In the fiscal year just ended, $611.8 million of the $772.8 million increase in operating profit came from higher production volumes. Meanwhile, higher costs for raw materials, depreciation, other expenses and labor were almost completely offset by variable cost reductions and currency gains.
Japan remained Denso's largest market by far last year. Asia -- primarily China and Southeast Asia -- increased its lead over North America and Europe combined as a profit center.
Operating profits in Japan surged 54 percent to $1.89 billion, on a 15 percent rise in revenue to $29.03 billion.
Operating profits in Asia climbed 21 percent to $1.29 billion, as revenue rose 1 percent to $12.45 billion.
In North America, an increase in depreciation led operating profit to tumble 29 percent to $400 million, even as revenue rose 7.3 percent to $10.88 billion. In Europe, operating profit eased 0.5 percent to $189.2 million as revenue rose 15 percent to $6.23 billion.