OCPNF - Olympus Corporation (OLYMY) Q3 2024 Earnings Call Transcript
2024-02-16 13:32:16 ET
Olympus Corporation (OLYMY)
Q3 2024 Results Conference Call
February 14, 2024 01:00 AM ET
Company Participants
Stefan Kaufmann - President and CEO
Chikashi Takeda - Chief Financial Officer
Frank Drewalowski - Executive Officer and Endoscopic Solutions Division Head
Gabriela Kaynor - Executive Officer and Chief Strategy Officer
Presentation
Stefan Kaufmann
Hello, everyone. I am Stefan Kaufmann, CEO of Olympus Corporation. And as you could hear at the beginning, my Japanese has not significantly improved over the last 12 months. Sorry for this. I would like to thank you all for participating in this conference despite your busy schedules.
First of all, I would like to express my deepest condolences to the victims of the Noto Peninsula earthquake, their families and everyone involved. And my heartfelt sympathies to everyone affected by the disaster.
No employees of the Olympus Group were seriously affected by the earthquake. Also, the Kanazawa and Niigata branch offices of Olympus Group have not sustained any particular damage, and there are no manufacturing facilities of Olympus Group in this region.
You certainly have seen our two timely disclosures from last Friday and this afternoon. And I would like to give you now more background information. I'm sure that you may have more questions in the Q&A part of the earnings call, which I will then together with my colleagues try to answer, hopefully, to your satisfaction.
Olympus Group procures endoscope parts from a supplier located in Ishikawa Prefecture. The earthquake has impacted and damaged the factory of the supplier. The production of the supplier is stopped at this moment, and the timing for resumption of operations has not yet been determined. We are in very close contact with the supplier and actively support him and his employees to resume production as quickly as possible.
We are also working closely with a second supplier, who manufactures the same component to increase production volume as quickly as possible. However, out of an abundance of caution, we decided to slow down the sales of new endoscopes in order to ensure the continuity of patient care and safeguard health care supplies for service and repair, either by keeping spare parts on stock or utilizing new endoscopes to increase our loaner pool.
The likely impact of the earthquake on fiscal year 2024 result is estimated to include shortfalls of revenue of approximately JPY24 billion, and the impact on our business performance for fiscal year '25 is still being confirmed....
Olympus Corporation (OLYMY) Q3 2024 Earnings Call Transcript