OMRON Corporation and subsidiaries SEMI ANNUAL RESULTS For the half year ended September 30, 2000. DATE : November 16, 2000 OMRON CORPORATION CODE : 6645 Annual closing date : March 31 Stock listed on : Tokyo, Osaka, Nagoya, Kyoto Contact to : Masaaki Sadatomo Managing Officer, Corporate Financial and Accounting H.Q. Telephone : +81-75-344-7070 1. Results for the half year (From April 1, 2000 to September 30, 2000.) The Japanese Yen amounts are rounded at Million Japanese Yen. (1) Statements of Income summary (Millions of Yen) Net sales Increase Operating Increase Net income Increase ratio income ratio before tax ratio Sep. 2000 271,591 5.8% 19,858 75.1% 14,995 98.3% Sep. 1999 256,653 -3.2% 11,342 627.5% 7,561 1030.2% Net income Sep. 2000 Sep. 1999 Increase ratio 8,221 104.6% 4,019 4175.5% Equity in net income 2000 (2) Balance Sheets summary Total assets Sep. 2000 Sep. 1999 Earnings per Earnings per share (basic) share (diluted) JPY 32.03 JPY 31.42 JPY 15.65 − 9 million, 1999 -83 million. Return on Income before equity tax per net sales 2.4% 5.5% 1.3% 2.9% Total shareholders' equity Shareholders' Shareholders' equity ratio equity per share (Millions of Yen) 572,679 569,461 (3) Cash Flow summary Operating Cashflow Sep. 2000 16,797 Investing Cashflow -18,737 336,365 321,193 58.7% JPY 1,310.86 56.4% JPY 1,250.79 (Millions of Yen) Financing Cash and Cash equivalents Cashflow at end of the half year -3,730 82,074 (4) Information of consolidation a. Number of subsidiaries consolidated ................................... 131 companies Added : OMRON ELECTRONIC COMPONENTS PTE., LTD. and 5 other companies Exclusion : OMRON RESEARCH INSTITUTE,INC and 2 other companies. b. Number of subsidiaries non consolidated ........................... 0 companies c. Number of affiliated companies ......................................... 9 companies Added : 0 Exclusion : SRA SYSTEM LIMITED and 2 other company (5) Basis for financial statements The financial statements are prepared in accordance with U.S. GAAP. 2. Estimated annual results For the year ending March 31, 2001. Net sales Net income before tax Mar. 2001 594,000 40,000 Estimated earnings per share (basic) 89.61 JPY -1- (Millions of Yen) Net income 230,000 OMRON Corporation and subsidiaries SEMI ANNUAL RESULTS For the half year ended September 30, 2000. DATE : November 16, 2000 3. Net sales categorized by business company (Net sales to 3rd party only) Business Company Industrial Automation Electronic Components Social Systems Business Healthcare Others Sep. 2000 Amount Ratio 118,541 43.6% 57,594 21.2% 53,260 19.6% 18,152 6.7% 24,044 8.9% (Millions of Yen) Sep. 1999 Amount Ratio '00 / '99 104,374 40.7% 113.6% 53,184 20.7% 108.3% 48,900 19.1% 108.9% 20,565 8.0% 88.3% 29,630 11.5% 81.1% Total 271,591 100.0% 256,653 Note : The Japanese Yen amounts are rounded at Million Japanese Yen. 100.0% 105.8% 4. Net sales categorized by business company (including internal sales to other business company) Business Company Industrial Automation Electronic Components Social Systems Business Healthcare Others (Elimination) Sep. 2000 Amount Ratio 122,725 45.2% 75,009 27.6% 55,606 20.5% 18,239 6.7% 46,167 17.0% (46,155) -17.0% (Millions of Yen) Sep. 1999 Amount Ratio '00 / '99 120,464 46.9% * 57,672 22.5% * 51,139 19.9% 108.7% 20,652 8.0% 88.3% 55,572 21.7% * (48,846) -19.0% * Total 271,591 100.0% 256,653 100.0% Note : The Japanese Yen amounts are rounded at Million Japanese Yen. * Due to a restructuring in April 2000, it is not appropriate to mention these percentages. 105.8% 5. Net sales estimation categorized by business company (Net sales to 3rd party only) Business Company Industrial Automation Electronic Components Social Systems Business Healthcare Others Mar. 2001 Amount Ratio 238,100 40.1% 118,200 19.9% 137,800 23.2% 41,400 7.0% 58,500 9.8% (Millions of Yen) Mar. 2000 Amount Ratio '01 / '00 215,087 38.7% 110.7% 109,661 19.7% 107.8% 128,534 23.1% 107.2% 42,640 7.7% 97.1% 59,436 10.7% 98.4% Total 594,000 100.0% 555,358 Note : The Japanese Yen amounts are rounded at Million Japanese Yen. -2- 99.9% 107.0% Consolidated Balance Sheets September 30, 2000, 1999 and 1998. Millions of Yen 1999 1998 Millions of U.S. dollars 2000 ASSETS 2000 CURRENT ASSETS : Cash and cash equivalents ......................................................82,074 Short-term investments .......................................................... 5,013 Notes and accounts receivable, trade ............................................ 115,471 Allowance for doubtful receivables ............................................... (1,923) Inventories ................................................................................. 93,182 Deferred income taxes ............................................................ 10,473 Other current assets .................................................................8,501 Total current assets ....................................................... 312,791 95,008 809 110,553 (1,959) 86,272 9,779 8,860 309,322 63,798 14,782 114,234 (2,329) 107,743 16,172 12,135 326,535 760 46 1,069 (18) 863 97 79 2,896 PROPERTY,PLANT AND EQUIPMENT : Land ......................................................................................... 50,399 Buildings ................................................................................... 111,607 Machinery and equipment ......................................................... 129,673 Construction in progress ....................................................... 3,524 Total .................................................................................. 295,203 Accumulated depreciation ......................................................... (141,470) Net property, plant and equipment ............................... 153,733 51,097 110,600 133,470 2,961 298,128 (140,145) 157,983 51,075 102,664 146,477 7,309 307,525 (138,520) 169,005 467 1,033 1,201 33 2,734 (1,310) 1,424 OTHER ASSETS : Investments in and advances to associates ........................................ 873 Investment securities ..............................................................67,144 Leasehold deposits ................................................................... 11,298 Deferred income taxes ..........................................................10,723 Other .......................................................................................... 16,117 Total other assets ..............................................................106,155 TOTAL .......................................................................................... 572,679 1,763 64,063 10,570 7,251 18,509 102,156 569,461 1,774 42,698 11,609 4,893 16,029 77,003 572,543 8 622 105 99 149 983 5,303 Note : 1. The Japanese Yen amounts are rounded at Million Japanese Yen. 2. The U.S. dollar amounts represent translations of Japanese Yen at the approximate exchange rate at September 30, 2000 of JPY 108.00 = US$ 1. -3- Consolidated Balance Sheets September 30, 2000, 1999 and 1998. LIABILITIES AND SHAREHOLDERS' EQUITY 2000 CURRENT LIABILITIES : Bank loans ................................................................................. 9,167 Notes and accounts payable, trade ................................................ 69,927 Accrued expenses ...................................................................... 21,262 Income taxes ............................................................................... 8,661 Deferred income taxes .......................................................... 572 Other current liabilities ............................................................ 27,211 Current portion of long-term debt ............................................... 26,211 Total current liabilities ....................................................163,011 Millions of Yen 1999 1998 Millions of U.S. dollars 2000 25,197 64,915 21,010 7,200 352 24,258 1,498 144,430 16,194 67,369 23,020 6,228 1,108 26,015 3,117 143,051 85 647 197 80 5 252 243 1,509 LONG-TERM DEBT ................................................................ 32,693 57,012 DEFERRED INCOME TAXES ......................................................... 3,630 56 TERMINATION AND RETIREMENT BENEFITS ............................................ 33,397 42,955 OTHER LONG-TERM LIABILITIES ................................................................ 701 1,398 MINORITY INTERESTS IN SUBSIDIARIES ........................2,882 2,417 57,590 4,318 27,471 812 3,561 303 34 309 6 27 SHAREHOLDERS' EQUITY Common stock: ........................................................................ 64,082 64,079 Additional paid in capital .......................................................98,705 98,702 Legal reserve ..........................................................................7,480 7,076 Retained earnings .................................................................... 180,127 168,105 Accumulated other comprehensive income................... (12,791) (16,138) Cumulative translation adjustments .............................................. (22,514) (19,288) Minimum pension liability adustments .............................................. 0 (7,138) Net Unrealized Gain on Securities ................................ 9,723 10,288 Treasury stock .......................................................... (1,238) (631) Total shareholders' equity .............................................. 336,365 321,193 TOTAL .............................................................................................. 572,679 569,461 64,079 98,702 6,637 172,754 (6,090) (3,943) (1,401) (746) (342) 335,740 572,543 593 914 69 1,668 (118) (208) 0 90 (11) 3,115 5,303 Note : 1. The Japanese Yen amounts are rounded at Million Japanese Yen. 2. The U.S. dollar amounts represent translations of Japanese Yen at the approximate exchange rate at September 30, 2000 of JPY 108.00 = US$ 1. -4- Consolidated Statements of Income and Retained Earnings For the half year ended September 30, 2000, 1999 and 1998. Millions of Yen 2000 1999 1998 NET SALES ............................................................................... 271,591 256,653 265,021 COSTS AND EXPENSES : Cost of sales .................................................................................. 169,240 165,128 170,227 Selling general and administrative ............................................. 63,600 62,388 71,595 Research and development ........................................................ 18,893 17,795 21,640 Interest expense (income) net ................................................. 162 448 264 Foreign exchange loss (gain) ..................................................1,161 2,409 1,234 Other, net .................................................................................... 3,540 924 (608) Total ......................................................................................256,596 249,092 264,352 INCOME BEFORE INCOME TAXES AND MINORITY INTERESTS ......................................... 14,995 7,561 669 INCOME TAXES : Current ...................................................................................... 9,406 5,146 2,535 Deferred .................................................................................... (3,001) (1,864) (1,995) Total ................................................................................... 6,405 3,282 540 Millions of U.S. dollars 2000 2,515 1,567 589 175 1 11 33 2,376 139 87 (28) 59 INCOME BEFORE MINORITY INTERESTS ......... 8,590 MINORITY INTERESTS .............................................................. 369 4,279 260 129 35 80 4 NET INCOME ............................................................................ 8,221 RETAINED EARNINGS : Balance at beginning of period .................................................. 173,804 Cash dividends ......................................................................(1,668) Transfer to legal reserve ............................................................. (230) Balance at end of period ............................................................ 180,127 4,019 94 76 166,020 (1,669) (265) 168,105 174,686 (1,703) (323) 172,754 Note : 1. The Japanese Yen amounts are rounded at Million Japanese Yen. 2. The U.S. dollar amounts represent translations of Japanese Yen at the approximate exchange rate at September 30, 2000 of JPY 108.00 = US$ 1. -5- 1,609 (15) (2) 1,668