Expanding market revenue by strengthening new businesses and expanding globally

「In the PIM business, in addition to the resumption of mass-production shipments of automotive turbo components, steady sales of high-performance components resulted in higher revenue, with first-half sales reaching a record high.」

「For the next fiscal year, full-scale mass production and the start of deliveries of automotive turbo components are expected, and stable orders and production are expected to continue. We will also enhance the product lineup in the high-performance product group by expanding new items.」

「In the PIM business, sales of high-performance components recovered as capital investment conditions improved, and the resumption of mass-production shipments of automotive components resulted in a substantial increase in revenue.」

「As a new project, we are developing a new type of high-performance component for silicon wafer handling on a prototype basis. Prototype development is progressing smoothly, supported by strong evaluations from end users. We will also continue to focus on commercializing aluminum nitride insulating and heat-dissipation substrates used in inverters for increasingly electrified automobiles and industrial equipment.」

「Meanwhile, we are developing a new type of high-performance component on a prototype basis for use in machine tools, silicon wafer handling, and aluminum cutting. We will also continue to focus on commercializing aluminum nitride insulating and heat-dissipation substrates used in inverters for increasingly electrified automobiles and industrial equipment.」

「Meanwhile, we are developing 3 new molds on a prototype basis for high-performance components used in general machinery, semiconductor manufacturing equipment, industrial robots, and for material handling and positioning in machine tools and silicon wafers. We will also continue to focus on commercializing aluminum nitride insulating and heat-dissipation substrates used in inverters for increasingly electrified automobiles and industrial equipment.」

「As a new project, we are developing 2 new molds on a prototype basis for high-performance components used in general machinery, semiconductor manufacturing equipment, industrial robots, and for material handling and positioning in machine tools. At the same time, we will continue to focus on commercializing aluminum nitride heat-dissipation substrates for the future electrification of automobiles.」

「Strong demand for development and manufacturing equipment, driven by expanding semiconductor-related demand, the advance of automation and robotics, and increased investment related to EVs, led to a significant increase in orders for ball screw components used in general machinery, semiconductor manufacturing equipment, industrial robots, and for material handling and positioning in machine tools, as well as high-performance components used in ceramic CMOS sensors. We also secured orders for a new type of ball screw component and plan to begin mass production sequentially.」

「Strong demand for semiconductor manufacturing equipment and related products led to a significant increase in orders for ball screw components for THK CO.,LTD. used in industrial robots and for material handling and positioning in machine tools, as well as high-performance components used in ceramic CMOS sensors. Newly ordered linear bearing components are used in industrial robots and for material handling in machine tools, and orders for these also increased significantly. Inquiries for new projects are also increasing, and we will continue to work toward rapid mass production.」

「Strong demand for semiconductor manufacturing equipment and related products led to a significant increase in orders for high-performance components used in linear bearings for THK CO.,LTD. and ceramic CMOS sensors. Newly ordered ball screw products are used in industrial robots and for material handling and positioning in machine tools, and orders for these products also increased. The full-scale resumption of previously suspended sales activities has increased inquiries for new projects, and we will continue to work toward rapid mass production.」

「We will progressively expand mass production of 5 standard mass-produced components, totaling 15 part numbers, for 4 major companies, including IHI Corporation and THK CO.,LTD. Mass-produced items have now expanded to 35 part numbers, including the 15 items noted above.」

「Mass-produced items have now expanded to 32 part numbers, including 5 automotive turbo components. We also received 3 new prototype project orders. Going forward, we will combine the Group's proprietary PIM technology with the advanced manufacturing capabilities developed over the past 2 years and pursue full-scale expanded sales toward achieving the new medium-term management plan, “VISION25/30.”」

「Mass-produced high-performance components, including linear bearings for THK CO.,LTD. secured two fiscal years earlier and ceramic CMOS sensors ordered in the previous fiscal year, grew, while sales of 6 newly ordered items, including molds, contributed to record sales for the cumulative third quarter. From the fourth quarter onward, full-year sales and operating profit for the PIM business alone are expected to reach record highs, supported by stable orders for mass-produced components and further new project wins.」

「Global demand for semiconductor manufacturing equipment and machine tools, which had been weak for an extended period, is clearly showing signs of recovery, leading to increased orders for components for linear bearings and ceramic CMOS sensor components. To resume sales activities for high-performance components, we are expediting the establishment of a mass-production system for automotive components scheduled to enter mass production from autumn 2021 onward, and will promptly establish a structure that enables the technical team previously focused on mass-production technology to concentrate on new orders.」

「Global demand for semiconductor manufacturing equipment and machine tools, which had been weak for an extended period due to the US-China trade friction and the impact of COVID-19, is clearly showing signs of recovery, and orders for linear bearings and ceramic CMOS sensor components are expected to recover gradually. Against this backdrop, to resume sales activities for high-performance components, we are expediting the establishment of a mass-production system for automotive components scheduled to enter mass production from autumn 2021 onward, and will promptly establish a structure that enables the technical team previously focused on mass-production technology to concentrate on new orders.」

「In high-performance components as well, we are curtailing sales activities aimed at aggressively securing new orders in order to focus on the automotive component prototyping event described below.」

「As global demand for semiconductor equipment and machine tools remains sluggish due to the prolonged US-China trade friction and the impact of COVID-19, orders for high-performance components, including linear bearings, have not yet recovered. At the same time, we are curtailing sales activities aimed at aggressively securing new orders in order to focus on the automotive component prototyping event described below.」

「In addition, from the third quarter of the previous fiscal year onward, we deliberately curtailed sales activities aimed at securing aggressive new orders in order to focus on the automotive turbo component prototyping event described below.」

「New orders during the fiscal year comprised 26 high-performance component orders and 4 material-sales orders. The main breakdown of the high-performance components was 5 additional linear bearing orders, bringing the cumulative total to 9, 3 FA equipment-related component orders, and ceramic CMOS sensor components, among others. Numerous new projects were secured by the end of the first half.」

「As high-value-added strategic products under the new 5-year plan (NP5Y-Challenge50), in addition to the 11 high-performance component part numbers already ordered in the previous fiscal year, we secured 19 new high-performance component orders and 7 new material-sales orders during the cumulative third quarter. The main breakdown was 5 linear bearing orders, 3 FA equipment-related component orders, and ceramic CMOS sensor components, among others.」

「As high-value-added strategic products under the new 5-year plan (NP5Y-Challenge50), in addition to the 11 high-performance component part numbers already ordered in the previous fiscal year, we secured 9 new high-performance component orders and 3 new material-sales orders during the cumulative second quarter. The main breakdown was 5 linear bearing orders, 3 FA equipment-related component orders, and ceramic CMOS sensor components, among others.」

「As high-value-added strategic products under the new 5-year plan (NP5Y-Challenge50), in addition to the 11 high-performance component part numbers already ordered in the previous fiscal year, we received 8 new orders during the cumulative first quarter, including 2 robot-related components and 1 linear bearing. Material-sales customers also increased from 12 to 15.」

「During the fiscal year, we resumed material sales to customers that do not compete with our sintered component sales and began full-scale market development for high-performance components. As a result, orders expanded significantly from the cumulative third quarter, reaching 11 high-performance component items, including linear bearings for THK CO.,LTD., and 12 material-sales customers. Operating profit reached a record high.」

「During the fiscal year, alongside developing PIM's 3 core products for full-scale commercialization from 2021 onward—nozzle vanes for gasoline turbo engines (Variable Geometry: VG turbo), ceramic balls, and ceramic heat-dissipation plates for electric vehicles (silicon nitride)—we formally began resuming material sales to customers that do not compete with our sintered component sales and pursuing orders for high-value-added mechanical components. As a result, we formally received orders for 7 stainless-steel component items for linear bearings (LM Guides for THK CO.,LTD.), which are in short supply worldwide, and began full-scale production. In material sales, we also began mass production of titanium alloy material used to manufacture sintered components for wearable devices.」

「As a result, we formally received orders for 5 items of linear bearing components (LM Guides for THK CO.,LTD.), which are in short supply worldwide, and began production. We also secured an order from a major customer for titanium alloy material used to manufacture sintered components for wearable devices. As orders for other materials and components remain solid, sales and operating profit for the fiscal year are expected to reach record highs.」

「Excluding the 3 major products, we aim for revenue of at least ¥300 million in the fiscal year ending March 2021 from sales of these materials and products, and will build an integrated production and sales structure for expanded sales.」

「In the PIM business, we have focused on commercialization development for automotive turbo components targeted for mass production from 2020 onward, ceramic separators for power devices designed to support the rapid shift toward EVs, ceramic ball bearings and other products.」

「We formally received orders for 3 products: medical endoscope parts for which deformation and other problems had occurred with other processes, and commercial electrical appliance parts replacing plastic parts, both as MIM (metal injection molding) products, and fishing-tackle line guides and 2 other items as CIM (ceramic injection molding) products. Revenue is scheduled to be recognized in the next fiscal year. Going forward, we will further strengthen our sales structure to identify a wide range of needs that can be addressed by our PIM process and undertake many similar projects.」

「In the PIM business, we are hiring immediately productive research and development and production engineering personnel and adding state-of-the-art equipment and testing machines to accelerate the development of key technologies for the full-scale commercialization of specific projects involving automotive turbo components, ceramic separators for power devices in response to the rapid shift toward EVs, and ceramic ball bearings.」

「We entered into a memorandum of understanding (MOU) with a manufacturer of turbo units whose principal customer is the world's largest turbocharger manufacturer, concerning the supply of several turbo components, including nozzle vanes.」

「Our group will work to improve and stabilize profitability through higher productivity by strengthening new businesses and expanding market revenue through global development for growth, while promptly relocating to the new plant to be acquired in Higashiomi, Shiga Prefecture, and investing in state-of-the-art equipment.」