Responding to existing customers' global expansion and expanding orders for new products

「Segment profit (operating profit) was ¥674 million, up 500.7% year on year, driven by revised selling prices, a lower defect rate, cost-structure reforms and improved profitability at the Mexican subsidiary, among other factors.」

「Newly ordered parts for automobiles, industrial machinery, and robots contributed to sales, which totaled ¥12,778 million, up 12.3% year on year.」

「The Company's sales declined in the domestic market, but sales related to EMS (electronics manufacturing services), particularly in China and India, increased in overseas markets, resulting in sales of ¥9,870 million, up 9.3% year on year.」

「Segment income (operating income), meanwhile, was ¥606 million, compared with a segment loss (operating loss) of ¥128 million in the previous fiscal year, as the Company worked to improve fixed-cost efficiency through higher line utilization and reform its cost structure through improved yields, process rationalization and other measures, as well as improve the efficiency of indirect operations.」

「Against this backdrop, the Company worked to expand overseas sales, particularly in Mexico and India, where future growth is expected, in addition to strengthening relationships with existing customers.」

「In addition, the Mexican subsidiary has focused on securing orders for drivetrain components expected to remain in sustained demand as the automotive industry transitions to EVs.」

「In addition, the Mexican subsidiary has focused on securing orders for undercarriage components expected to remain in demand after the automotive industry's transition to EVs.」

「Kitagawa Material Technology Company (metal products business): During the fiscal year, the Company pursued approaches to the robotics industry with a view to transforming its production base. It actively worked on prototype production using the evaporative pattern casting process in anticipation of producing large robot components, and secured orders. In the following fiscal year, the Company will strengthen these efforts and work to generate orders for machined products as well as castings.」

「At the Mexican subsidiary, preparations for production of newly ordered automobile components were completed and mass production began.」

「The Mexican subsidiary continued preparations for mass production of components to be installed in next-generation automobile models.」

「The Mexican subsidiary continued preparations for mass production of components to be installed in next-generation automobile models.」

「The Mexican subsidiary received an order for automotive components for a next-generation model and began preparations for the start of mass production in 2023.」

「At its overseas sites, the Company actively approached automakers transferring production from China and focused on securing new orders for automotive parts. In Japan, it also focused on orders for automotive parts that can leverage its strength in integrated production from materials development through machining.」

「Overseas, automakers have been moving production out of China, partly due to US-China trade tensions, and we focused on pursuing new orders for automotive parts associated with this shift. In Japan, we focused on pursuing new orders by leveraging our strengths in integrated production from materials development through machining and our processing expertise.」

「Under these circumstances, the business continued from the previous fiscal year to pursue share expansion in response to existing customers' overseas expansion, while focusing on new orders for high-value-added products that leverage the Company's strength in integrated production from materials through processing.」

「Full-scale production began in August at the newly constructed processing building at the Fukuyama Plant, and the secondary processing line was brought online in December of the same year ahead of schedule to meet requests for increased production.」

「Under these circumstances, the business focused on expanding production, including to respond to the global expansion of existing customers, and pursuing new orders for high-value-added products by leveraging the Company's strengths. Production of newly ordered products began in August at the newly built processing building at the Fukuyama Plant.」

「Under these circumstances, the Company focused on expanding its share with existing customers by strengthening its response to their global expansion and pursuing new orders for high-value-added products by leveraging its strengths.」

「Against this backdrop, we continued to improve profitability by focusing on increasing our share of customers’ component demand, including responding to existing customers’ global expansion, pursuing new orders for high-value-added products that leverage our strengths, improving production efficiency through higher productivity, fewer defects and improved yield, and reducing procurement costs.」

「The Company continued to focus on expanding its in-share, including by responding to existing customers' global expansion, and pursuing new orders for high-value-added products by leveraging its strengths. It also continued to improve profitability through higher productivity, fewer defects, improved production efficiency through yield improvements, and lower procurement costs.」

「The company worked to expand its share of existing customers' business, including by supporting their global expansion, and to win new orders for high-value-added products leveraging its strengths.」

「Under these circumstances, including responding to the global expansion of existing customers, we worked to increase our share of in-house production and win orders for new items that leverage our strengths.」

「Under these circumstances, including responding to the global expansion of existing customers, we worked to increase our share of in-house production and win orders for new items that leverage our strengths.」

「In this environment, we worked to increase our share of customers' component demand, including by supporting the global expansion of existing customers, and pursued new orders for products that leverage our strengths.」

「We worked to expand our in-share, including by responding to the global expansion of existing customers, and pursued orders for new products by leveraging the Company's strengths.」