Meiwa Industry Co., Ltd. Business report FY2008
|Financial Overview||(in millions of JPY)|
|FY2008||FY2007||Rate of Change (%)||Factors|
|Sales||18,565||22,058||(15.8)||-Sales decreased due to a decline in orders as a result of a drastic contraction of the automobile market; and other factors.|
|Current net income||(678)||13||-|
|Automotive components division|
Recent Developments Outside Japan
-In northern China, the Company installed an extrusion machine at its subsidiary, Dalian Meiwa Chemical Industry Products Co., Ltd. In December 2008, the Chinese subsidiary started to produce its main product, Meitone, and strengthened its position in the automotive components business.
|Outlook for FY2009||(in millions of JPY)|
|FY2008||FY2009||Rate of Change (%)|
|Automotive components division||17,241||14,050||(18.5)|
Business Strategy Outside Japan
-The Company will continue to focus on its investments in China, which include launching new production facilities, because the Chinese automotive market is expected to continue to grow in the future, with many Japanese automakers concentrating their operations in Guangzhou in southern China.
|R&D Expenditure||(in millions of JPY)|
|Automotive components division||32||84||27|
Automotive components division
The Company will work on the following ideas in its R&D activities. It will be focusing on reducing costs, creating products that are both lighter in weight and more rigid, improving products to make them more commercially appealing, and making products that contribute to improving the environment.
-Improving the product performance of Meitone
-Developing lightweight and highly rigid deck board systems
-Improving the product performance of mats
-Developing lightweight foaming materials that can be used for press molding
-Developing recyclable materials to reduce environmental impact
|Capital Investment||(in millions of JPY)|
|Automotive components division||1,385||1,099||1,931|
-For the automotive components division, the Company invested mainly to install production facilities and molds at existing plants in order to manufacture products that are for new orders the Company won. The Company aims to enhance the production capacity and streamline and renew the production facilities through making capital investments.
Planned Capital Investments (As of Mar. 2009)
|Name||Location||Business/Facilities|| Total Planned Investment
|Facilities for manufacturing cabin interior floor parts||98||July, 2008||June, 2009|