FUJI OOZX Inc. Business Report FY2008
Business Highlights
| Financial Overview | (in million JPY) |
| - | FY2008 | FY2007 | Rate of Change (%) |
Factors |
| Sales | 17,380 | 21,767 | (20.2) | Sales decreased due to a sizeable drop in demand for engine valves, a staple product in its manufacturing division. This was attributed to a substantial decrease in production volume by the automakers. |
| Operating income | 710 | 1,832 | (61.2) | Revenues decreased due to a substantial decrease in sales, cost reduction requests from automakers and foreign currency translation losses due to the appreciation of the yen. |
| Ordinary income | 678 | 1,881 | (64.0) | - |
| Net income |
90 | 1,226 | (92.7) | - |
Overseas Trend
The Company's overseas affiliate, OOZX USA Inc., stopped production at
the end of December 2008 as production of engines with aluminum tappet
ended. It will liquidate the affiliate by the end of fiscal 2009.
R&D
R&D Structure
OOZX technical center was completed in December 2006 within the Company's Shizuoka plant.
R&D Activities (As of Mar. 2009)
The Company worked to research and develop light-weight parts and highly abrasion-resistant materials, to establish technology for manufacturing valves with high-strength materials and to enhance its research system.
Technical Agreements (As of Mar. 2009)
1) Mutual Technical Assistance Agreements
2) Licensor
OOZX technical center was completed in December 2006 within the Company's Shizuoka plant.
| R&D Expenditure | (in million JPY) |
| (in millions JPY) | FY2008 | FY2007 | FY2006 |
| Overall | 155 | 200 | 142 |
R&D Activities (As of Mar. 2009)
The Company worked to research and develop light-weight parts and highly abrasion-resistant materials, to establish technology for manufacturing valves with high-strength materials and to enhance its research system.
Technical Agreements (As of Mar. 2009)
1) Mutual Technical Assistance Agreements
| Partner | Items | Contents | Period |
| TRW Automotive U.S. LLC (USA) |
Engine valves | Approval for non-Exclusive rights for manufacturing, sales and use | Jan. 1 1996 - (Automatic renewal) |
| TRW Automotive GmbH. (Germany) |
2) Licensor
| Partner | Items | Contents | Period |
| Wuchou Valve Industry Co., Ltd. (Taiwan) |
Engine valves | Approval for non-exclusive rights for manufacturing, sales and use of technology | Mar.14, 2005 - (Automatic renewal) |
| Cotters | Approval for exclusive rights for manufacturing, sales and use of technology | Jun. 30, 2006 - Jun. 29, 2011 |
|
| Shin Han Valve Ind. Co., Ltd. (Korea) |
Engine valves | Approval for exclusive rights for manufacturing, sales and use of technology | Sep. 29, 2008 - Sep. 28, 2011 |
| TRW Fuji Serina Co., Ltd. (Thailand) |
Engine valves | Approval for non-exclusive rights for manufacturing, sales and use of technology | Jan. 1, 2006 - Dec. 31, 2011 |
| TRW Fuji Valve Inc. (USA) |
Engine valves | Approval for non-exclusive rights for manufacturing, sales and use of technology | Sep. 15, 1988 - dissolution of JV |
| Shriram Pistons & Rings (India) |
Engine valves | Approval for non-exclusive rights for manufacturing, sales and use of technology | Dec. 5, 2005 - Dec. 4, 2012 |
Investment Activities
| Capital Expenditure | (in million JPY) |
| (in million JPY) | FY2008 | FY2007 | FY2006 |
| Overall | 291 | 645 | 1,084 |
| Product Division | 171 | 418 | 1,024 |
In the products business, in FY2008 (ended March 2009), the Company invested in machinery and equipment to streamline the engine valve production line.
New facilities:
| Facility (Location) |
Division | Facility type | Planned Investment Amount (millions JPY) |
Start | Scheduled Completion |
| Shizuoka Factory (Kikukawa-shi Shizuoka Pref.) |
Products business division | Facilities for small valves used in engines | 235 | Mar. 2009 | Mar. 2010 |
| Maintenance and renewal | 66 | Mar. 2009 | Mar. 2010 |