Ashimori Industry Co., Ltd. Business Report FY ended Mar. 2019
Financial Overview |
(in million JPY) |
| FY ended Mar. 31, 2019 | FY ended Mar. 31, 2018 | Rate of Change (%) | Factors | |
| Overall | ||||
| Sales | 60,978 | 56,714 | 7.5 | - |
| Operating income | 2,237 | 1,879 | 19.1 | - |
| Ordinary income | 2,321 | 1,946 | 19.3 | - |
| Net income attributable to owners of the parent | 1,245 | 457 | 172.4 | - |
| Automotive Safety Systems | ||||
| Sales | 42,274 | 39,991 | 5.7 | -Sales rose because of strong sales in Japan |
| Operating income | 639 | 1,165 | (45.2) | -Operating income fell because of worsening profitability due to production changes in Japan and at the Mexican operations, rising costs for some materials, and higher processing/machining costs. |
Strategies for the Fiscal Years 2020 to 2022 (From FYs Ending March 2020 to March 2022)
| FY ended Mar. 31, 2019 (Actual Results) |
FY ended Mar. 31, 2020 (計画) |
FY ended Mar. 31, 2021 (計画) |
FY ended Mar. 31, 2022 (計画) |
|
| Sales (in million JPY) | 60,978 | 63,000 | 66,500 | 70,000 |
| Operating income (in million JPY) | 2,237 | 2,200 | 2,450 | 2,800 |
| Operating Profit Margin (%) | 3.7 | 3.5 | 3.7 | 4.0 |
| Net income attributable to owners of the parent (in million JPY) | 1,245 | 3,400 | 1,650 | 1,900 |
| ROA(%) | 2.6 | 7.1 | 3.5 | 4.0 |
-Targets for the automotive safety business by the end of March 2022 are sales of JPY 49,700 million and operating income of JPY 1,540 million.
Outlook for FY ending Mar. 31, 2020 |
(in million JPY) |
| FY ending Mar. 31, 2020 (Forecast) |
FY ended Mar. 31, 2019 (Actual Results) |
Rate of Change (%) |
|
| Overall | |||
| Sales | 63,000 | 60,978 | 3.3 |
| Operating income | 2,200 | 2,237 | (1.7) |
| Ordinary income | 2,250 | 2,321 | (3.1) |
| Net income attributable to owners of the parent | 3,400 | 1,245 | 173.1 |
| Automotive Safety Systems | |||
| Sales | 45,000 | 42,274 | 6.4 |
| Operating income | 1,300 | 639 | 103.4 |
-The Company forecasts that in the fiscal year ending in March 2019 revenue and income will increase year-over-year, to the point where sales, operating income, ordinary profit, and new profit will all set new record highs.
>>>Financial Forecast for the Next Fiscal Year (Sales, Operating Income etc.)
R&D Expenditure |
(in millions of JPY) |
| FY ended Mar. 31, 2019 | FY ended Mar. 31, 2018 | FY ended Mar. 31, 2017 | |
| Overall | 1,139 | 1,059 | 868 |
| -Automotive Safety Systems | 536 | 449 | 434 |
R&D Activities
Seatbelts
-Improving and conducting R&D activities on devices to increase competitive advantages.
-Developing advanced devices that are capable of responding to all sorts of possible collision scenarios.
Airbags
-Developing devices that are capable of responding to all sorts of possible collision scenarios.
-Develop and commercialize devices and factories that improve reliability and increase competitive advantages.
Interior products
-Develop highly functional seats, tonneau covers, cargo nets, and new materials to raise added value.
-Commercialize to develop markets outside Japan and increase customers.
Capital Expenditure |
(in million JPY) |
| FY ended Mar. 31, 2019 | FY ended Mar. 31, 2018 | FY ended Mar. 31, 2017 | |
| Overall | 4,216 | 3,803 | 2,691 |
| -Automotive Safety Systems | 3,554 | 3,237 | 2,287 |
Investment in Japan
-Ashimori Industry announced that its group company Ashimori Industry Yamaguchi has completed construction of a new (third) plant in Yamaguchi, Japan and held an opening ceremony on August 1, 2018. The company has invested a total of about JPY 1.8 billion in the facility, which has 4,800 square meters of total floor area on 24,500 square meters of land. The new plant will produce automotive seat belts, airbags, and interior parts. (From a press release on August 10, 2018)
Investment outside Japan
<Mexico>
-Ashimori Industry Co. Ltd. announced that it opened its second plant in Mexico in the Guanajuato Puerto Interior zone, near Silao, Guanajuato. The new facility is now fully operational with a monthly production capacity of 76,000 components for security systems and 80,000 interior parts. The company opened its first facility in Mexico in 2012 with a USD 10.2 million investment to manufacture seat belts, airbags and interior parts for Mazda, Honda and Nissan. With the second plant, the company’s overall investment in Mexico has grown to USD 17.5 million and production output has tripled. (From a Mexico-Now article on April 20, 2018)
Planned Capital Investments |
(As of Mar. 31, 2019) |
| Name of Company/Plant (Location) |
Purpose | Planned investment (in million JPY) |
Starting Month | Completing Month | Capacity increase on completion |
| The Company's Osaka Plant (Osaka, Japan) |
To rationalize production facilities for automotive safety systems and high performance products | 3,422 | Apr. 2018 | Mar. 2020 | Practically none as this is to improve quality |
| Ashimori (Thailand) Co., Ltd. (Chachoengsao, Thailand) |
To rationalize production facilities for automotive safety systems and high performance products | 636 | Apr. 2018 | Mar. 2020 | - |