NOK Corporation Business Report FY2010

Business Highlights

Financial Overview

(in million JPY)
  FY 2010 FY 2009 Rate of
Change (%)
Sales 498,932 414,753 20.2 -
Operating income 35,134 12,655 177.6 -
Ordinary income 32,426 10,363 212.9 -
Current net income 16,685 1,279 1204.5 -
Sealing product division
Sales 277,645 226,708 22.4 1)
Operating income 27,200 8,285 228.3 -

 Sealing Product Division
- Sales in the first half were stronger due to greater unit sales of autos, triggered by new-car sales incentives that were introduced. In the second half, however, sales were lower because auto sales dropped as a result of the sales incentives coming to an end; and on top of that, auto-makers' stopping production in the aftermath of the Great East Japan Earthquake.
-Sales of products destined outside Japan increased because of the recovery in the US market, and because of the robust demand in China, India, Thailand, and elsewhere.
As a result, overall annual sales of automotive seals increased.


- Freudenberg has transferred its equity interest in Freudenberg Mektec Europa GmbH of Germany to the joint venture partner NOK Corporation. Freudenberg Mektec Europa develops and manufactures flexible printed circuits (FPC) for the automotive industry. Following the transaction, NOK has integrated Freudenberg Mektec in its subsidiary Nippon Mektron, a Japanese supplier of FPC. The company will be renamed Mektec Europe GmbH, effective July 1, 2010. (From a press release on June 30, 2010)

>>>Financial Forecast for the Next Fiscal Year(Sales, Operating Income etc.)


R&D Expenditure

(in million JPY)
  FY2010 FY2009 FY2008
Overall 6,375 6,433 7,952
Seal products 4,807 4,689 6,456

R&D Activities

Sealing product division (FY2010)

-The Company developed and launched sales of low-friction, automotive oil-seals, developing conventional coated seals and a new type of low-friction seal designed to reduce friction force, in addition to seals based mainly on rubber materials. Also, the Company launched sales of seals that offer better features such as being more dust resistant, which makes them capable of responding to poor rood conditions overseas such as in China and Thailand

-The Company developed O-ring coating materials that are eco-friendly and easier to install; and launched sales of products that respond to the latest coolant, 1234YF. The Company is in the process of developing gaskets for EVs and HEVs. It is working on developing gaskets, which provide electromagnetic shielding; and gaskets with low-reaction-force.
-The Company is working to develop FPC composites in response to the greater penetration of onboard electronics, and is at the stage of conducting some evaluations.

R&D Facilities

Shonan Development Center Kanagawa Pref., Japan

Technical Cooperation Agreement

(As of Mar. 31, 2011)

Partner Content Signed on
Freudenberg& Co. KG
Introduction and licensing of such seal product as oil seal, O ring and related technologies Jan. 1, 2009

Investment Activities

Capital Expenditure

(in million JPY)
  FY2010 FY2009 FY2008
Overall 23,480 18,232 57,463
Seal products 13,159 11,666 35,118

Sealing business
-In Japan, the Company invested mainly in the facilities at its Fukushima Plant that produces oil seals; and outside Japan, mainly in Thai NOK Co., Ltd. and Wuxi Nok-Freudenber Oil Seal Co., Ltd.