MITSUBA Corporation Business Report FY2008
Business Highlights
| Financial overview | ( in millions of JPY ) |
| FY2008 | FY2007 | Rate of Change (%) | Remarks | |
| Overall | ||||
| Sales | 209,973 | 225,440 | (6.9) | - |
| Operating income | (7,500) | 3,841 | - | - |
| Ordinary income | (9,736) | 3,897 | - | - |
| Current net income | (18,376) | 649 | - | - |
| Transportation equipment related business | ||||
| Sales | 201,796 | 216,826 | (6.9) | Sales remained strong mainly in Asia. The Company
made two subsidiaries outside Japan, which are included under
its consolidated financial statements. However, its sales declined
due to a significant drop in orders from auto manufacturers
that had quickly reduced their production volume. |
| Operating income | (7,809) | 3,269 | - | The decrease in sales resulted in- fixed costs creating a greater financial impact on the bottom line, with the Company reporting an operational loss. |
Business Reorganization
The Company announced that it has closed Mitsuba Cavite Corporation
in Philippines. (From a press release on Aug. 28, 2008)
The Company announced that it will reorganize its automotive electric
parts manufacturing subsidiaries in Thailand. While raising its
stakes in Thai Summit Mitsuba Electric Manufacturing Co., Ltd. (TSM)
to 50% from the current 49.0%, TSM will merge with Jideco (Thailand)
Co., Ltd. (JTC). (From an article in the Nikkan Jidosha Shimbun
on Sep. 27, 2008)
The Company has decided that it will dissolve Musashi Co., Ltd.,
its subsidiary manufacturing and selling molded resin products in
Tomioka City, Gunma Prefecture. The dissolution, which is planned
to take place at the end of April this year, is intended to raise
the Group's business efficiency and improve its viability in the
deteriorating market conditions and sluggish economy. As a result
of the dissolution, Mitsuba will post a loss of 270 million yen
for the loan receivable from Musashi. Musashi was turned into a
subsidiary of Mitsuba in April 2007, when Mitsuba merged with former
Jidosha Denki Kogyo Co., Ltd. In the year ended March 2008, sales
at the subsidiary stood at around 1.2 billion yen. (From an article
in the Nikkan Jidosha Shimbun on Feb. 19, 2009)
R&D
<Japan>
| Facility | Location |
| Mitsuba R&D Center | Kiryu, Gunma Pref. |
| Yokohama R&D Base | Yokohama |
<Overseas>
The Company is working on globalizing its R&D structure. It has enhanced development capability in the USA, as well as improved overseas development capability in Vietnam, the Philippines, India, Italy, Germany and Thailand.
| R&D Expenditure | ( in millions of JPY ) |
| FY2008 | FY2007 | FY2006 | |
| Overall | 729 | 1,136 | 658 |
| Transportation equipment related | 645 | 960 | 448 |
R&D activities
<New Product Development>
| New products | |
| Body Systems (Field-of-vision systems) |
Front wiper systems, Rear wiper systems, Window washers, Side turn lamps, Door mirrors, Door mirrors with side turn lamps, and High mount stop lamps |
| Body Systems (Convenience and comfort systems) |
Horns, Power window motors, Seat motors, Roof motors, Power sliding door systems, and Door lock actuators |
| Engine Power Train Systems (Engine support systems) |
Fan motors, fuel pump, Starter motors for two-wheel vehicles, Starter motors for four-wheel vehicles, AC generators, and Various types of controllers etc. |
| Engine Power Train Systems (Drive control systems) |
Power steering motors |
<Technology development activities>
- Development of next-generation products for various systems
- Development of next-generation actuators
- Development of elemental technology to improve reliability
Contracts for receiving technical support (As of Mar. 31, 2009)
| Contractor Name |
Name of other party |
Contract details | Contract Period |
| The Company, Tokyo Electrica de Mexico, S.A. de C.V. |
Ichikoh Industries | Exercising the usage of patents and expertise in manufacturing automotive components in Mexico. | Between Dec., 1993 and the time the Company discontinues production of related products |
| The Company | Donnelly (USA) |
License agreement on rearview mirror systems fixed on the body. This includes turn signal lights. | Between Sep., 2005 and the time when the patent expires- - |
Contracts for giving technical support (As of Mar. 31, 2009)
| Partner | Agreement Details | Contract Period |
| Shihlin Electric & Engineering Corp.(Taiwan) | Production technology license and operational license for motorcycles / automobiles electric parts | From Aug. 1998 (automatic renewal) |
| Armstrong Auto Parts Sdn. Bhd. (Malaysia) |
Production technology license and operational license for motorcycles/automobiles electric parts | From May 1992 (automatic renewal) |
| Valeo (France) |
Production technology license and operational license for automobile starter motors | From March 1989 (automatic renewal) |
| Kamco (Korea) |
Licensing of technology for wiper motors for automobiles | Feb. 2008 - Feb. 2010 |
| Kamco (Korea) |
Licensing of technology for power window motors for automobiles | May 2007 - May 2009 |
| Smith (South Africa) |
Licensing of manufacturing technology for wiper motors for automobiles | From Mar. 1979 (automatic renewal) |
| APM Auto (Malaysia) |
Licensing of technology for wiper motors and washers etc. for automobiles | Apr. 2007 - Apr. 2012 |
| Deloyd (Malaysia) |
Licensing of manufacturing technology for power window motors and door lock actuators for automobiles | From Oct. 2001 (automatic renewal) |
Investment Activities
| Capital Expenditure | ( in millions of JPY ) |
| FY2008 | FY2007 | FY2006 | |
| Overall | 13,802 | 15,048 | 17,731 |
| Transportation equipment related | 13,451 | 14,866 | 17,452 |
-The Company invested mainly in automobile power window motors and automobile wiper motors for the transportation equipment components business.
-The Company's stand-alone investment was 5,817 million yen.
Main facility construction projects
| Name | Facility type | Planned investment
amount (million JPY) |
Construction
start month |
Planned completion
month |
| The Company | ||||
| R&D Center | R&D facilities | 307 | Apr., 2009 | Mar., 2010 |
| Akagi Plant | Machines for new products | 262 | Apr., 2009 | Mar., 2010 |
| Niisato Plant | Machines for new products | 111 | Apr., 2009 | Mar., 2010 |
| Onishi Plant | Machines for new products | 1,408 | Apr., 2009 | Mar., 2010 |
| Tone Plant | Machines for new products | 127 | Apr., 2009 | Mar., 2010 |
| Tomioka Plant | Machines for new products | 46 | Apr., 2009 | Mar., 2010 |
| Fukushima Plant | Machines for new products | 74 | Apr., 2009 | Mar., 2010 |
| Nigata Plant | Machines for new products | 247 | Apr., 2009 | Mar., 2010 |
| Kikukawa Plant | Machines for new products | 82 | Apr., 2009 | Mar., 2010 |
| Domestic Subsidiaries | ||||
| Higashinihon Diecasting Industry Co., Ltd. | Machines for new products | 58 | Apr., 2009 | Dec., 2010 |