Nabtesco Corporation Business Report FY ended Mar. 2014

Business Highlights

Financial Overview

(in millions of JPY)
  FY ended Mar. 31, 2014 FY ended Mar. 31, 2013 Rate of Change
(%)
Factors
Sales 202,292 179,543 12.7 -
Operating income 20,092 15,013 33.8 -
Ordinary income 24,227 17,890 35.4 -
Current net income 14,978 13,269 12.9 -
Transport Equipment Business
Sales 52,641 44,262 18.9 -
Operating income 6,344 4,214 50.5 -

Outlook for FY ending Mar. 31, 2015 (Transport Equipment Business)

(in millions of JPY)
  FY ending Mar. 31, 2015
(Forecast)
FY ended Mar. 31, 2014
(Actual Results)
Rate of Change
(%)
Sales 58,300 52,641 10.8
Operating income 8,000 6,344 26.1

Mid-term Management Plan

  FY ending Mar. 31, 2017 FY ending Mar. 31, 2021
Long-term vision
Overall
Sales 280 billion yen ±5% 400 billion yen
Operating income 34 billion yen 60 billion yen
Operating income ratio 12.0% 15.0%
Current net income 24 billion yen -
ROA 7.5% 11.0%
ROE 15.0% 18.0%
Transport Equipment Business
Sales 71 billion yen -
Operating income 10.7 billion yen -
Operating income ratio 15.1% -

<Transport Equipment Business: Mid-term Strategy for Commercial-vehicle Devices>
-Expand sales overseas mainly in ASEAN markets by making use of its strong product proposals and its facilities in Thailand and India.
-Reduce costs by improving productivity and procuring more local content outside Japan

R&D

R&D Expenditure

(in millions of JPY)
  FY ended Mar. 31, 2014 FY ended Mar. 31, 2013 FY ended Mar. 31, 2012
Overall 6,401 5,535 5,200
Transport Equipment Business 1,984 1,828 1,905

-R&D achievements during the fiscal year that ended March 2014 are as follows:
1. Launching oil catchers for commercial vehicles
2. Developing a series of electric vacuum pumps

R&D Structure

-The Technical Headquarters, as the lead overseer of R&D activities, conducts some of the activities such as planning and execution that are left to each of the separate businesses and subsidiaries.

-In November 2013, the Company announced that it has opened the Nabtesco Digital Engineering Center (NDEC) at its plant in Kobe, Japan. Under the CAE & Materials Department of the company's Technology and R&D Division, the new facility will initially install stereolithography rapid prototyping machines manufactured by CMET Inc., Nabtesco's group company. Initially using plastic 3D printers, the company will check images of actual products in advance. In the next phase, Nabtesco plans to install metal 3D printers or computer aided manufacturing (CAM) systems at the new center. By creating prototypes, the company aims to evaluate the strength and basic functions of actual products from an early stage of the development. (From a press release on November 1, 2013)

R&D Facility (Nabtesco Automotive)

 Name Location
Yokosuka Technical Center Kanagawa Pref.,
Japan

Investment Activities

Capital Expenditure

(in millions of JPY)
  FY ended Mar. 31, 2014 FY ended Mar. 31, 2013 FY ended Mar. 31, 2012
Overall 6,760 10,190 13,524
Transport Equipment Business 1,703 1,962 1,478