Fuji Kiko Co., Ltd. Business Report FY ended Mar. 2013
Business Highlights
Financial Overview |
(in millions of JPY) |
FY ended Mar. 31, 2013 | FY ended Mar. 31, 2012 | Rate of Change (%) |
Remarks | |
Overall | ||||
Sales | 103,068 | 97,082 | 6.2 | -Sales at all three of its business sectors, namely the steering-column, seat, and power-train businesses, increased year-on-year. |
Operating income | 5,476 | 4,686 | 16.9 | - |
Ordinary income | 5,905 | 4,943 | 19.5 | - |
Net income | 3,486 | 3,351 | 4.0 | - |
New Company
<Mexico>-The Company announced its plan to establish a new joint venture, tentatively named as FUJIKIKO TACHI-S Mexico, S.A. de C.V., in Aguascalientes, Mexico in July. A U.S. subsidiary of Fujikiko Co., Ltd., Shizuoka Pref., will make a 66% investment, while a subsidiary of TACHI-S in South America will make a 34% investment. Initially it will be capitalized at USD 8 million, approx. 630 million yen, which will be increased along with production growth. The joint venture will manufacture mechanism elements and frames of automobile seats and expand business in North and South Americas. (From an article in the Nikkan Jidosha Shimbun on May 31, 2012)
Outlook for FY ending Mar. 31, 2014 |
(in millions JPY) |
FY ending Mar. 31, 2014 (Forecast) |
FY ended Mar. 31, 2013 (Actual Results) |
Rate of Change (%) |
|
Sales | 96,700 | 103,068 | (6.2) |
Operating income | 5,200 | 5,476 | (5.0) |
Ordinary income | 5,000 | 5,905 | (15.3) |
Net income | 3,000 | 3,486 | (13.9) |
>>>Financial Forecast for the Next Fiscal Year (Sales, Operating Income etc.)
R&D
R&D Expenses |
(in millions of JPY) |
FY ended Mar. 31, 2013 | FY ended Mar. 31, 2012 | FY ended Mar. 31, 2011 | |
Steering column business | 991 | 914 | 729 |
Seating business | 492 | 489 | 477 |
Powertrain business | 348 | 319 | 269 |
Total | 1,831 | 1,722 | 1,476 |
R&D Structure
-R&D activities are basically being conducted by the Company, meaning that the Company in Japan supports its subsidiaries overseas by conducting all basic development activities up to the prototype stage. The subsidiaries then take over from the trial-production stage, making further product developments appropriate for the actual vehicle models.-Currently, the Company has 338 members working in R&D, including members working in prototypes and testing.
-As of March 2013, the Company has 397 industrial property rights (166 in Japan, and 231 outside Japan).
R&D Activities
Steering column business-The Company is working to reduce product costs and weight while trying to improve safety and product appeal. It will do this by improving the level of plastic forming technologies it uses. It plans to achieve this by reaching the required level of functions and performance demanded for steering columns by utilizing the most optimal mechanisms and designs.
-The Company is addressing the issues and needs surrounding globalization; enhancing its framework for conducting development activities in three regions (Japan, Europe, and the U.S.A.); and improving its competitive edge and product lineup by taking customer demand in the U.S.A. and Europe into consideration.
-The Company is jointly developing future technologies and products with automakers and system manufacturers to improve running performance.
Seating business
-The Company worked on developing functional core components and systems used in seats, such as seat recliners, height adjusters and slides. In response to the growing needs for environmental measures, safety, and comfort, the Company is engaged in reducing the size, weight and cost of products, as well as improving their strength and functions in addition.
-In order to produce seats locally in China, the Company established an R&D center in the country. This center is currently developing materials and production methods.
-The Company is developing products that can satisfy the seating layouts used in RV vehicles, hoping to improve their usability so as to satisfy increasingly diverse customers' demands.
-The Company conducted joint development activities with Tach-S Corporation, taking in development staff from the other company. The aim is to benefit from synergy effects found between the companies, which include, for example, improvement of development speed.
Powertrain Business
-The Company, in creating automatic-transmission shifters that offer even more competitive advantages through cost and weight reductions, is developing mass-market transmissions. Also, the Company is currently developing more compact products for the future in responding to improving product appeal by enhancing product feel and sound.
-In the area of drivetrain parts such as pulleys and driveplates, the Company is making use of its expertise in its proprietary plastic-working technology and analytical technology that is typified by its thick-molding and slotting methods for forming metal plates in meeting the growing market needs shifting to sheet metal, while continually developing all kinds of shaped pulleys.
-The Company is developing components for heavy vehicles such as manual-transmission and automatic-transmission control parts, based on its customers' specifications.
-Kokuyo Electric Company, a subsidiary, is developing effective, new products based on its proprietary technology in electronic devices.
Technology Licensing-in Agreement |
(As of Mar. 31, 2013) |
Country | Licenser | Content | Period |
Germany | Winkelman Pannhoff GmbH | Production technology for one piece drive-plates | Jan. 29, 1996 - Jan. 28, 2014 (Automatic renewal) |
Liechtenstein | ThyssenKrupp Presta AG | Patent cross license agreement for steering columns | Jul. 30, 2007 - Apr. 17, 2017 |
Technology Licensing-out Agreement |
(As of Mar. 31, 2013) |
Country | Licensee | Content | Period |
Taiwan | Taiwan Atsugi Co., Ltd. | Production technology for steering columns | Oct. 6, 1992 - Oct. 5, 2013 (Automatic renewal) |
Taiwan | Hsin Chong Machinery Works Co., Ltd. | Production technology for seat reclining devices | 5 years from Mar. 18, 2008 or the production life of the specific vehicle models |
Spain | Ficosa International S.A. | Production technology for A/T shifters | Jun. 20, 2011 - (for as long as the subject vehicles are still under production) |
Investment Activities
Capital Expenditure |
(in millions of JPY) |
FY ended Mar. 31, 2013 | FY ended Mar. 31, 2012 | FY ended Mar. 31, 2011 | |
Steering column business | 2,306 | 1,413 | - |
Seating business | 2,464 | 538 | - |
Powertrain business | 334 | 154 | - |
Others | - | 140 | - |
Total | 5,105 | 2,246 | 2,494 |
-In the fiscal year that ended Mar. 31, 2013, the Company strengthened its production capacities at plants outside Japan, mainly in emerging-market countries such as China.
Planned Capital Investments |
(As of Mar. 31, 2013) |
Company Name | Location | Business | Planned investment (in millions of JPY) |
Start | Completion | Production capacity increase on completion |
New Facilities | ||||||
The Company, Washizu Plant |
Shizuoka Pref., Japan | Seating business | 975 | Nov. 2012 |
Mar. 2014 |
No change |
The Company, Arai Plant |
Shizuoka Pref., Japan | Steering column business | 1,444 | Feb. 2012 |
Mar. 2014 |
No change |
The Company, Honjo Plant |
Saitama Pref., Japan |
Powertrain business | 288 | Sep. 2012 |
Mar. 2014 |
No change |
Douglas Autotech Corporation | Michigan, USA |
Steering column business | 657 | Apr. 2013 |
Mar. 2014 |
No change |
Fujikiko Tachi-S Mexico, S.A. de C.V. | Aguascalientes, Mexico |
Seating business | 441 | Apr. 2013 |
Mar. 2014 |
No change |
Improvements | ||||||
The Company, Washizu Plant |
Shizuoka Pref., Japan | Seating business | 126 | Jan. 2013 |
Mar. 2014 |
No change |
The Company, Arai Plant |
Shizuoka Pref., Japan | Steering column business | 53 | Jul. 2013 |
Mar. 2014 |
No change |