KONICA MINOLTA 2nd Quarter/FY2019 ending in March 2020 Consolidated Financial Results  


New Business

Prev. Page Next Page Download the PDF
Now new business.
In the 1st half we tried to make a recovery and tried to reduce investment burden, but we were behind the schedule in this regard in the 2Q. But in bio-healthcare, Ambry's genetic samples are now growing as we had planned. Our high-performance diagnostic RNA testing has now been highly evaluated by scientific societies. This will lead to more orders for samples.
It is not just limited to hospitals, but it can grow in pharmaceuticals and checkup or CARE programs for the healthy individuals. This is a premier product, and with its higher price, we can expect to maintain the overall price level.
In contrast, Invicro had a slow business in central nervous system following the 1Q. But may I remind you that our focus now is on cancer treatment. These cancer clinical trials are growing. Invicro has contrast agent application. This was having a low revenue opportunity so far. So, we have already decided to shrink this business. We are already in our journey to try to improve Invicro's profitability.

The Workplace Hub (WPH) sales regions have grown in number. As shown in the bottom right, we have already built a monthly subscription model for WPH in the regions we have entered. This model is definitely needed in the era of digitalization. Average customer price is more than we had planned. We are now trying to shorten the time needed between the pipeline and contracts, or for the sake of better closing rate, we have to go beyond the traditional approach we had in the past office products business. We now have to have a close collaboration at customer's site implementing and sharing business experiences. For this matter, the US is now making a progress, but I have to admit that we are taking too much time in this transformation. But now we are accelerating our efforts in improving our capability so that we can truly offer values to our customers.
This concludes my remarks on the 1st half of the fiscal year.