Fiscal 2009 Financial Highlights (Consolidated) Net sales, operating income, net income, operating margin, and net income margin The Ricoh Group saw a sales decline in all business segments, including Imaging and Solutions, affected significantly by economic recession and the yen’s appreciation. Overall sales fell 5.8% from the previous year to 2,091.6 billion yen. Sales in Japan declined 7.6% to 938.3 billion yen and sales in the rest of the world declined 4.2% to 1,153.3 billion yen. Operating income dropped 58.9% from a year earlier to 74.5 billion yen, attributable to lower sales and increased costs associated with strengthening the sales network, expansion of the printer business, structural changes, and other initiatives. Net income fell 93.9% from a year earlier to 6.5 billion yen, partly due to lower operating income and decreased non-operating profit, which is mainly attributable to foreign currency losses and the loss on the revaluation of securities. ● Sales by category (billions of yen) FY2009 0 Net income per share, dividends, and consolidated dividend payout ratio (%) Consolidated dividend payout ratio 20 15 Ricoh announced an annual dividend declared of 33.0 yen per share, maintaining the same dividend level as the previous year. 17.8 (Yen) A 18.1 Net income per share (left scale) 150 50 0 ANNUAL REPORT 2009 365.9 22.6 18.3 10 100 Imaging Solutions 1,598.6 (76.4%) A B 45 30 15 B 2005 (Yen) Dividends per share (right scale) 33.0 2009 (FY) Network System Solutions 234.4 (11.2%) 9.02 938.3 74.5 106.4 1,016.0 2008 Industrial Products 115.5 (5.5%) 146.04 2007 100 Imaging & Solutions 1,833.0 (87.6%) 33.0 2006 Other 143.0 (6.9%) 153.10 2005 150 50 6.5 D Other 127.0 (6.1%) 28.0 C FY2009 132.33 181.5 1,066.6 2,068.9 174.3 200 Japan 938.3 (44.9%) Europe 523.4 (25.0%) 24.0 0 Operating income Net income (Billions of yen) 148.5 83.1 500 A The Americas 502.8 (24.0%) C Operating income (right scale) Net income (right scale) 111.7 B 966.2 1,000 841.1 1,807.4 1,500 131.1 2,000 D 943.0 1,909.2 (Billions of yen) C 1,002.2 B 3.6 0.3 1,203.9 2,219.9 Japan (left scale) Overseas (left scale) A 4.8 5.4 Net margin 112.64 8.4 ● Sales by area (billions of yen) Overseas 1,153.3 (55.1%) 20.0 4.6 5.1 Operating margin 8.2 1,153.3 2,091.6 7.8 97.0 Net sales 7.3 966.2 (%) 8 6 4 2 0 2006 2007 2008 0 2009 (FY) 2006 2007 2008 2009 Fiscal 2009 Highlights Progress of the 16th MTP 2,513.4 975.3 2,214.3 2,243.4 2,041.1 1,080.1 A 1,070.9 0 Shareholders’ equity 960.2 1,953.6 862.9 1,000 500 B B 2005 (End of March) Negative free cash flow generated by operating and investing activities increased by 191.7 billion yen from the previous year to 195.6 billion yen, mainly due to lower net income and the cash disbursement for the acquisition of IKON. -198.3 -195.6 2007 -250 2005 2008 Sustainable Environmental Management -283.1 -200 Total assets Free cash flow -3.9 2006 -150 -300 1,500 A RICOH Milestones 167.2 -115.4 -100 C 0.6 (Billions of yen) 2,500 2,000 1.3 Operating cash flow, investing cash flow, and free cash flow B -120.0 -50 A -96.0 0 C 87.4 50 53.4 33.0 100 129.1 150 Investing cash flow B 7.6 7.8 Income before income taxes on total assets 6.9 0 194.3 Operating cash flow 51.8 A 173.4 (Billions of yen) 200 9.9 8.1 8 4 Reflecting a sharp fall in net income, ROE plunged to 0.6%, compared with 9.9% in fiscal 2008. Total assets showed an increase of 299.1 billion yen from a year earlier to 2,513.4 billion yen, due to the increase in cash and cash equivalents and the effect of the acquisition of IKON, among other things. Interestbearing liabilities rose by 394.8 billion yen to 779.1 billion yen, mainly resulting from the financing of the acquisition. Shareholders’ equity declined by 104.8 billion yen to 975.3 billion yen. Return on equity (ROE) 11.0 10.6 10.0 Creating New Customer Value (%) 12 Total assets, shareholders’ equity, income before income taxes on total assets, and return on equity (ROE) To Our Shareholders and Customers Review of Operations 2009 (FY) Common stock price (Yen) 3,500 Corporate Social Responsibility 3,000 2,500 2,000 1,500 1,000 500 Financial Section 0 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 2005 2006 2007 2008 2009 ANNUAL REPORT 2009