KONICA MINOLTA Konica Minolta Group 3rd Quarter/March 2014 Consolidated Financial Results  


Status of manufacturing cost reductions and SG&A expenses

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Manufacturing cost reductions amounted to ¥6.0 billion for the nine-month period, representing steady progress toward our full-year target of ¥8.0 billion. On this page, you can see a breakdown of the reduction in terms of variable cost and fixed cost. Compared with results posted in the first half, we made steady progress in reducing variable costs while "Reduction of fixed cost, etc." increased. The main reason for this was the one-time disposal of fixtures and tools following a shift to the production of new products. Last week I observed an assembly plant in China and confirmed that progress was being made in line with plans for increasing production efficiency and in measures to downsize the workforce.
We controlled SG&A expenses in line with plans such as measures to transform our business portfolio.