SHIROKI Corporation Business Report FY ended Mar. 2016

Financial Overview

(in million JPY)
FY ended Mar. 31, 2016 FY ended Mar. 31, 2015 Rate of
change (%)
Sales 135,180 125,273 7.9 -
Operating income 2,502 2,210 13.2 -
Ordinary income 1,841 2,932 (37.2) -
Net income attributable to owners of the parent 2,199 1,721 27.8 -

Recent Business Development

-Aisin Seiki Co., Ltd. and Shiroki Corporation announced that they have signed a share exchange agreement to turn Shiroki into a wholly-owned subsidiary of Aisin Seiki, effective April 1, 2016. In accordance with this transaction, Shiroki is slated to be delisted on March 29, 2016. After the transaction, Shiroki’s corporate name and head office will remain the same. (From a press release on December 23, 2015)

-On May 13, 2015, the Company, Toyota Boshoku Corporation and Aisin Seiki Co., Ltd. announced that they have signed a contract under which Aisin Seiki and Shiroki will transfer their seat structure business for Toyota Motor Corporation to Toyota Boshoku. In accordance with this agreement, Toyota Boshoku will integrate seat recliner and seat rail development and production operations at Aisin Seiki and Shiroki into its own operations, effective November 2015.

-All seat structure business operations, other than those for Toyota, will remain at Shiroki, according to an interview conducted by Marklines on Oct. 21, 2016.

-The Company has won first orders for its seat components from Mazda Motor Corporation and Honda Motor Co., Ltd., establishing business with all passenger car makers in Japan. The Company started parts supply to Mazda in October 2014. This time, it received an order from Honda for the seat components to be used in a new Honda model that will be launched in 2016 or later. By winning the new orders, the Company proved its ability to supply its parts to the automakers other than Toyota. The Company intends to maximize the economies of scale through business integration with Aisin Seiki which is scheduled in April 2016, and to maintain and expand its seat components business. (From an article in the Nikkan Jidosha Shimbun on March 11, 2015)

Mid-term Management Plan/ Long-term Vision

New Mid-term "Rolling Plan"
-The Company continues its new mid-term management plan that will cover the period ending with the 2016 fiscal year (March 2017).

In order to achieve performance objectives in below column, the Company focuses on the following activities;

  • Building a management structure capable of posting profits based on sales of JPY 70.0 billion generated in Japan.
  • Reorganizing its production operations in Japan including Tohoku Plant, along with five other production plants in Japan.
  • Fighting to win in terms of operations outside Japan by establishing new production plants at a pace of one production plant every two years.
  • Localizing operations and staff while strengthening sales force and information capabilities.

Long-term Vision: Shiroki Vision 2021
-Along with the Rolling Plan, the Company announced its Shiroki Vision 2021 that plans the business road map for the 2021 fiscal year ending in March 2022.

FY ended Mar. 31, 2016
(Actual Result)
FY ended Mar. 31, 2017
FY ended Mar. 31, 2022
Sales JPY 135.1 billion JPY 140 billion JPY 200 billion
Profit margin 1.8% 5% 5%
Percentage of sales outside Japan - - 50%

R&D Expenditure

(in million JPY)
FY ended Mar. 31, 2016 FY ended Mar. 31, 2015 FY ended Mar. 31, 2014
Automotive components business - 2,889 2,869

R&D Facilities

-At the Technology Center located in Toyokawa city, Aichi prefecture, Japan, the Company leverages its accumulated technical know-how to quickly provide attractive products distinguished by high-quality, low-cost, safety, comfort, and environmental friendliness. It's also striving to make is products more compact and lighter in weight, improve product architecture and materials based on advanced ergonomics, and achieve modularization and electrification.


-Toyota Motor Corporation has adopted a method of attaching seats directly to the floor in the new "Prius" in collaboration with three Toyota group companies, Toyota Boshoku Corporation, Aisin Seiki Co., Ltd., and Shiroki Corporation. This eliminates the need for brackets to install seats, improves stability against horizontal vehicle movement, and giving the driver a sense of control unified with the car body. This new installation method became possible with the introduction of the Toyota New Global Architecture (TNGA) platform, and will be applied to other Toyota models as well. (From an article in the Nikkan Jidosha Shimbun on January 18, 2016)

Capital Expenditure

(in million JPY)
FY ended Mar. 31, 2016 FY ended Mar. 31, 2015 FY ended Mar. 31, 2014
Overall - 5,341 5,285