Semiconductor Design Business
INNOTECH has focused on providing highly value-added products and services effectively leveraging its sophisticated engineering skills and conducted its vigorous sales activities to expand its sales to existing customers, supporting their various needs, and developing new customer base.
Our core products are the Cadence EDA software, and while we did not achieve the same level of results as we did last year, still the business was solid and stable by acquiring new customers and long-term licensing deals, which contributed to INNOTECH overall FY2009 sales. Sales from INNOTECH internally-developed tester RETSET business declined since it was largely affected by the slow recovery of the market as well as by weak facility investment trends in the industry. As for the LSI Design Consignment business from Sanei Hytechs, the company has narrowed down its focus to its core strength and reviewed its business structure; thus, its sales has tentatively declined but then turned to an upward trend in the 2nd half.
As a result, INNOTECH FY 2009 overall results of the Semiconductor Design business were;
-Sales: 10 billion 168 million yen (20.8% decrease compared to FY 2008 sales)
-Operating profit: 915 million yen (40.8% decrease compared to FY 2008 operating profit)

Electronic Components Business
Our strategies for the Electronic Component business were to focus on the digital consumer products, office automation, and factory automation, and to promote our highly value-added products as well as to cultivate new applications. While the market has partially recovered in the 2nd half, the recovery was not drastic enough to compensate the slowness in the 1st half, and its overall sales did not reach the same level as last year. The Hard Disk Drive business also declined due to a slow recovery of the office automation and the factory automation markets, while the shipment for DVR has substantially increased. The Electronic Devices business also declined since the shipment of the HDMI chip for game products officially ended in the end of FY 2008, even though the shipments of newly launched laser diode drivers and HDMI chips have increased. IT ACCESS, with the embedded software and other development assistance businesses for office automation and digital consumer products, on the other hand, remained stable due to strong sales of digital consumer products and acquiring licensing deals for car electronics.
Our FY 2009 results from the overall Electronic Component business were;
-Sales: 14 billion 324 million yen (16.6% decrease compared to FY 2008 sales)
-Operating profit: 683 million yen (30.6% decrease compared to FY 2008 operating profit)