Business Daily Media

.

Johnson Electric reports Business and Unaudited Financial Information for the First Quarter of Financial Year 2022/23

HONG KONG SAR - Media OutReach - 13 July 2022 - This news release is made by Johnson Electric Holdings Limited ("Johnson Electric" or the "Company" and together with its subsidiaries, the "Group") for the business operations and selected unaudited financial information of the Group for the three months to 30 June 2022.



The Group's sales for the quarter ended 30 June 2022 were US$840 million compared to US$877 million for the same quarter in 2021, a decrease of 4%. Excluding the impact of currency movements and the acquisition of E. Zimmermann GmbH ("Zimmermann"), sales were flat at US$874 million.

Foreign exchange rate movements had a negative effect of US$37 million on the Group's sales for the quarter. This was mainly due to the impact of weaker average exchange rates especially for the Euro, but also for the RMB and Canadian Dollar against the US Dollar, compared to the same quarter in 2021. The acquisition of Zimmermann, completed on 31 May 2021, increased sales by US$3 million.

Sales of Automotive Products Group ("APG")

APG's sales for the quarter ended 30 June 2022 decreased by US$20 million or 3% compared to the same quarter in 2021. Excluding currency effects and the acquisition of Zimmermann, APG's sales increased by US$9 million or 1% in the quarter. This increase in underlying sales compared to a 4% decrease in global light vehicle industry production volumes in the quarter.

On a regional basis, APG's sales also fared better than automotive industry production volumes, which were constrained by shortages of semiconductors, in all regions during the quarter. The sales changes by region, excluding currency effects and the acquisition of Zimmermann, were as follows:
  • Asia decreased 7%
  • Europe decreased 2%
  • Americas increased 15%

In Asia, COVID-related factory lockdowns in China adversely affected sales of powertrain cooling and powder metal products, although other areas such as closure and water pumps increased. In Europe, oil and water pumps, coolant valves and powder metal parts were strong, although sales of other products decreased due to a reduction in light vehicle production in the region. In the Americas, there was strength across many of our product lines.

Sales of Industry Products Group ("IPG")

IPG's sales for the quarter ended 30 June 2022 decreased by US$17 million or 8% compared to the same quarter in 2021. Excluding currency effects, IPG's sales decreased by US$12 million or 6% in the quarter, with the following changes by regions:
  • Asia decreased 33%
  • Europe increased 7%
  • Americas increased 16%

Asia sales, which primarily represents goods invoiced to Asia-based OEMs and contract manufacturers whose end products are mostly destined to export markets, declined owing to the combination of supply chain disruptions caused by COVID lockdowns in China, ongoing shortages of semiconductor chips and other components, and a decline in demand for some "home-centric" products that had experienced an exceptional surge in sales during the pandemic. In Europe, sales grew in the beverage and lawn segments and, in the Americas, in the medical, ventilation and white goods segments, due to new business wins and increased demand.

Chairman's Comments on First Quarter's Sales Performance and Outlook

Concerning the first quarter's sales performance and outlook for the current financial year, Dr. Patrick Shui-Chung Wang, Chairman and Chief Executive, said, "Johnson Electric delivered a satisfactory sales performance in the first quarter in the context of significant disruptions to global manufacturing supply chains, which included ongoing chip shortages in the automotive sector and COVID-related operational restrictions in China."

"Looking forward, it is presently difficult to gauge the impact of the sharp increase in global inflation on consumer demand across the wide range of end markets we serve. In our Industry Products Group, we are seeing a reduction in order flow among some customer segments which experienced exceptionally strong sales for "home-centric" products during the pandemic. However, in the automotive sector and for some other industrial product applications, we are not presently experiencing any noticeable weakening in underlying demand and the key factor constraining sales growth continues to be shortages of semiconductors and other components. An additional headwind on the Group's reported sales is the current strength of the US Dollar against the Euro, RMB and Canadian Dollar, which together constitute over half of the Group's denominated sales."

"Despite these external challenges, our business units continue to work collaboratively with customers to adjust prices to offset the surge in cost input increases experienced in the past year. Our global operating footprint and geographically diverse sales mix also provides Johnson Electric with strong foundations to navigate further potential volatility in the macro economy."

Cautionary Statement

Shareholders and potential investors in the Company are reminded that the information provided in this news release, including information related to the expected outlook for the full year, is based on the Group's unaudited internal records and management accounts. This information has not been reviewed or audited by the Company's auditors.

Shareholders and potential investors should exercise caution when dealing or investing in the shares of the Company.

Hashtag: #JohnsonElectric

The issuer is solely responsible for the content of this announcement.

About Johnson Electric Group

The Johnson Electric Group is a global leader in electric motors, actuators, motion subsystems and related electro-mechanical components. It serves a broad range of industries including Automotive, Smart Metering, Medical Devices, Business Equipment, Home Automation, Ventilation, White Goods, Power Tools, and Lawn & Garden Equipment. The Group is headquartered in Hong Kong and employs over 35,000 individuals in 22 countries worldwide. Johnson Electric Holdings Limited is listed on The Stock Exchange of Hong Kong Limited (Stock Code: 179). For further information, please visit: .

News from Asia

Get Ready for the Summer’s Hottest Sale With iShopChangi

Get the holidays off to a flying start this June as iShopChangi ushers in the summer with irresistible deals to indulge in. Enjoy over 60% off in sitewide discounts, on top of the hottest deals fro...

BKH-ICD Showcases Upcoming New Inland Port to Boost Trade between Thailand and Malaysia

HAT YAI, THAILAND- Media OutReach - 1 June 2023 - BKH-ICD hosted an event in Hatyai with leading shipping lines and major forwarding players from South Thailand to introduce and provide progress u...

Skyborn Renewables appoints Stine Würtz Jepsen as CHRO

HAMBURG, GERMANY - EQS Newswire - 1 June 2023 - Skyborn Renewables (Skyborn) has appointed Stine Würtz Jepsen as Chief Human Resources Officer (CHRO) effective 1 June 2023. ...

Prince Holding Group and CanCham Explore Synergies for Future Partnerships in Cambodia

PHNOM PENH, CAMBODIA - Media OutReach - 1 June 2023 - Prince Holding Group (PHG) recently hosted members of the Canadian Chamber of Commerce in Cambodia (CanCham) for a courtesy visit and di...

Hong Kong In-Home Expo 2023 Opens Today

The largest-ever public access, one-stop home expo HONG KONG SAR - Media OutReach - 1 June 2023 - Organized by Exhibition Group Limited, the largest-ever public access one-stop home expo "Hong Kon...

BingX Launches Special Events for Peer-to-Peer Crypto-Fiat Traders, Providing Rewards for First Trades

SINGAPORE - Media OutReach - 2 June 2023 - BingX, the leading social trading platform, is proud to announce its innovative peer-to-peer (P2P) trading feature, empowering users to ...

New Report Finds Enterprises are Accelerating Edge Adoption to Get Ahead of the Competition with Nearly 70% Leveraging Edge to Solve Critical Business Challenges

NTT’s Edge Advantage report surveyed 600 enterprises leveraging edge to enable data-driven decision making; uncovered concerns around infrastructure capabilities. 88% cite 5G as an importan...

Udokan Copper helps restore Siberian sturgeon population as part of its ESG program

MOSCOW, RUSSIA - Media OutReach - 2 June 2023 - Udokan Copper, one of the largest industrial companies operating in Russia's Far East, is funding a program to restore the population of Siberian st...

Oi Wah and PACM Group entered into MOU

To cooperate in developing mortgage loan businesses including overseas market HONG KONG SAR - Media OutReach - 2 June 2023 - The board of directors of Oi Wah Pawnshop Credit Holdings Limited (HKE...

NetDragon Websoft Inc. Was Invited To Participate In The 18th United Nations Vesak Day and Developed The "UN Vesak Day Metaverse"

BANGKOK, THAILAND - Media OutReach - 2 June 2023 - On 1st and 2nd June, the 18th United Nations Vesak Day was held at the United Nations International Conference Center and Mahachulalongkornrajavi...

Business Reports

Blockchain is a key technology – a computer scientist explains why the post-crypto-crash future is bright

Blockchain technology has many uses beyond cryptocurrency.Yuichiro Chino/Moment via Getty ImagesPeople hear a lot about blockchain technology in relation to cryptocurrencies like bitcoin, which rely on blockchain systems to keep r...

Shippit and Shopline join forces to deliver seamless eCommerce shipping experiences for retailers

Shippit, the industry-leading last-mile delivery platform, is excited to announce a strategic partnership with Shopline, Asia's premier online seller. This partnership embeds Shippit as the delivery solution of choice for reta...

Alistair Wilson returns as Managing Director at Imagination in Melbourne

Award-winning experience design company, Imagination, today announces that Alistair Wilson has been appointed to the newly created role of Managing Director, Melbourne - rejoining the office that he helped establish more than ...