Ogura Clutch Co., Ltd. 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 | 38,044 | 34,216 | 11.2 | - |
Operating income | 993 | 239 | 315.5 | - |
Ordinary profit | 1,132 | 294 | 285.0 | - |
Net profit | 477 | 130 | 266.9 | - |
Transportation-equipment clutch division | ||||
Sales | 28,639 | 26,594 | 7.7 | -Sales increased in North America due to the economic recovery in the U.S.A. Sales increased in Asia also. Favorable currency translation because of the weak yen helped exports from Japan. |
Operating income | 1,056 | 327 | 223.0 | - |
Next-Generation Compact Roots blower
-The Company will step up production and sales of its next-generation compact Roots blower. In addition to promoting its capability as a Roots-type supercharger to boost engine power, the company will present the product's ability to support environmentally friendly technologies to automakers. The Roots blower can be used as an air supply unit for diesel particulate filters. It also functions as a hydrogen circulation unit for fuel-cell battery systems. The company currently produces 500 Roots blowers per month. It will double this volume by October, and plans to increase its production pace further to meet growing demand. Annual sales of this multi-purpose Roots blower are expected to reach 80,000 units by 2015. (From an article in the Nikkan Jidosha Shimbun on August 1, 2013)Chinese Business
<Consolidating Operations>-The Company will reduce operational costs by integrating the administration and logistics divisions at its new plant in Zhejiang in China. Using it as a model case, the company plans to strengthen or consolidate operations at all 13 of its plants. The new Chinese plant will start operations in April next year. The plant will be capable of mass-producing clutches for both car air-conditioners and for general industries. Previously, the company had separate plants producing clutches for these industries independently. It will be the company’s first production base to make clutches for these industries in one location. It is expected to make nearly equal amounts of parts for automotive and for other industries. (From an article in the Nikkan Jidosha Shimbun on July 29, 2013)
<Manufacturing and sales subsidiary>
-The Company announced that it has established a new subsidiary, Ogura Clutch (Chang Xing) Co., Ltd. for production and sales of clutches and brakes for transport and industrial equipment in Zhejiang Province, China on May 13. The subsidiary will be the additional base to expand production and sales of Ogura's products in the Chinese market, as well as to acquire new customers and meet the demands of its existing customers. The operation will start in April 2014. (From an article in the Nikkan Jidosha Shimbun on May 31, 2013)
Award
-In 2013, the Company announced that its U.S. subsidiary, Ogura Corporation, has received the "World Excellence Gold Award" from Ford Motor Company. The subsidiary supplies differential locking devices for Ford's pickup trucks. Production of these parts is handled by Ogura Clutch (Dong Guan) Co., Ltd. in China, while final processing, assembling, and testing are performed by Ogura Corporation. Ogura Clutch plans to boost its production capacity for differential locking devices to 550,000 units a year from the current level of 150,000 units. (From a press release on June 4, 2013)>>>Financial Forecast for the Next Fiscal Year (Sales, Operating Income etc.)
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 | 374 | 334 | 345 |
Clutches for transportation equipment | 178 | 161 | 159 |
Transportation Equipment Business
-The Company predicts that there will be market demand for its products in connection with forecast changes being made to automobiles in the future, so is working to develop lighter, quieter, energy-efficient, and low-power clutches; torque limiters for external-control compressors; and other products.
Clutches and related products under development
- Super-charger clutches
- Sliding-door clutches
- Power-rear-door clutches
- Power-luggage door clutches
- Diff-lock clutch brakes
- Water-pump clutches
- Superchargers designed for supercharged engines
- Air-pumps for regeneration devices with filters designed to remove diesel-engine exhaust gas.
- Air-pumps and hydrogen pumps for fuel cells
Investment Activities
Capital Expenditure |
(in millions of JPY) |
FY ended Mar. 31, 2014 | FY ended Mar. 31, 2013 | FY ended Mar. 31, 2012 | |
Clutches for transportation equipment | 295 | 322 | 343 |
Transportation Equipment Business
-The Company made capital improvements to its Akabori and Kohbayashi Plant to enhance and rationalize the production facilities and equipment and make them environmentally compliant, in addition to investing in dies needed for its various products.
Planned Capital Investments (Transportation-equipment clutches) |
(As of Mar. 31, 2014) |
Name (Location) |
Planned total investment (in million JPY) | Starting month | Planned completion | Capacity increase upon completion |
Plant No.1, Plant No.2 (Kiryu-shi, Gumma Pref., Japan) |
212 | Apr. 2014 | Mar. 2015 | Practically none, as this is to improve product quality |
Plant No.3 (Gumma Pref., Japan) |
119 | Apr. 2014 | Mar. 2015 | Practically none, as this is to improve product quality |
Akabori Plant (Gumma Pref., Japan) |
443 | Apr. 2014 | Mar. 2015 | Practically none, as this is to improve product quality |
Kohbayashi Plant (Gumma Pref., Japan) |
198 | Apr. 2014 | Mar. 2015 | Practically none, as this is to improve product quality |