4 | ||||||||||||||||||||||||
Income before income taxes | 130,280 | 195,493 | - | 33.4 | 1,252,692 | 176,500 | + | 35.5 | ||||||||||||||||||||||||
Net income attributable to Canon Inc. | ¥ | 83,318 | ¥ | 124,964 | - | 33.3 | $ | 801,135 | ¥ | 115,000 | + | 38.0 | ||||||||||||||||||||
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Net income attributable to Canon Inc. shareholders per share: |
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- Basic | ¥ | 79.37 | ¥ | 116.79 | - | 32.0 | $ | 0.76 | ¥ | 109.98 | + | 38.6 | ||||||||||||||||||||
- Diluted | 79.35 | 116.77 | - | 32.0 | 0.76 | 109.95 | + | 38.6 | ||||||||||||||||||||||||
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Actual | ||||||||||||||||||||||||||||||||
As of December 31, 2020 | As of December 31, 2019 | Change(%) | As of December 31, 2020 | |||||||||||||||||||||||||||||
Total assets | ¥ | 4,625,614 | ¥ | 4,771,918 | - | 3.1 | $ | 44,477,058 | ||||||||||||||||||||||||
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Canon Inc. shareholders’ equity | ¥ | 2,575,031 | ¥ | 2,685,496 | - | 4.1 | $ | 24,759,913 | ||||||||||||||||||||||||
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Notes: | 1. | Canon’s consolidated financial statements are prepared in accordance with U.S. generally accepted accounting principles. | ||
2. | U.S. dollar amounts are translated from yen at the rate of JPY104=U.S.$1, the approximate exchange rate on the Tokyo Foreign Exchange Market as of December 30, 2020, solely for the convenience of the reader. |
Canon Inc. | 30-2, Shimomaruko 3-chome, Ohta-ku, | |
Headquarter office | Tokyo 146-8501, Japan | |
Phone: +81-3-3758-2111 |
- 1 -
I. Operating Results and Financial Conditions
2020 in Review
Looking back at 2020, the global economy fell significantly with no signs of controlling the spread of infections, although the balanced measures to curb infections and expand economic activities were implemented around the world amid the global coronavirus (“COVID-19”) pandemic. In the U.S., despite a record decline in consumption caused by movement restrictions implemented in the first half of the year, the economy gradually recovered in the second half of the year while repeating deregulation and tighter regulations of economic activities. In Europe, the consumption headed toward a recovery phase resulting from the easing of large-scale lockdowns and night curfews that were enacted in each country from March. The European economy, however, continued to slow down due to restrictions on economic activities being reinstated due to a resurgence of infections. In China, economic recovery has accelerated mainly through domestic demand and exports resulting from a rapid resumption of economic activities. Even in other emerging markets, despite restrictions on movement and economic activities in some countries, economies showed signs of recovery resulting from gradual resumption of economic activities amid the COVID-19 pandemic. In Japan, the recovery trend continued due to the resumption of economic activities and the easing of voluntary restrictions after the lifting of the State of Emergency, although infections began to rise again in November.
Amid these conditions, the markets in which Canon operates were greatly affected by the spread of COVID-19. For office multifunction devices (MFDs) and laser printers, demand for both monochrome and color models declined due to insufficient recovery of corporate activities in the spread of COVID-19. For cameras, despite a significant decline in demand due to the impact of COVID-19, demand headed toward an improvement phase due to a recovery in consumption in the second half of the year. For inkjet printers, the pace of recovery gradually increased in some emerging countries in the second half of the year, in addition to developed countries and China, where demand for products were solid due to a rise in remote working and education. For medical equipment, although restrictions on sales activities to medical institutions in the first half of the year due to the impact of COVID-19 were eased in the second half of the year, sales activities were nonetheless affected by the prolonged impact of COVID-19. For industrial equipment, demand for both FPD (Flat Panel Display) lithography equipment and semiconductor lithography equipment remained solid.
The average value of the yen for the year was ¥106.68 against the U.S. dollar, a year-on-year appreciation of approximately ¥2, and ¥122.07 against the euro, the same level as the previous year.
In 2020, sales of MFDs for the office and production printing market both decreased, although they showed signs of recovery since the second half of the year. Unit sales of laser printers, both monochrome and color models, were below those of the previous year. Sales of services and consumables also declined resulting from the moderate recovery in customers’ print volumes after cancellation of office closures in response to the spread of COVID-19 and the resumption of corporate activities. For interchangeable-lens digital cameras, although unit sales were below those of the previous year, sales were better than expected in the second half of the year due to strong sales of the EOS R5 and EOS R6 full-frame mirrorless cameras. As for inkjet printers, unit sales, including refillable ink tank models, were significantly above those of the previous year due to the recovery in demand in some emerging countries on top of demand for remote working and education in developed countries and China. In medical equipment, amid the postponement of installation and restrictions on sales activities, sales were slightly below those of the previous year, as a result of capturing demand for equipment supplies to medical institutions supported by the government of each country. For industrial equipment, despite solid demand for semiconductor lithography equipment for memory devices, and for organic LED (OLED) panel manufacturing equipment, sales for FPD lithography equipment decreased compared with those of the previous year as a result of postponement of installation due to the impact of COVID-19. As for network cameras, which are being used in a growing range of applications and where the market is growing, sales increased slightly from those of the previous year due to a moderate recovery in sales activities.
- 2 -
Under these conditions, net sales for the year decreased by 12.1% year-on-year to ¥3,160.2 billion. Gross profit as a percentage of net sales decreased by 1.3 points to 43.5%. Gross profit for the year decreased by 14.5% year-on-year to ¥1,375.9 billion. Operating expenses decreased by 11.9% year-on-year to ¥1,265.3 billion, due to the further promotion of efficiency for expenses throughout the entire Group. As a result, although operating profit decreased by 36.6% year-on-year to ¥110.5 billion, it exceeded the prediction which had been revised upward in the most recent forecast. Other income (deductions) decreased by ¥1.3 billion to ¥19.7 billion, mainly due to decrease of interest and dividend income, while income before income taxes decreased by 33.4% year on year to ¥130.3 billion and net income attributable to Canon Inc. decreased by 33.3% year on year to ¥83.3 billion.
Basic net income attributable to Canon Inc. shareholders per share was ¥79.37 for the year, a year-on-year decrease of ¥37.42.
Results by Segment
Looking at Canon’s full year performance by business unit, in the Office Business Unit, although sales of the new imageRUNNER ADVANCE DX series were strong, unit sales of MFDs for the office and the production printing market were below those of the previous year reflecting such factors as the moderate recovery in business negotiations following the resumption of in-office work. As for laser printers, unit sales of both monochrome and color models were below those of the previous year resulting from the continued economic slowdown caused by the COVID-19 pandemic. Sales of services and consumables also declined as a result of a moderate recovery in customers’ print volumes after the resumption of corporate activities. These factors resulted in total sales for the business unit of ¥1,440.2 billion, a year-on-year decrease of 17.8%, while income before income taxes decreased by 49.3% year-on-year to ¥86.5 billion.
As for the Imaging System Business Unit, although unit sales of interchangeable-lens digital cameras were below those of the previous year as the market continued to shrink and, the decline of the demand caused by COVID-19, the shift to mirrorless models accelerated, particularly for full-frame mirrorless models, due to the introduction of the new EOS R5 and EOS R6. As for inkjet printers, sales of printers and consumables increased significantly from the previous year as a result of capturing the recovered demand in some emerging countries as well as the demand for remote working and education in developed countries and China. These factors resulted in total sales for the business unit of ¥712.2 billion, a year-on-year decrease of 11.8%, while income before income taxes increased by 43.1% year-on-year to ¥71.1 billion thanks to improvements in profitability due to the effect of new products.
Within the Medical System Business Unit, although COVID-19 caused delay of installation of the large equipment and business negotiation, the demand of Computed tomography (CT) systems for the diagnosis of pneumonia and Diagnostic X-ray systems was captured with the support to emergency medical system maintenance and financial support for medical institutions from governments of each country. These factors resulted in total sales for the business unit of ¥436.1 billion, a year-on-year decrease of 0.6%, while income before income taxes decreased by 6.4% year-on-year to ¥25.5 billion.
As for the Industry & Others Business Unit, regarding semiconductor lithography equipment, demand for memory devices remained solid. As a result, unit sales were significantly above those of the previous year. In OLED panel manufacturing equipment, sales increased due to the resumption of installation work after the easing of COVID-19 travel restrictions. In FPD lithography equipment, although the installation work after the gradual easing of travel restrictions were resumed, unit sales were below those of the previous year. Despite the negative impact of COVID-19, sales for network cameras slightly increased as a result of strengthened sales activities based on diversified applications made possible by video analysis for such purposes as remote monitoring and monitoring of crowded and confined, as well as conventional market needs including crime prevention and disaster monitoring tools. These factors resulted in total sales for the business unit of ¥654.8 billion, a year-on-year decrease of 4.9%, while income before income taxes totaled ¥14.3 billion, a year-on-year decrease of 26.3%.
- 3 -
Cash Flow
During 2020, cash flow from operating activities slightly decreased by ¥24.7 billion year-on-year to ¥333.8 billion due to improvements to working capital, despite a sharp decrease in profit. Cash flow used in investing activities was restrained by ¥73.1 billion year-on-year to ¥155.4 billion mainly due to a decrease of investment in production equipment. Accordingly, free cash flow totaled positive ¥178.4 billion, an increase of ¥48.5 billion compared with those of the previous year.
Cash flow from financing activities recorded an outlay of ¥183.4 billion mainly arising from dividend payments and acquisition of treasury stock.
Owing to these factors, as well as the impact from foreign currency exchange adjustments, cash and cash equivalents decreased by ¥5.1 billion to ¥407.7 billion from the end of the previous year.
Outlook
As for the outlook for 2021, the growing availability of COVID-19 vaccinations means that vaccination programs will gradually be launched around the world. However, it is thought that it will take time to see a full-scale recovery in global economic activities through balanced measures to curb infections and expand economic activities. In Japan, a second State of Emergency was declared some regions, causing concerns about potential effects on the economy. In addition, prospects also remain uncertain throughout the world. However, the pace of the world economy is expected to recover moderately with the various economic measures and fiscal policies in each country and region over the long term.
In the markets in which Canon operates, for office MFDs, demand for the imageRUNNER ADVANCE DX series with advanced scan functions and cloud functionality is expected to increase and print volumes are expected to recover. For laser printers, demand is also expected to increase due to signs of recovery of operating conditions in office. As for interchangeable-lens digital cameras, although the overall market is expected to continue to shrink, sales promotion efforts will be strengthened amid the shift to mirrorless and the product mix will be improved. As for inkjet printers, demand is expected to remain solid due to the increase of print volumes while remote working and education needs remain stable due to the risk of additional infections. As for the medical equipment market, demand is expected to remain at around the same level as the previous year due to the risk of additional COVID-19 infections. For semiconductor lithography equipment, while demand for memory devices is expected to remain firm, demand for image sensors and automotive devices is expected to continue to increase. For FPD lithography equipment and OLED panel manufacturing equipment, demand will remain solid as panel manufacturers are expected to increase capital investments. As for network cameras, the market is also expected to trend towards expansion due to increasing demand for high-resolution cameras and the video analysis solutions that require them.
With regard to currency exchange rates on which Canon bases its performance outlook, Canon anticipates exchange rates of ¥105 to the U.S. dollar and ¥120 to the euro, representing appreciation of approximately ¥2 against both the U.S. dollar and the euro.
Upon taking into consideration the current economic forecast and the aforementioned currency exchange rates, Canon projects full-year consolidated net sales of ¥3,400.0 billion, a year-on-year increase of 7.6%; operating profit of ¥158.5 billion, a year-on-year increase of 43.4%; income before income taxes of ¥176.5 billion, a year-on-year increase of 35.5%; and net income attributable to Canon Inc. of ¥115.0 billion, a year-on-year increase of 38.0%.
- 4 -
This document contains forward-looking statements with respect to future results, performance and achievements that are subject to risk and uncertainties and reflect management’s views and assumptions formed by available information. All statements other than statements of historical fact are statements that could be considered forward-looking statements. When used in this document, words such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “may,” “plan,” “project” or “should” and similar expressions, as they relate to Canon, are intended to identify forward-looking statements. Many factors could cause the actual results, performance or achievements of Canon to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements, including, among others, changes in general economic and business conditions, changes in currency exchange rates and interest rates, introduction of competing products by other companies, lack of acceptance of new products or services by Canon’s targeted customers, inability to meet efficiency and cost reduction objectives, changes in business strategy and various other factors, both referenced and not referenced in this document. A detailed description of these and other risk factors is included in Canon’s annual report on Form 20-F, which is on file with the United States Securities and Exchange Commission. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described herein. Canon does not intend or assume any obligation to update these forward-looking statements.
II. Basic Concept Regarding the Selection of Accounting Standards
Canon is listed on the New York Stock Exchange and, since registering its American Depositary Receipts on the OTC (over-the-counter) market in 1969, has prepared its consolidated financial statements in accordance with U.S. generally accepted accounting principles (“GAAP”) over the long term.
Canon has continued to adopt U.S. GAAP in order to maintain the continuity of financial statements from the past and to maintain international comparability.
- 5 -
CANON INC. AND SUBSIDIARIES
CONSOLIDATED
III. Financial Statements
1. CONSOLIDATED BALANCE SHEETS
Millions of yen | ||||||||||||
As of December 31, 2020 | As of December 31, 2019 | Change | ||||||||||
ASSETS | ||||||||||||
Current assets: | ||||||||||||
Cash and cash equivalents | 407,684 | 412,814 | (5,130) | |||||||||
Short-term investments | 71 | 1,767 | (1,696) | |||||||||
Trade receivables, net | 535,126 | 559,836 | (24,710) | |||||||||
Inventories | 562,807 | 584,756 | (21,949) | |||||||||
Prepaid expenses and other current assets | 283,455 | 286,792 | (3,337) | |||||||||
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Total current assets | 1,789,143 | 1,845,965 | (56,822) | |||||||||
Noncurrent receivables | 17,276 | 17,135 | 141 | |||||||||
Investments | 49,994 | 48,361 | 1,633 | |||||||||
Property, plant and equipment, net | 1,037,680 | 1,089,671 | (51,991) | |||||||||
Operating lease right-of-use assets | 107,361 | 114,418 | (7,057) | |||||||||
Intangible assets, net | 318,497 | 347,921 | (29,424) | |||||||||
Goodwill | 915,564 | 898,661 | 16,903 | |||||||||
Other assets | 390,099 | 409,786 | (19,687) | |||||||||
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Total assets | 4,625,614 | 4,771,918 | (146,304) | |||||||||
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LIABILITIES AND EQUITY | ||||||||||||
Current liabilities: | ||||||||||||
Short-term loans and current portion of long-term debt | 392,235 | 42,034 | 350,201 | |||||||||
Trade payables | 303,809 | 305,312 | (1,503) | |||||||||
Accrued income taxes | 18,761 | 18,801 | (40) | |||||||||
Accrued expenses | 317,716 | 336,396 | (18,680) | |||||||||
Current operating lease liabilities | 32,307 | 31,884 | 423 | |||||||||
Other current liabilities | 261,361 | 237,576 | 23,785 | |||||||||
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Total current liabilities | 1,326,189 | 972,003 | 354,186 | |||||||||
Long-term debt, excluding current installments | 4,834 | 357,340 | (352,506) | |||||||||
Accrued pension and severance cost | 345,897 | 368,507 | (22,610) | |||||||||
Noncurrent operating lease liabilities | 76,796 | 83,688 | (6,892) | |||||||||
Other noncurrent liabilities | 87,857 | 106,400 | (18,543) | |||||||||
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Total liabilities | 1,841,573 | 1,887,938 | (46,365) | |||||||||
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Equity: | ||||||||||||
Canon Inc. shareholders’ equity: | ||||||||||||
Common stock | 174,762 | 174,762 | - | |||||||||
Additional paid-in capital | 404,620 | 405,017 | (397) | |||||||||
Legal reserve | 69,436 | 67,572 | 1,864 | |||||||||
Retained earnings | 3,409,371 | 3,455,083 | (45,712) | |||||||||
Accumulated other comprehensive income (loss) | (324,789) | (308,442) | (16,347) | |||||||||
Treasury stock, at cost | (1,158,369) | (1,108,496) | (49,873) | |||||||||
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Total Canon Inc. shareholders’ equity | 2,575,031 | 2,685,496 | (110,465) | |||||||||
Noncontrolling interests | 209,010 | 198,484 | 10,526 | |||||||||
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Total equity | 2,784,041 | 2,883,980 | (99,939) | |||||||||
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Total liabilities and equity | 4,625,614 | 4,771,918 | (146,304) | |||||||||
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As of December 31, 2020 | As of December 31, 2019 | |||||||||||
Notes: | ||||||||||||
1. Allowance for doubtful receivables | 11,645 | 10,359 | ||||||||||
2. Accumulated depreciation | 2,770,106 | 2,727,189 | ||||||||||
3. Accumulated other comprehensive income (loss): | ||||||||||||
Foreign currency translation adjustments | (113,646) | (96,282) | ||||||||||
Net gains and losses on derivative instruments | 100 | (887) | ||||||||||
Pension liability adjustments | (211,243) | (211,273) |
- 6 -
CANON INC. AND SUBSIDIARIES
CONSOLIDATED
2. CONSOLIDATED STATEMENTS OF INCOME AND
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
Consolidated statements of income | ||||||||||||||||
Results for the fourth quarter | Millions of yen | |||||||||||||||
Three months ended December 31, 2020 | Three months ended December 31, 2019 |
Change(%)
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Net sales | 945,735 | 953,469 | - | 0.8 | ||||||||||||
Cost of sales | 531,421 | 530,074 | ||||||||||||||
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Gross profit | 414,314 | 423,395 | - | 2.1 | ||||||||||||
Operating expenses: | ||||||||||||||||
Selling, general and administrative expenses | 265,505 | 294,659 | ||||||||||||||
Research and development expenses | 72,576 | 76,314 | ||||||||||||||
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338,081 | 370,973 | |||||||||||||||
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Operating profit | 76,233 | 52,422 | + | 45.4 | ||||||||||||
Other income (deductions): | ||||||||||||||||
Interest and dividend income | 641 | 1,260 | ||||||||||||||
Interest expense | (260) | (227) | ||||||||||||||
Other, net | 3,570 | (2,174) | ||||||||||||||
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3,951 | (1,141) | |||||||||||||||
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Income before income taxes | 80,184 | 51,281 | + | 56.4 | ||||||||||||
Income taxes | 22,385 | 14,814 | ||||||||||||||
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Consolidated net income | 57,799 | 36,467 | ||||||||||||||
Less: Net income attributable to noncontrolling interests | 4,210 | 3,852 | ||||||||||||||
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Net income attributable to Canon Inc. | 53,589 | 32,615 | + | 64.3 | ||||||||||||
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Results for the fiscal year | Millions of yen | |||||||||||||||
Year ended December 31, 2020 | Year ended December 31, 2019 | Change(%) | ||||||||||||||
Net sales | 3,160,243 | 3,593,299 | - | 12.1 | ||||||||||||
Cost of sales | 1,784,375 | 1,983,266 | ||||||||||||||
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Gross profit | 1,375,868 | 1,610,033 | - | 14.5 | ||||||||||||
Operating expenses: | ||||||||||||||||
Selling, general and administrative expenses | 993,009 | 1,137,110 | ||||||||||||||
Research and development expenses | 272,312 | 298,503 | ||||||||||||||
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1,265,321 | 1,435,613 | |||||||||||||||
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Operating profit | 110,547 | 174,420 | - | 36.6 | ||||||||||||
Other income (deductions): | ||||||||||||||||
Interest and dividend income | 2,923 | 5,526 | ||||||||||||||
Interest expense | (854) | (1,038) | ||||||||||||||
Other, net | 17,664 | 16,585 | ||||||||||||||
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19,733 | 21,073 | |||||||||||||||
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Income before income taxes | 130,280 | 195,493 | - | 33.4 | ||||||||||||
Income taxes | 34,337 | 56,146 | ||||||||||||||
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Consolidated net income | 95,943 | 139,347 | ||||||||||||||
Less: Net income attributable to noncontrolling interests | 12,625 | 14,383 | ||||||||||||||
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Net income attributable to Canon Inc. | 83,318 | 124,964 | - | 33.3 | ||||||||||||
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- 7 -
CANON INC. AND SUBSIDIARIES
CONSOLIDATED
Consolidated statements of comprehensive income | ||||||||||||||||
Results for the fourth quarter | Millions of yen | |||||||||||||||
Three months ended December 31, 2020 | Three months ended December 31, 2019 |
Change(%)
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Consolidated net income | 57,799 | 36,467 | + | 58.5 | ||||||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||
Foreign currency translation adjustments | 18,979 | 54,046 | ||||||||||||||
Net gains and losses on derivative instruments | 412 | (763) | ||||||||||||||
Pension liability adjustments | 9,900 | (7,157) | ||||||||||||||
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29,291 | 46,126 | |||||||||||||||
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Comprehensive income (loss) | 87,090 | 82,593 | + | 5.4 | ||||||||||||
Less: Comprehensive income attributable to noncontrolling interests | 5,143 | 5,897 | ||||||||||||||
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Comprehensive income (loss) attributable to Canon Inc. | 81,947 | 76,696 | + | 6.8 | ||||||||||||
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Results for the fiscal year | Millions of yen | |||||||||||||||
Year ended December 31, 2020 | Year ended December 31, 2019 |
Change(%)
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Consolidated net income | 95,943 | 139,347 | - | 31.1 | ||||||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||
Foreign currency translation adjustments | (17,354) | (32,157) | ||||||||||||||
Net gains and losses on derivative instruments | 970 | (1,068) | ||||||||||||||
Pension liability adjustments | 1,382 | (3,630) | ||||||||||||||
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(15,002) | (36,855) | |||||||||||||||
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Comprehensive income (loss) | 80,941 | 102,492 | - | 21.0 | ||||||||||||
Less: Comprehensive income attributable to noncontrolling interests | 13,961 | 16,353 | ||||||||||||||
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Comprehensive income (loss) attributable to Canon Inc. | 66,980 | 86,139 | - | 22.2 | ||||||||||||
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- 8 -
CANON INC. AND SUBSIDIARIES
CONSOLIDATED
3. DETAILS OF SALES
Results for the fourth quarter | Millions of yen | |||||||||||||||
Sales by business unit | Three months ended December 31, 2020 | Three months ended December 31, 2019 | Change(%) | |||||||||||||
Office | 399,186 | 447,009 | - | 10.7 | ||||||||||||
Imaging System | 233,434 | 237,237 | - | 1.6 | ||||||||||||
Medical System | 122,752 | 110,025 | + | 11.6 | ||||||||||||
Industry and Others | 215,112 | 181,224 | + | 18.7 | ||||||||||||
Eliminations | (24,749) | (22,026) | - | |||||||||||||
|
|
|
|
|
| |||||||||||
Total | 945,735 | 953,469 | - | 0.8 | ||||||||||||
|
|
|
|
|
| |||||||||||
Millions of yen | ||||||||||||||||
Sales by region | Three months ended December 31, 2020 | Three months ended December 31, 2019 | Change(%) | |||||||||||||
Japan | 221,517 | 214,612 | + | 3.2 | ||||||||||||
Overseas: | ||||||||||||||||
Americas | 251,752 | 283,243 | - | 11.1 | ||||||||||||
Europe | 241,454 | 243,858 | - | 1.0 | ||||||||||||
Asia and Oceania | 231,012 | 211,756 | + | 9.1 | ||||||||||||
|
|
|
|
|
| |||||||||||
724,218 | 738,857 | - | 2.0 | |||||||||||||
|
|
|
|
|
| |||||||||||
Total | 945,735 | 953,469 | - | 0.8 | ||||||||||||
|
|
|
|
|
| |||||||||||
Results for the fiscal year | Millions of yen | |||||||||||||||
Sales by business unit | Year ended December 31, 2020 | Year ended December 31, 2019 | Change(%) | |||||||||||||
Office | 1,440,212 | 1,752,107 | - | 17.8 | ||||||||||||
Imaging System | 712,238 | 807,414 | - | 11.8 | ||||||||||||
Medical System | 436,074 | 438,525 | - | 0.6 | ||||||||||||
Industry and Others | 654,813 | 688,433 | - | 4.9 | ||||||||||||
Eliminations | (83,094) | (93,180) | - | |||||||||||||
|
|
|
|
|
| |||||||||||
Total | 3,160,243 | 3,593,299 | - | 12.1 | ||||||||||||
|
|
|
|
|
| |||||||||||
Millions of yen | ||||||||||||||||
Sales by region | Year ended December 31, 2020 | Year ended December 31, 2019 | Change(%) | |||||||||||||
Japan | 806,305 | 872,534 | - | 7.6 | ||||||||||||
Overseas: | ||||||||||||||||
Americas | 852,451 | 1,029,078 | - | 17.2 | ||||||||||||
Europe | 795,616 | 882,480 | - | 9.8 | ||||||||||||
Asia and Oceania | 705,871 | 809,207 | - | 12.8 | ||||||||||||
|
|
|
|
|
| |||||||||||
2,353,938 | 2,720,765 | - | 13.5 | |||||||||||||
|
|
|
|
|
| |||||||||||
Total | 3,160,243 | 3,593,299 | - | 12.1 | ||||||||||||
|
|
|
|
|
| |||||||||||
*Based on the realignment of Canon’s internal reporting and management structure, from the beginning of the first quarter of 2020, Canon has reclassified certain businesses from the Industry and Others Business Unit to the Office Business Unit. Operating results for the three months ended December 31, 2019 and the year ended December 31, 2019 also have been restated. |
|
Notes: | 1. | The primary products included in each of the segments are as follows: Office Business Unit: Office multifunction devices (MFDs) / Laser multifunction printers (MFPs) / Laser printers / Digital continuous feed presses / Digital sheet-fed presses / Wide-format printers / Document solutions Imaging System Business Unit: Interchangeable-lens digital cameras / Digital compact cameras / Interchangeable lenses / Compact photo printers / Inkjet printers / Large format inkjet printers / Commercial photo printers / Image scanners / Calculators Medical System Business Unit: Digital radiography systems / Diagnostic X-ray systems / Computed tomography (CT) systems / Magnetic resonance imaging (MRI) systems / Diagnostic ultrasound systems / Clinical chemistry analyzers / Ophthalmic equipment Industry and Others Business Unit: Semiconductor lithography equipment / FPD (Flat panel display) lithography equipment / Vacuum thin-film deposition equipment / Organic LED (OLED) panel manufacturing equipment / Die bonders / Network cameras / Digital camcorders / Digital cinema cameras / Multimedia projectors / Broadcast equipment / Micromotors / Handy terminals / Document scanners | ||
2. | The principal countries and regions included in each regional category are as follows: Americas: United States of America, Canada, Latin America Europe: United Kingdom, Germany, France, Netherlands, European countries, Middle East and Africa Asia and Oceania: China, Asian countries, Australia |
- 9 -
CANON INC. AND SUBSIDIARIES
CONSOLIDATED
4. CONSOLIDATED STATEMENTS OF EQUITY
Millions of yen
Common
| Additional
| Legal
| Retained
| Accumulated
| Treasury
| Total Canon
| Noncontrolling
| Total equity
| ||||||||||||||||||||||||||
Balance at December 31, 2018 | 174,762 | 404,389 | 67,116 | 3,501,950 | (269,071 | ) | (1,058,502 | ) | 2,820,644 | 189,501 | 3,010,145 | |||||||||||||||||||||||
Cumulative effects of accounting standard update—adoption of ASU No. 2017-12 | 122 | (122 | ) | - | - | - | ||||||||||||||||||||||||||||
Equity transactions with noncontrolling interests and other | 641 | (424 | ) | 217 | (1,813 | ) | (1,596) | |||||||||||||||||||||||||||
Dividends to Canon Inc. shareholders | (171,487 | ) | (171,487 | ) | (171,487) | |||||||||||||||||||||||||||||
Dividends to noncontrolling interests | (5,557 | ) | (5,557) | |||||||||||||||||||||||||||||||
Transfers to legal reserve | 456 | (456 | ) | - | - | |||||||||||||||||||||||||||||
Comprehensive income: | ||||||||||||||||||||||||||||||||||
Net income | 124,964 | 124,964 | 14,383 | 139,347 | ||||||||||||||||||||||||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||||||||||||||||
Foreign currency translation adjustments | (32,043 | ) | (32,043 | ) | (114 | ) | (32,157) | |||||||||||||||||||||||||||
Net gains and losses on derivative instruments | (1,073 | ) | (1,073 | ) | 5 | (1,068) | ||||||||||||||||||||||||||||
Pension liability adjustments | (5,709 | ) | (5,709 | ) | 2,079 | (3,630) | ||||||||||||||||||||||||||||
Total comprehensive income (loss) | 86,139 | 16,353 | 102,492 | |||||||||||||||||||||||||||||||
Repurchases of treasury stock | (50,015 | ) | (50,015 | ) | (50,015) | |||||||||||||||||||||||||||||
Reissuance of treasury stock | (13 | ) | (10 | ) | 21 | (2 | ) | (2) | ||||||||||||||||||||||||||
Balance at December 31, 2019 | 174,762 | 405,017 | 67,572 | 3,455,083 | (308,442 | ) | (1,108,496 | ) | 2,685,496 | 198,484 | 2,883,980 | |||||||||||||||||||||||
| ||||||||||||||||||||||||||||||||||
Cumulative effects of accounting standard update—adoption of ASU No. 2016-13 | (159 | ) | (159 | ) | - | (159) | ||||||||||||||||||||||||||||
Equity transactions with noncontrolling interests and other | (316 | ) | (9 | ) | (15 | ) | (340 | ) | 1,091 | 751 | ||||||||||||||||||||||||
Dividends to Canon Inc. shareholders | (126,938 | ) | (126,938 | ) | (126,938) | |||||||||||||||||||||||||||||
Dividends to noncontrolling interests | (4,526 | ) | (4,526) | |||||||||||||||||||||||||||||||
Transfers to legal reserve | 1,864 | (1,864 | ) | - | - | |||||||||||||||||||||||||||||
Comprehensive income: | ||||||||||||||||||||||||||||||||||
Net income | 83,318 | 83,318 | 12,625 | 95,943 | ||||||||||||||||||||||||||||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||||||||||||||||||||
Foreign currency translation adjustments | (17,355 | ) | (17,355 | ) | 1 | (17,354) | ||||||||||||||||||||||||||||
Net gains and losses on derivative instruments | 987 | 987 | (17 | ) | 970 | |||||||||||||||||||||||||||||
Pension liability adjustments | 30 | 30 | 1,352 | 1,382 | ||||||||||||||||||||||||||||||
Total comprehensive income (loss) | 66,980 | 13,961 | 80,941 | |||||||||||||||||||||||||||||||
Repurchases of treasury stock | (50,008 | ) | (50,008 | ) | (50,008) | |||||||||||||||||||||||||||||
Reissuance of treasury stock | (81 | ) | (69 | ) | 150 | 0 | 0 | |||||||||||||||||||||||||||
Balance at December 31, 2020 | 174,762 | 404,620 | 69,436 | 3,409,371 | (324,789 | ) | (1,158,369 | ) | 2,575,031 | 209,010 | 2,784,041 | |||||||||||||||||||||||
|
- 10 -
CANON INC. AND SUBSIDIARIES
CONSOLIDATED
5. CONSOLIDATED STATEMENTS OF CASH FLOWS
Millions of yen | ||||||||
Year ended December 31, 2020 | Year ended December 31, 2019 | |||||||
Cash flows from operating activities: | ||||||||
Consolidated net income | 95,943 | 139,347 | ||||||
Adjustments to reconcile consolidated net income to net cash provided by operating activities: | ||||||||
Depreciation and amortization | 227,825 | 237,327 | ||||||
Loss on disposal of fixed assets | 4,326 | 5,991 | ||||||
Deferred income taxes | (15,542) | (6,523) | ||||||
Decrease in trade receivables | 15,120 | 43,504 | ||||||
Decrease in inventories | 16,075 | 19,895 | ||||||
Decrease in trade payables | (4,636) | (35,509) | ||||||
Increase (decrease) in accrued income taxes | 43 | (22,279) | ||||||
(Decrease) increase in accrued expenses | (16,413) | 9,738 | ||||||
Decrease in accrued (prepaid) pension and severance cost | (16,601) | (13,722) | ||||||
Other, net | 27,665 | (19,308) | ||||||
|
|
|
| |||||
Net cash provided by operating activities | 333,805 | 358,461 | ||||||
Cash flows from investing activities: | ||||||||
Purchases of fixed assets | (164,719) | (215,671) | ||||||
Proceeds from sale of fixed assets | 7,815 | 885 | ||||||
Purchases of securities | (592) | (4,907) | ||||||
Proceeds from sale and maturity of securities | 558 | 828 | ||||||
Decrease (increase) in time deposits, net | 1,652 | (1,511) | ||||||
Acquisitions of businesses, net of cash acquired | (127) | (8,880) | ||||||
Other, net | (26) | 688 | ||||||
|
|
|
| |||||
Net cash used in investing activities | (155,439) | (228,568) | ||||||
Cash flows from financing activities: | ||||||||
Proceeds from issuance of long-term debt | 2,100 | - | ||||||
Repayments of long-term debt | (11,095) | (8,678) | ||||||
Increase in short-term loans, net | 5,642 | 4,913 | ||||||
Transaction with noncontrolling interests | 1,376 | (1,769) | ||||||
Dividends paid | (126,938) | (171,487) | ||||||
Repurchases and reissuance of treasury stock | (50,008) | (50,012) | ||||||
Other, net | (4,526) | (5,557) | ||||||
|
|
|
| |||||
Net cash used in financing activities | (183,449) | (232,590) | ||||||
Effect of exchange rate changes on cash and cash equivalents | (47) | (5,134) | ||||||
|
|
|
| |||||
Net change in cash and cash equivalents | (5,130) | (107,831) | ||||||
Cash and cash equivalents at beginning of year | 412,814 | 520,645 | ||||||
|
|
|
| |||||
Cash and cash equivalents at end of year | 407,684 | 412,814 | ||||||
|
|
|
|
- 11 -
CANON INC. AND SUBSIDIARIES
CONSOLIDATED
6. NOTE FOR GOING CONCERN ASSUMPTION
Not applicable.
7. SEGMENT INFORMATION
SEGMENT INFORMATION BY BUSINESS UNIT
Results for the fiscal year | Millions of yen | |||||||||||||
| Year ended December 31, 2020 | Year ended December 31, 2019 | Change(%) | |||||||||||
Office | ||||||||||||||
Net sales: | ||||||||||||||
External customers | 1,437,188 | 1,749,165 | - | 17.8 | ||||||||||
Intersegment | 3,024 | 2,942 | + | 2.8 | ||||||||||
|
|
| ||||||||||||
Total | 1,440,212 | 1,752,107 | - | 17.8 | ||||||||||
|
|
|
|
|
|
| ||||||||
Operating cost and expenses | 1,358,843 | 1,587,111 | - | 14.4 | ||||||||||
|
|
|
|
|
|
| ||||||||
Operating profit | 81,369 | 164,996 | - | 50.7 | ||||||||||
|
|
|
|
|
|
| ||||||||
Other income (deductions) | 5,114 | 5,439 | - | 6.0 | ||||||||||
|
|
|
|
|
|
| ||||||||
Income before income taxes | 86,483 | 170,435 | - | 49.3 | ||||||||||
|
|
|
|
|
|
| ||||||||
Total assets | 812,553 | 878,705 | - | 7.5 | ||||||||||
Depreciation and amortization | 56,814 | 59,061 | - | 3.8 | ||||||||||
Capital expenditures | 46,536 | 51,680 | - | 10.0 | ||||||||||
|
|
|
|
|
|
| ||||||||
Imaging System | ||||||||||||||
Net sales: | ||||||||||||||
External customers | 711,317 | 806,425 | - | 11.8 | ||||||||||
Intersegment | 921 | 989 | - | 6.9 | ||||||||||
|
|
|
|
|
|
| ||||||||
Total | 712,238 | 807,414 | - | 11.8 | ||||||||||
|
|
|
|
|
|
| ||||||||
Operating cost and expenses | 640,433 | 759,247 | - | 15.6 | ||||||||||
|
|
|
|
|
|
| ||||||||
Operating profit | 71,805 | 48,167 | + | 49.1 | ||||||||||
|
|
|
|
|
|
| ||||||||
Other income (deductions) | (735) | 1,499 | - | |||||||||||
|
|
|
|
|
|
| ||||||||
Income before income taxes | 71,070 | 49,666 | + | 43.1 | ||||||||||
|
|
|
|
|
|
| ||||||||
Total assets | 242,923 | 313,141 | - | 22.4 | ||||||||||
Depreciation and amortization | 30,381 | 35,805 | - | 15.1 | ||||||||||
Capital expenditures | 19,814 | 24,016 | - | 17.5 | ||||||||||
|
|
|
|
|
|
| ||||||||
Medical System | ||||||||||||||
Net sales: | ||||||||||||||
External customers | 435,368 | 437,456 | - | 0.5 | ||||||||||
Intersegment | 706 | 1,069 | - | 34.0 | ||||||||||
|
|
|
|
|
|
| ||||||||
Total | 436,074 | 438,525 | - | 0.6 | ||||||||||
|
|
|
|
|
|
| ||||||||
Operating cost and expenses | 410,830 | 411,781 | - | 0.2 | ||||||||||
|
|
|
|
|
|
| ||||||||
Operating profit | 25,244 | 26,744 | - | 5.6 | ||||||||||
|
|
|
|
|
|
| ||||||||
Other income (deductions) | 300 | 539 | - | 44.3 | ||||||||||
|
|
|
|
|
|
| ||||||||
Income before income taxes | 25,544 | 27,283 | - | 6.4 | ||||||||||
|
|
|
|
|
|
| ||||||||
Total assets | 286,749 | 273,525 | + | 4.8 | ||||||||||
Depreciation and amortization | 11,781 | 11,760 | + | 0.2 | ||||||||||
Capital expenditures | 7,244 | 7,074 | + | 2.4 | ||||||||||
|
|
|
|
|
|
| ||||||||
Industry and Others | ||||||||||||||
Net sales: | ||||||||||||||
External customers | 577,130 | 598,653 | - | 3.6 | ||||||||||
Intersegment | 77,683 | 89,780 | - | 13.5 | ||||||||||
|
|
|
|
|
|
| ||||||||
Total | 654,813 | 688,433 | - | 4.9 | ||||||||||
|
|
|
|
|
|
| ||||||||
Operating cost and expenses | 641,588 | 669,041 | - | 4.1 | ||||||||||
|
|
|
|
|
|
| ||||||||
Operating profit | 13,225 | 19,392 | - | 31.8 | ||||||||||
|
|
|
|
|
|
| ||||||||
Other income (deductions) | 1,090 | 33 | - | |||||||||||
|
|
|
|
|
|
| ||||||||
Income before income taxes | 14,315 | 19,425 | - | 26.3 | ||||||||||
|
|
|
|
|
|
| ||||||||
Total assets | 446,674 | 409,587 | + | 9.1 | ||||||||||
Depreciation and amortization | 40,406 | 40,732 | - | 0.8 | ||||||||||
Capital expenditures | 24,079 | 33,458 | - | 28.0 | ||||||||||
|
|
|
|
|
|
| ||||||||
Corporate and Eliminations | ||||||||||||||
Net sales: | ||||||||||||||
External customers | (760) | 1,600 | - | |||||||||||
Intersegment | (82,334) | (94,780) | - | |||||||||||
|
|
|
|
|
|
| ||||||||
Total | (83,094) | (93,180) | - | |||||||||||
|
|
|
|
|
|
| ||||||||
Operating cost and expenses | (1,998) | (8,301) | - | |||||||||||
|
|
|
|
|
|
| ||||||||
Operating profit | (81,096) | (84,879) | - | |||||||||||
|
|
|
|
|
|
| ||||||||
Other income (deductions) | 13,964 | 13,563 | - | |||||||||||
|
|
|
|
|
|
| ||||||||
Income before income taxes | (67,132) | (71,316) | - | |||||||||||
|
|
|
|
|
|
| ||||||||
Total assets | 2,836,715 | 2,896,960 | - | 2.1 | ||||||||||
Depreciation and amortization | 88,443 | 89,969 | - | 1.7 | ||||||||||
Capital expenditures | 64,054 | 95,000 | - | 32.6 | ||||||||||
|
|
|
|
|
|
| ||||||||
Consolidated | ||||||||||||||
Net sales: | ||||||||||||||
External customers | 3,160,243 | 3,593,299 | - | 12.1 | ||||||||||
Intersegment | - | - | - | |||||||||||
|
|
|
|
|
|
| ||||||||
Total | 3,160,243 | 3,593,299 | - | 12.1 | ||||||||||
|
|
|
|
|
|
| ||||||||
Operating cost and expenses | 3,049,696 | 3,418,879 | - | 10.8 | ||||||||||
|
|
|
|
|
|
| ||||||||
Operating profit | 110,547 | 174,420 | - | 36.6 | ||||||||||
|
|
|
|
|
|
| ||||||||
Other income (deductions) | 19,733 | 21,073 | - | 6.4 | ||||||||||
|
|
|
|
|
|
| ||||||||
Income before income taxes | 130,280 | 195,493 | - | 33.4 | ||||||||||
|
|
|
|
|
|
| ||||||||
Total assets | 4,625,614 | 4,771,918 | - | 3.1 | ||||||||||
Depreciation and amortization | 227,825 | 237,327 | - | 4.0 | ||||||||||
Capital expenditures | 161,727 | 211,228 | - | 23.4 | ||||||||||
|
|
|
|
|
|
|
*Based on the realignment of Canon’s internal reporting and management structure, from the beginning of the first quarter of 2020, Canon has reclassified certain businesses from the Industry and Others Business Unit to the Office Business Unit. Operating results for the fiscal year ended December 31, 2019 also have been restated.
*Corporate expenses include certain corporate research and development expenses. Amortization costs of identified intangible assets resulting from the purchase price allocation of Canon Medical Systems Corporation are also included in corporate expenses.
- 12 -
CANON INC. AND SUBSIDIARIES
CONSOLIDATED
8. NOTE ON SIGNIFICANT CHANGES IN SHAREHOLDER’S EQUITY
None.
9. BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES
Canon’s consolidated financial statements are prepared in accordance with U.S. generally accepted accounting principles.
Recently Issued Accounting Guidance
In June 2016, the Financial Accounting Standards Board issued ASU No. 2016-13, Financial Instruments – Credit Losses – (Topic 326): Measurement of Credit Losses on Financial Instruments, which requires entities to use a current expected credit loss model to measure impairments of certain financial assets. Using this model results in earlier recognition of losses than under the incurred loss approach, which requires waiting to recognize a loss until it is probable of being incurred. Canon adopted the guidance from the quarter beginning January 1, 2020 with the modified retrospective basis through a cumulative effect adjustment directly to retained earnings as of the beginning of the period. The adoption of this guidance did not have a material impact on its consolidated results of operation and financial condition.
CORRECTION OF AN IMMATERIAL ERROR
On December 31, 2020, Canon revised its historical financial statements to accurately reflect vacation accrual adjustments in the appropriate periods. Canon also determined that correcting the aggregate error would be material to the current period although immaterial in the past period. As a result, Canon revised its financial statements for 2019 as follows.
Consolidated balance sheets | (Millions of yen) | |||||||
As of December 31, 2019 | ||||||||
As adjusted | As previously reported | |||||||
Other assets | 409,786 | 406,219 | ||||||
Accrued expenses | 336,396 | 324,891 | ||||||
Retained earnings | 3,455,083 | 3,462,182 | ||||||
Noncontrolling interests | 198,484 | 199,323 | ||||||
|
|
|
| |||||
Consolidated statements of income | (Millions of yen) | |||||||
Year ended December 31, 2019 | ||||||||
As adjusted | As previously reported | |||||||
Selling, general and administrative expenses | 1,137,110 | 1,136,863 | ||||||
Operating profit | 174,420 | 174,667 | ||||||
Income before income taxes | 195,493 | 195,740 | ||||||
Income taxes | 56,146 | 56,223 | ||||||
Consolidated net income | 139,347 | 139,517 | ||||||
Less: Net income attributable to noncontrolling interests | 14,383 | 14,412 | ||||||
Net income attributable to Canon Inc. | 124,964 | 125,105 | ||||||
|
|
|
| |||||
Net income attributable to Canon Inc. shareholders per share: | ||||||||
Basic | 116.79 yen | 116.93 yen | ||||||
Diluted | 116.77 yen | 116.91 yen | ||||||
|
|
|
| |||||
Consolidated statements of comprehensive income | (Millions of yen) | |||||||
Year ended December 31, 2019 | ||||||||
As adjusted | As previously reported | |||||||
Consolidated net income | 139,347 | 139,517 | ||||||
Less: Comprehensive income attributable to noncontrolling interests | 16,353 | 16,382 | ||||||
Comprehensive income (loss) attributable to Canon Inc. | 86,139 | 86,280 | ||||||
|
|
|
| |||||
Consolidated statements of cash flows | (Millions of yen) | |||||||
Year ended December 31, 2019 | ||||||||
As adjusted | As previously reported | |||||||
Consolidated net income | 139,347 | 139,517 | ||||||
Increase in accrued expenses | 9,738 | 9,491 | ||||||
Deferred income taxes | (6,523) | (6,446) | ||||||
|
|
|
|
Accordingly, the consolidated statement of equity has been revised.
- 13 -
CANON INC. AND SUBSIDIARIES
10. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(1) NET INCOME ATTRIBUTABLE TO CANON INC. SHAREHOLDERS PER SHARE
Results for the fiscal year | Millions of yen | |||||||
Year ended December 31, 2020 | Year ended December 31, 2019 | |||||||
Net income attributable to Canon Inc. | ||||||||
-Basic | 83,318 | 124,964 | ||||||
-Diluted | 83,315 | 124,962 | ||||||
Number of shares | ||||||||
Average common shares outstanding | ||||||||
-Basic | 1,049,802,197 | 1,069,956,767 | ||||||
-Diluted | 1,050,031,888 | 1,070,114,940 | ||||||
Yen | ||||||||
Net income attributable to | ||||||||
Canon Inc. shareholders per share: | ||||||||
-Basic | 79.37 | 116.79 | ||||||
-Diluted | 79.35 | 116.77 |
(2) SUBSEQUENT EVENT
On January 19, 2021, Canon borrowed ¥20 billion under its existing overdraft facilities with Mizuho Bank, Ltd. and MUFG Bank, Ltd. for required operating funds. The overdraft facilities bear interest at a rate equal to a base rate plus a spread.
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NON-CONSOLIDATED
(Current Titles are Shown in the Parentheses)
Effective Date: March 30, 2021
Directors
(1) Director to be retired
Haruhiko Kato | (Director) |
(2) Candidate for new Director to be appointed
Yusuke Kawamura | (Chairman & CEO, Institute of Glocal Policy Research) (Executive Counselor, Japan Securities Dealers Association) |
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NON-CONSOLIDATED
(Current Titles are Shown in the Parentheses)
Executive Officers
(1) Executive Officer to be retired
Effective Date: March 31, 2021
Nobutoshi Mizusawa | (Executive Officer, Deputy Chief Executive of Medical Systems and Components Operations) |
(2) New Executive Officers to be appointed
Effective Date: April 1, 2021
Toshiyuki Ishii | (Senior Vice President of Canon (China) Co., Ltd.) | |
Masahide Kinoshita | (Chief Executive of Peripheral Products Operations) | |
Shunji Sawa | (Plant Manager of Toride, Digital Printing Business Operations) |
(3) Executive Officers to be promoted
Effective Date: April 1, 2021
Senior Managing Executive Officer | Kenichi Nagasawa | (Managing Executive Officer, Group Executive of Corporate Intellectual Property and Legal Headquarters) | ||
Senior Managing Executive Officer | Eiji Osanai | (Managing Executive Officer, Group Executive of Production Engineering Headquarters) | ||
Senior Managing Executive Officer | Yuichi Ishizuka | (Managing Executive Officer, President & CEO of Canon Europa N.V., President & CEO of Canon Europe Ltd.) | ||
Senior Managing Executive Officer | Takayuki Miyamoto | (Managing Executive Officer, Group Executive of Frontier Business Promotion Headquarters, Chief of Canon EXPO Project) | ||
Senior Managing Executive Officer | Hiroaki Takeishi | (Managing Executive Officer, Chief Executive of Optical Products Operations) | ||
Managing Executive Officer | Yoichi Iwabuchi | (Executive Officer, Group Executive of Information & Communication Systems Headquarters) | ||
Managing Executive Officer | Toshihiko Kusumoto | (Executive Officer, Deputy Chief Executive of Digital Printing Business Operations) |
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