Business expansion driven by automotive and mobile as its two core revenue pillars

「Lexus uses high-sensitivity sensors for hidden buttons, Alps Alpine...」

「In the Tier 2 business, demand for our products remained firm and was at a level above the same period of the previous year.」

「During the current consolidated fiscal year, in the automotive market, business with major customers in Japan, North America and Europe in the Tier 1 business was affected in the previous fiscal year by production cuts accompanying intensifying competition in the Chinese market. Although the recovery remained limited in the current fiscal year, the business showed a slight improvement from the previous fiscal year. Meanwhile, the Tier 2 business continued to perform firmly as a broad range of inquiries for the company’s products increased. In the mobile market, business with major smartphone manufacturers remained firm. In the Consumer market, demand for game consoles and other products expanded.」

「Meanwhile, the Tier 2 business continued to perform steadily, supported by growing broad-based inquiries for our products.」

「In the automotive market, the Tier 2 business continued to perform firmly. In the Tier 1 business, major customers in Japan, North America and Europe, which are the company’s principal customers, were affected by production cuts in the previous fiscal year due to intensifying competition in the Chinese market, but this fiscal year showed a trend ranging from flat to a slight recovery year on year. In the mobile market, business with major smartphone manufacturers remained firm. In the Consumer market, demand for game consoles and other electronic components expanded.」

「Global vehicle production is on a recovery trend, and there are also business opportunities arising from changes in powertrain configurations and the market shares of automotive OEMs」

「The business environment surrounding the company remains challenging, despite the boost to sales and various forms of profit from the weaker yen and the recovery trend in global vehicle production. High material prices, intensifying competition due to the commoditization of smartphones, and declining demand resulting from inventory adjustments in consumer and automotive electronic components continue to weigh on conditions.」

「Although production slowed due to the spread of COVID-19 infections in China, products for mobile devices generally performed firmly as customers’ smartphone sales remained strong. The weaker yen also contributed to results, and both sales and operating profit exceeded the previous fiscal year.」

「Products for mobile devices performed firmly as customers’ smartphone sales remained strong. Although production volumes declined in part following the easing of China’s zero-COVID policy in December 2022 and the subsequent spread of infections, which reduced operating rates at Chinese factories, the weaker yen also contributed to results, and both sales and operating profit exceeded the previous fiscal year.」

「Products for mobile devices performed firmly, and the weaker yen also contributed to results, resulting in sales and operating profit both exceeding the same period of the previous year.」

「Sales in this market during the current consolidated fiscal year were ¥211.5 billion, up 1.2% from the previous fiscal year.」

「However, strong performance in the smartphone market led to year-on-year increases in both sales and operating profit for the business.」

「From the decline caused by COVID-19 in the same period of the previous year, the automotive market began to recover as global new-vehicle sales trended upward, while smartphone unit sales also increased following the launch of new smartphones by North American manufacturers. Both markets were on a recovery track during the second quarter of the current consolidated cumulative period. However, the impact of shortages of components, including semiconductors, in the automotive market became more serious, resulting in production cuts by automakers.」

「Sales in this market during the first quarter of the current consolidated cumulative period were generally strong across various products as the automotive market recovered from the impact of COVID-19, totaling ¥52.4 billion, up 58.2% year on year.」

「Sales in this market during the third quarter of the current consolidated cumulative period were generally sluggish across various products due to the global slowdown in the automotive market, totaling ¥149.9 billion, down 19.4% year on year.」

「Sales in this market during the second quarter of the current consolidated cumulative period were generally sluggish across various products due to the global slowdown in the automotive market, totaling ¥88.1 billion, down 30.0% year on year.」

「In the Electronic Components business, products in the automotive market were broadly sluggish due to the slowdown in vehicle sales. In the Consumer and Other market, various smartphone products were also significantly affected by the decline in shipment volumes. Overall, both the automotive and Consumer and Other markets were sluggish, and both sales and operating profit declined year on year.」

「In the Electronic Components business, module products and high-frequency communication products in the automotive market showed a generally sluggish trend as the automotive market was affected by the economic slowdown. In the Consumer and Other market, products also showed a sluggish trend despite efforts to develop new customers and expand sales of smartphone products.」

「In the Electronic Components business, products in the automotive market, including module products and high-frequency communication products, were broadly sluggish due to the slowdown in vehicle sales. In the Consumer and Other market, various smartphone products performed firmly due to new customer development and sales expansion initiatives. Overall, the Consumer and Other market was insufficient to offset weakness in the automotive market, and both sales and operating profit declined year on year.」

「In the automotive market, module products and high-frequency communication products became sluggish as vehicle sales were affected by the economic slowdown. In the Consumer and Other market, camera actuators and touch panels for smartphones, as well as sensors for wearable products, performed firmly due to new customer development and sales expansion initiatives. Overall, the increase in mobile products was insufficient to offset weakness in the automotive market, and operating profit declined year on year.」

「In the Consumer and Other market, camera actuators and touch panels for smartphones performed firmly in the mobile market due to new customer development and sales expansion initiatives. Overall, the increase in smartphone products was insufficient to offset weakness in the automotive market, and operating profit declined year on year.」

「Sales in this market during the third quarter of the current consolidated cumulative period were ¥209.2 billion, down 0.1% year on year.」

「Sales in this market during the second quarter of the current consolidated cumulative period were ¥139.6 billion, up 3.5% year on year.」

「Sales in this market during the first quarter of the current consolidated cumulative period were ¥70.6 billion, up 6.0% year on year.」

「Sales in this market during the current consolidated fiscal year were ¥283.2 billion, up 10.6% from the previous fiscal year.」

「Sales in this market during the third quarter of the current consolidated cumulative period were ¥209.4 billion, up 13.3% year on year.」

「Sales in this market during the second quarter of the current consolidated cumulative period were ¥134.9 billion, up 13.3% year on year.」

「In the Electronic Components business, products for the automotive market performed firmly across the board, including module products such as electronic shifters and door modules, as well as automotive device products such as communication and sensor products, including Bluetooth®, W-LAN and LTE products. Sales in this market during the first quarter of the current consolidated cumulative period were ¥66.6 billion, up 11.6% year on year. In the mobile market, sales of component products for smartphones remained at a high level.」

「We will pursue further growth by establishing the automotive and mobile markets as our two earnings pillars.」

「In the Electronic Components business, products for the automotive market remained firm, led by communication modules. In the mobile market, component products for smartphones also performed firmly.」

「In the Electronic Components business, sales of products for the automotive market remained firm, led by various input modules and communication modules. In the mobile market, some component products for smartphones were sluggish.」

「Sales of products for the automotive market remained firm, led by various input modules and communication modules.」

「We designated the automotive and mobile markets, together with EHII (Energy, Healthcare, Industry and IoT), as our three priority markets. Going forward, we will pursue further earnings improvement in the automotive market while continuing to create new products and expand our customer base in the mobile market, thereby establishing both markets as earnings pillars and pursuing further growth.」