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Q1 2020 Terumo Corp Earnings Call Transcript
Starting this quarter, I, Muto, will explain our results overview.
First, the overall results. In addition to the Cardiac and Vascular Company starting out strong, spending progress was slightly delayed, resulting in a start to the fiscal year in which profit grew in double digits to exceed guidance. In revenue, even when excluding the recovery from last year's shipping delay, Cardiac and Vascular Company showed double-digit growth before FX impact, driving overall group growth to 7%. Due to slight delays in the progress of spending on SG&A, especially salaries and wages, adjusted operating profit grew 11% despite some FX impact for double-digit growth. Profit before taxes grew 26% year-on-year due to far less FX loss than the same period of the previous fiscal year.
Next slide, please. This is the variance analysis of adjusted operating profit compared to the previous fiscal year. The gross profit increment by sales increase may appear small compared to guidance of JPY 33 billion for the entire year. However, that is the
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