I Metal Technology Co., Ltd. Business report FY2006

Business Highlights

Financial overview
In million JPY FY2006 FY2005 Rate of Change (%) Factors
Sales 50,395 37,671 33.8 Sales increased as a result of an increase in orders the Company won. A greater number of the Company's consolidated subsidiaries also contributed to the increase.
Operating income 3,113 3,291 (5.4) Operating income decreased, although greater productivity and increased sales partially offset fixed costs. This decrease stems from the fact that the Company posted sales expenses and administration overhead as goodwill depreciation expenses.
Ordinary income 2,794 2,716 2.9
Net income 1,290 1,378


Net income decreased because the Company posted a 5 million yen extraordinary gain from the sale of securities held for investment purposes. The Company also posted a 147 million yen extraordinary loss resulting from a loss on the retirement of fixed assets.

Merger and resulting change in the Company's name
On April 1, 2007, Automobile Foundry (its former company name) merged with Isuzu Castech and Jik Material. Upon the merger taking effect, the Company's trade name was changed from Automobile Foundry Co., Ltd. into I Metal Technology Co., Ltd. By integrating the technical expertise and resources the three companies had accumulated, the Company aims to speed up its R&D activities on cast parts and strengthen its production technology.


R&D Expenditure
(in millions JPY) FY2006 FY2005 FY2004
R&D Expenditure
302 252 248

R&D achievements in FY2007
Under the initiative of the Research and Development Department of its technical center, the Company is working to develop materials and products, which provide consistent quality and and also reduce product weight.

Investment Activities

Capital Expenditure
(in millions JPY) FY2006 FY2005 FY2004
Capital Expenditure
approx.2,800 approx.1,100 871

In FY2006, the Company invested  to renovate casting equipment and to increase and upgrade its processing equipment.