Strengthening the Supply Capacity and Improving Productivity of Steel Storage Sheds

「The company worked to secure demand by leveraging its strengths in supply capacity from mass production and its broad range of sizes, while responding to short lead times.」

「i) Office furniture production will be transferred from the Inuyama Plant to the Kashiwa Plant, which is close to the Tokyo metropolitan area, its main market, with completion scheduled for January 2026. ii) The Tomioka Plant's production facilities will be expanded to transfer part of storage-shed production from the Kashiwa Plant to the Tomioka Plant, with completion scheduled for July 2026.」

「During the current consolidated fiscal year, the company made capital investments including the construction of garage production facilities at the Inuyama Plant. Capital investment totaled ¥2,801 million, funded entirely from internal funds.」

「The main factor behind the change was a ¥720 million increase in machinery, equipment and vehicles resulting from the start of operations at the Inuyama Plant's garage production facilities.」

「There were no material changes during the first quarter of the current consolidated cumulative period to the planned construction of new production facilities at the Inuyama Plant, which had been in the planning stage at the end of the previous consolidated fiscal year.」

「i) In addition to the Tomioka Plant, a new garage-product production line will be established at the Inuyama Plant, while improving the efficiency of deliveries of large products to western Japan. ii) Office furniture production will be transferred from the Inuyama Plant to the Kashiwa Plant, which is closer to the Tokyo metropolitan area, its main market. iii) Part of storage-shed production at the Kashiwa Plant will be transferred to the Tomioka Plant.」

「The planned renovations to the Kashiwa Plant and its production facilities had been completed as scheduled in August 2022.」

「In January, our Company raised the prices of its steel storage sheds and office furniture. At the same time, to offset higher material costs, we worked to strengthen earnings by promoting sales activities to minimize the decline in shipments caused by the price increases, improving logistics efficiency by shortening delivery lead times, and improving and rationalizing production activities.」

「The planned renovations to the Kashiwa Plant and its production facilities had been completed as scheduled in August 2022.」

「The Group made capital investments of ¥2,122 million to rationalise production facilities and for other purposes. Major investments included the renewal of powder-coating equipment at the Kashiwa Plant and construction of a new equipment building at the Tomioka Plant.」

「Construction of the Tomioka Plant equipment building, which was planned at the end of the previous consolidated fiscal year, was scheduled for completion during the third quarter of the current consolidated fiscal year. However, the installation and relocation of machinery and equipment have taken longer than expected, so the scheduled completion date has been changed to May 2022. There is no change to the planned investment amount.」

「Renovation work at the Company's Inuyama Plant, which was under planning at the end of the previous consolidated fiscal year, was scheduled for completion during the first nine months of the current consolidated fiscal year. However, partly due to production requirements arising from increased sales, the scheduled completion month was changed to June 2021. There was no change to the planned investment amount.」

「Of the capital investment projects that were under planning at the end of the previous consolidated fiscal year, those completed during the first six months of the current consolidated fiscal year are as follows.」

「Property, plant and equipment and intangible assets totalled ¥27,142 million at the end of the first quarter of the current consolidated fiscal year, an increase of ¥716 million from the end of the previous consolidated fiscal year. The main change was a ¥750 million increase in construction in progress included in other property, plant and equipment, related to construction of the Shizuoka Sales Office and Shizuoka Distribution Centre and reconstruction of the production lines at the Inuyama Plant.」

「The Group will continue capital investment to strengthen its management platform and support future profit growth, including reconstruction of the steel-storage-shed production line at the Inuyama Plant and construction and relocation of the Shizuoka Sales Office and Shizuoka Distribution Centre.」

「The main factors behind the increase were higher land holdings resulting from the acquisition of sites including the relocation site for a distribution centre, higher construction in progress included in other property, plant and equipment due to construction of the new Shizuoka Distribution Centre and reconstruction of the production lines at the Inuyama Plant, and higher investment securities included in other investments and other assets due to the acquisition of bonds and other factors.」

「Against this backdrop, in addition to efforts to reduce manufacturing costs and improve quality and productivity, the Group worked to expand performance in each business sector by strengthening relationships with distributors and dealers, strengthening coordination between logistics and sales locations, and expanding consultative sales that leverage product strengths.」

「Against this backdrop, in addition to efforts to reduce manufacturing costs and improve quality and productivity, the Group worked to expand sales in each business sector by strengthening relationships with distributors and dealers, strengthening coordination between logistics and sales locations, and expanding consultative sales that leverage product strengths.」

「Against these conditions, our Group worked to expand sales in each business area, strengthen its product supply capabilities and improve productivity, among other initiatives.」

「Against these conditions, our Group worked to expand sales in each business area, strengthen its product supply capabilities and improve productivity.」

「Against these conditions, our Group worked to expand sales and market share in each business area, while promoting productivity improvements and cost reductions.」

「To maintain competitiveness and expand profitability, the Group will pursue an optimal production structure and actively promote cost reductions.」

「Against this backdrop, the Group worked to create demand through product model changes, a broader product lineup, and new application proposals, as well as improve production and logistics efficiency.」

「As a result, the Tomioka Plant established a mass-production structure combining production and logistics for the supply of large products.」

「Against this backdrop, the Company worked to improve profit by optimising the three plants as a whole and reviewing expenses to improve productivity.」

「The Company will continue building on initiatives to increase sales and profit by optimising the three plants as a whole to improve productivity and reducing costs by leveraging its integrated production structure.」

「The company worked to create a new steel storage shed market through application proposals and develop its production system through the full-scale operation of the Tomioka Plant.」

「The company worked to create a new steel storage shed market through application proposals and develop its production system through the full-scale operation of the Tomioka Plant.」

「The Company worked to create a new steel-storage-shed market through proposals for new uses and to improve productivity.」

「The Company worked to construct a new plant and renew its production and sales system in order to strengthen its capacity to supply products to the steel-storage-shed market and improve productivity.」