JECO CO., LTD. Business Report FY2007
Business Highlights
| Financial overview | (in millions of JPY) |
| FY2007 | FY2006 | Increases (%) |
Factors | |
| Overall | ||||
| Sales | 28,576 | 24,295 | 17.6 | -Sales rose due to the Company's greater volume of production and products supplied both in and outside Japan. Products included those such as combination meters and air conditioner panels developed in collaboration with other companies. The launch of commercial operations at Dongguan Jeco Co., Ltd. established in China also contributed to the tremendous sales increase. |
| Operating income | 1,599 | 1,268 | 26.0 | -Income rose due to the Company's cost-cutting initiatives, increased sales, and enhanced productivity. |
| Ordinary income | 1,613 | 1,171 | 37.7 | |
| Current net income | 910 | 621 | 46.5 | |
| Sales by product | ||||
| Indicator related products | 19,036 | 12,664 | 30.4 | -Sales rose, as the volume of combination meters and air conditioner panels sold, which were developed in collaboration with other companies, significantly increased. |
| Motor related products | 6,345 | 6,807 | (8.5) |
-The sales of motor products declined as a result of a lower volume of ABS motors being sold due to a shift in using next-generation models; and a switch from using electronic throttle motors to low-priced models. |
| Other automotive products | 3,193 | 2,504 | 15.5 |
-An increase in the use of electric current sensors in response to a raised awareness toward fuel efficiency contributed to the rise in sales. |
Domestic business
-The Company announced that it will dissolve Kanagawa Resin Co., Ltd., its subsidiary producing automotive resin parts, on May 31,2008. By migrating operations now carried out at Kanagawa Resin to both its headquarters and Nagano Jeco Co., Ltd., the Group aims to enhance its competitiveness. (From an article in the Nikkan Jidosha Shimbun on Mar.31, 2008)
R&D
-R&D expenses in
FY2007 totaled 724million JPY (2.5% of total sales).
-R&D was mainly conducted to develop technology in order to gain a competitive edge in the area of automotive clocks, display system products such as air-conditioner panels, and sensors.
-R&D was mainly conducted to develop technology in order to gain a competitive edge in the area of automotive clocks, display system products such as air-conditioner panels, and sensors.
Investment Activities
Capital Investment
-A capital investment of 2,291 million JPY in FY 2007 was made mainly at its automobile parts business in order to develop products for new-vehicle models.
New facility
-A capital investment of 2,291 million JPY in FY 2007 was made mainly at its automobile parts business in order to develop products for new-vehicle models.
New facility
| Name Location |
Type of facility | Planned
investment amount (million JPY) |
Start | Finish | Production capacity increase on completion |
| Jeco Co., Ltd. Headquarters/ Plant (Saitama Pref., Japan) |
Automobile parts assembly facility | 865 | Apr.2007 | Mar.2009 | Slight increase |
| Dies and tools | 384 | Apr.2007 | Mar.2009 | Slight increase | |
| Facility except production facility | 242 | Apr.2007 | Mar.2009 | Slight increase | |
| Nagano Jeco Co., Ltd. Headquarters/ Plant (Nagano Pref., Japan) |
Automobile parts assembly facility | 554 | Apr.2007 | Mar.2009 | Slight increase |