Press Kogyo Co., Ltd. Business Report FY2009
Business Highlights
Financial Overview |
(in millions of JPY) |
FY2009 | FY2008 | Rate of Change (%) | Factors | |
Sales | 104,712 | 157,487 | (33.5) | - |
Operating income | (1,359) | 2,753 | - | - |
Ordinary income | (1,028) | 2,190 | - | - |
Net income | (2,939) | (1,945) | - | - |
Automotive parts division | ||||
Sales | 76,187 | 110,027 | (30.8) | -Sales for the year were significantly lower due to sluggish demand in medium-duty trucks in Japan, and in cars produced for export. |
Business Restructuring
-The Company announced its plans to liquidate its wholly owned subsidiary Press & Plat N.V. based in Tongeren, Belgium. Press & Plat N.V. mainly manufactures and sells components for trucks. The shrinking demand for trucks in Europe and its negative impact on the performance of the subsidiary have forced the company to reach a decision. The liquidation procedures will be completed in July 2010. (From a press release on Feb. 9, 2010)>>>Financial Forecast for the Next Fiscal Year (Sales, Operating Income etc.)
Outlook for FY2010 |
(in millions of JPY) |
FY2010 | FY2009 | Year-on-year Fluctuation | |
Sales | 128,300 | 104,712 | 23,588 |
-Parts for heavy-duty commercial vehicles | 43,982 | 35,858 | 8,124 |
-Parts for light-duty commercial vehicles | 42,942 | 38,401 | 4,541 |
Operating income | 5,000 | (1,359) | 6,359 |
Ordinary income | 4,550 | (1,028) | 5,578 |
Net income | 2,750 | (2,939) | 5,689 |
Business Plan
Mid-term business plan (covers FY2008 ending March 2009 and FY2010 ending March 2011)The targets for FY2010 are:
Consolidated sales: 240 billion yen
Consolidated operating income: 15 billion yen
R&D
R&D Expenditures |
(in millions of JPY) |
FY2009 | FY2008 | FY2007 | |
Overall | 198 | 299 | 187 |
R&D Activities
Automotive parts division-The Company worked to add molding technology, which is designed to form high-strength products based on a low-temperature coating process, to its production lines. The coating was recently developed as a solution to make components lighter and more eco-friendly.
-The Company is now looking for more efficient, alternative methods to replace its energy-wasting processes used for making large parts.
-The Company is trying to respond to diversifying product specifications by combining common parts with other parts, without sticking to the conventional idea about how products should be designed. It is also developing elemental technology that can be used to reduce costs.
Investment Activities
Capital Investment |
(in millions of JPY) |
FY2009 | FY2008 | FY2007 | |
Overall | 7,420 | 5,632 | 6,708 |
-The Company focused its investment activities on building up its production operations, reducing costs, promoting labor savings, enhancing production efficiency, and improving the reliability of its products in order to respond to new program business for frames, axles, suspensions, and construction machinery cabs, which are its main products.
Division | (in millions of JPY) |
Automotive parts | 7,404 |
Automotive assembly | |
Construction machinery components | |
Automotive stamping dies and assembly devices | 1 |
Other | 14 |
Total | 7,420 |
Planned Capital Investments (automotive components)
(As of Mar. 31, 2010)
Name | Purpose | Planned amount of investment (million JPY) |
Start month |
Planned completion |
Fujisawa plant (Kanagawa Pref., Japan) |
Production equipment for panels | 260 | July, 2007 | Dec. 2010 |
Thai Summit PKK Co., Ltd. (Chonburi, Thailand) |
Production equipment for axles | 361 million Thai Baht |
Mar. 2010 | Sep. 2011 |
Production equipment for frames |
222 million Thai Baht |
Feb. 2010 | June, 2011 | |
Thai Summit PK Corporation (Rayong, Thailand) |
Production equipment for axles | 222 million Thai Baht |
Oct. 2008 | July, 2011 |