Perfecting the Art of Electronics
Integrated Report 2019

2	 Message to Our Stakeholders
	 4	 Introduction
	
	   4	 History of Alps Alpine 
	
	   6	 Alps Alpine Products and Their Markets
	
	   8	 Financial and Non-Financial Highlights
	10	 Value Creation at Alps Alpine
	12	 Business Integration Synergies  
in the Value Chain
	14	 Alps Alpine’s Growth Strategy
	
	 14	 Message from the President
	
	 18	 Mid-Term Business Plan
	
	 22	 Approach to Financial Strategy
	
	 24	 Review of Business Segments
	
	 	
24	 Electronic Components Segment: Automotive Market
	
	 	
26	 Electronic Components Segment: Consumer Market
	
	 	
28	 Automotive Infotainment Segment
	30	 ESG Initiatives
	
	 30	 CSR Management
	
	 31	 Initiatives to Achieve Sustainability
	
	 	
32	 Product Quality and Safety
	
	 	
32	 Workplace Health and Safety
	
	 	
33	 Human Resources
	
	 	
34	 Procurement
	
	 	
34	 Environment
	
	 36	 Governance
	
	 	
36	 Directors
	
	 	
38	 Vice Presidents 
	
	 	
39	 Corporate Governance
	
	 	
42	 Internal Controls
	
	 	
43	 Compliance
	
	 	
45	 Risk Management
	
	 	
46	 Message from an Outside Director
	47	 Financial Section
	
	 48	 Summary of Key Management Indicators
	
	 50	 Consolidated Financial Statements
	88	 Corporate Data / Stock Information
Contents
Explanation of Reporting Media
Alps Alpine Co., Ltd.
On January 1, 2019, Alps Electric Co., Ltd. and Alpine Electronics, Inc. integrated their businesses and 
started afresh as Alps Alpine Co., Ltd. Alps Alpine was established as an operating holding company and 
has adopted a company system wherein the Alps Company, which handles the Electronic Components 
Segment, and the Alpine Company, which oversees the Automotive Infotainment Segment were newly 
established as internal companies within the system. As its corporate governance system, Alps Alpine 
has adopted a vice president system that preserves the independence of each business segment while 
separating management supervision from business execution. 
“Art” has its origins in a word for “technique” 
and initially there was no distinction between them.
Like artists, we continue to perfect our technique, 
or technology, so we can bring new value to society. 
 
We do this by shaping the future.
That is one of our roles.
Our challenge as we prepare to take another great leap 
forward is to combine the best of input specialists Alps 
and output specialists Alpine, leading to creation 
of necessary value for the new age.
Technology as Art Again.
Editorial Policy
The Alps Alpine Group recognizes the importance of promoting awareness about its activities among 
all of its stakeholders by readily disclosing information about business plans and results, ESG* initiatives, 
and other areas. For that reason, we view this Integrated Report 2019 as a vital communication tool.
* ESG refers to environmental, social, and governance factors, which, together with financial information,  
are considered important for evaluating corporate value. In this report, we summarize primarily Electronic 
Components Segment and Automotive Infotainment Segment initiatives relating to ESG factors.
Coverage
Organizations
The report covers the entire Alps Alpine Group worldwide, although coverage may vary for different activities.
Period
• The report principally covers the period from April 1, 2018 to March 31, 2019, but does include some 
activities occurring prior to or later than this period. 
• Environmental reporting covers the period from April 2018 to March 2019 for Japan, and the period 
from January to December 2018 for overseas.
Caution Concerning 
Forward-Looking 
Statements
Numerical plans, activity plans, and other forward-looking statements in this report are based on judg-
ments reached by Alps Alpine using the information currently available. Please understand that actual 
performance and results may vary considerably from scenarios described in forward-looking statements 
due to a wide range of factors.
Published in September 2019
Alpine Electronics, Inc.
Representative
Nobuhiko Komeya
Automotive Infotainment Segment
Not Listed
Alps Logistics Co., Ltd.
Representative  
Masaru Usui
Logistics Segment
Listed on TSE 2nd Section
Alps Company
(Electronic Components Segment)
Common Functional 
Departments
Planning Departments
Administration Departments
Chief Operating Officer
Nobuhiko Komeya
Alps Alpine Co., Ltd.
Listed on TSE 1st Section
Alpine Company
(Automotive Infotainment Segment)
Chief Operating Officer
Toshihiro Kuriyama
Website
Investor Relations
https://www.alpsalpine.com/e/ir/
index.html
Websites
CSR / Environment
https://www.alps.com/e/csr/
https://www.alpine.com/e/csr/
Website
Our Company
https://www.alpsalpine.com/e/
company/index.html
Degree of  
Importance to 
Stakeholders
Financial Information 
Non-Financial Information
Integrated Report 2019
Corporate Profile (Booklet)
1
Integrated Report 2019
Financial Section
Corporate Data /  
Stock Information
Message to  
Our Stakeholders
Introduction
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Value Creation  
at Alps Alpine

Since our establishment in 1948, as the electronics industry developed, Alps Electric and Alpine Electronics 
have been active in a wide range of fields, with Alps Electric producing products ranging from home elec-
tronics to information devices and electrical equipment for the consumer and automotive markets and 
Alpine Electronics focusing on automotive infotainment products such as car stereos and navigation 
systems. Today, we face an environment wherein change occurs at a faster pace than ever. 
	
In the auto industry, we are witnessing a once-in-a-century market and technology paradigm shift 
driven by a new trend known as connected, autonomous, shared & services, and electric (CASE) vehicles 
that involves a wide range of industries. We are also in the midst of the Fourth Industrial Revolution, which 
brings with it new products and services based on artificial intelligence (AI) and Internet of Things (IoT) 
technologies and changes in how we make products and work. On the other hand, growth in the smart-
phone market, which has been a driver of change in the electronics industry in recent years, has stopped 
and smartphones are becoming commoditized. 
	
In order to survive and continue to grow in this new age, in January 2019, Alps Electric Co., Ltd. and 
Alpine Electronics, Inc. integrated their businesses and started out as Alps Alpine Co., Ltd. 
	
Alps Electric’s business is centered on three core technologies: human–machine interface (HMI), sensors, 
and connectivity. The cultivation of depth of craftsmanship in these areas has made Alps Electric a “vertical 
I-shaped company.” Meanwhile, Alpine Electronics’ extensive software development and system integra-
tion technology expertise extend horizontally over a wide range of fields. Combining these two will allow us 
to come together to form an “innovative T-shaped company” that creates innovative new products and 
quickly and flexibly uses management resources to create synergistic benefits, effectively making one plus 
one equal more than two.
	
Today, amid rapid changes in industry, a wide range of people around the world are able to instantly 
connect with each other and share a variety of different values. As we face this period of rapid change 
together, we are striving every day to be an “innovative T-shaped company” that creates new value that 
satisfies stakeholders and is friendly to the Earth. 

August 2019
As we face a period of rapid change together,  
we aim to become an “innovative T-shaped company” 
that creates new value that satisfies stakeholders  
and is friendly to the Earth. 
Toshihiro Kuriyama
Representative Director
President & CEO
ALPS-COO
Nobuhiko Komeya
Representative Director
Senior Executive Vice President & CIO
ALPINE-COO
Message to Our Stakeholders
Alps Alpine Philosophy
Alps Alpine creates new values that satisfy stakeholders and are friendly to the Earth.
2
3
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

1948
’50
’55
’60
’65
’70
’75
’80
’85
’90
’95
2000
’05
’10
’15
’18
’24
Overview of the Alps Alpine Group
(Fiscal 2018 / as of March 31, 2019)
History of Alps Alpine
Since its foundation in 1948 under the name KATAOKA ELECTRIC CO., LTD., Alps Electric Co., Ltd. 
has been a comprehensive electronics manufacturer. Alpine Electronics, Inc. was established in 1967 
as a joint venture between Alps Electric and U.S. company Motorola, Inc. and became a leader in car 
navigation and car audio systems. In January 2019, the two companies integrated their businesses 
and began to forge a new way forward as Alps Alpine Co., Ltd. We will continue to enrich people’s lives 
through the development of leading-edge technologies and products.
Japan  
18.6%
Europe  
23.0%
North America	
18.5%
Asia	
 
39.5%
Others  
0.4%
1949
Variable condenser
Components used in radio tuning 
were a big hit owing to not only 
the popularity of amateur radio 
building but also the special 
procurement boom in Japan 
at the time.
1968
Cartable 
ALPS-MOTOROLA’s first 
product was a portable 
eight-track cassette player.
1954
Six-channel rotary 
switch television tuner
Development of the first 
Japanese rotary switch tuner 
commenced when TV broadcasts 
began and the product was 
launched after roughly a year and 
a half of trial-and-error testing.
1981
Electro Gyrocator®
This product, the world’s first 
car navigation system, was jointly 
developed by Honda Motor 
Company and Alps Electric.
Electro Gyrocator is a registered 
trademark of Honda Motor Co., Ltd.
1980
Floppy disk drives for 
PCs
Disc drives for floppy disks were 
used as recording media for 
PCs. The 5.25-inch floppy disk 
drive was used in the Apple II 
that took the world by storm. 
1990
7909 (Juba series)
The Juba series is a lineup of 
top-end car audio systems with 
each component individually 
designed based on home 
audio systems.
1995
Magnetic heads for  
hard disk drives
These products, which allow for 
the reading and writing of data 
on hard disks, contributed 
significantly to the popularization 
of home computers. 
2000
CDA-7990 (F#1Status)
This flagship model incorpo-
rated all of Alpine Electronics’ 
leading-edge technologies at 
the time. To this day, there are 
many fans of this model and 
its successors. 
1966
Slide potentiometer
This product created a whirlwind 
in the audio industry by allowing 
fine adjustments. It is still used 
in a wide range of applications, 
including automotive sensors.
1984
LV-105
The ALPINE/LUXMAN brand was 
created as a result of a capital 
tie-up with (the former) LUX.
2002
HAPTIC COMMANDERTM
This product represented the first 
use of force feedback technol-
ogy, which allows a wider range 
of tactile operating sensations, 
for automotive applications. 
HAPTIC COMMANDER is a registered 
trademark of Alps Alpine Co., Ltd.
2010
VIE-X088
This was the first 8-inch 
aftermarket model created 
using a specially designed 
display and peripheral panel. 
1976
TACT SwitchesTM
These products are used as 
an input switch for a wide range 
of devices, and have held the top 
share of the market for similar 
switches for many years. 
1989
5952
This six-CD changer was the 
smallest of its kind at the time 
and was a global hit.
2011
Camera actuators
We provide a reliable supply of 
compact, high-quality actuators, 
which are components in 
smartphone cameras that 
control lens movement when 
focusing and zooming.
(FY)
2016
X Speaker series
Through advances in components 
such as tremblers, magnets, 
and coils, Alpine Electronics’ 
first high-resolution speakers 
realized improved functionality 
and sound quality. 
Consolidated Net Sales  
¥ 851.3 billion 
Consolidated Overseas Sales Ratio  
81.4%
Total Assets  
¥ 675.7billion
Number of Consolidated Employees  
41,840
Global Network  
93 locations in 24 countries 
around the world
Number of Corporate Clients  
Approx. 2,000 companies
1948
■ Established in Ota-ku, Tokyo, 
as KATAOKA ELECTRIC CO., LTD.
1988
■ Alpine Electronics listed on the 
Second Section of the Tokyo 
Stock Exchange and became 
an independent company
2011
■ ■ Great East Japan Earthquake struck. 
Despite sizable damage to facilities, 
production at all plants resumed within 
two weeks after the disaster
1978
■ Changed name of ALPS-MOTOROLA to Alpine Electronics, 
Inc. and began selling Alpine brand car audio systems 
in Japan the following year
1991
■ Alpine Electronics 
changed listing to 
First Section of 
the Tokyo Stock 
Exchange
1964
■ Changed company name 
to Alps Electric Co., Ltd.
1967
■ Alps Electric listed on the First Section 
of the Tokyo Stock Exchange
■ Established ALPS-MOTOROLA INC.
Trends in Sales
■  KATAOKA ELECTRIC CO., LTD. / Alps Electric Co., Ltd.
■   ALPS-MOTOROLA INC. / Alpine Electronics, Inc.
■  Alps Alpine Co., Ltd.
■ Alps Logistics Co., Ltd., etc.
1998
■ Established Corporate Vision on the 50th anniversary 
of the founding of Alps Electric. Changed business 
domain to “Art of Electronics”
2019
■ ■ Business integration 
of Alps Electric and 
Alpine Electronics to 
form Alps Alpine Co., Ltd.
The Alps Alpine Group targets 
consolidated net sales of  
¥1 trillion by fiscal 2024.
1970
■ ■ Established a business division system in Alps Electric 
and changed internal name of ALPS-MOTOROLA to 
the “Iwaki Division”
Products Created
Alpine  
Company
(Automotive  
Infotainment Segment)
Alps  
Company
(Electronic  
Components Segment)
4
ALPS ALPINE CO., LTD.
Financial Section
Corporate Data /  
Stock Information
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
5
Integrated Report 2019

Main  
Products
Electronic Parking System
Engine Start Switch
LTE Module
Automotive V2X Module
Power Window
Steering Wheel Module
Electric Shifter
EGR Valve Sensor
Bluetooth® /  
Wi-Fi® Combination Module
Main  
Products
Touch Panel
Actuator for Cameras
Power Conversion Module
Sensor Network Module
Compact Printer
Multi-Directional Operating Device
Pressure, Geomagnetic, Force, 
and Humidity Sensors
HAPTIC™ Reactor for Controllers
Current Sensor
Main  
Products
Car Navigation System
Rear Seat Monitor
OEM Sound System Speaker
In-Vehicle Infotainment System
Premium Sound Speaker
Camera / Drive Recorder
Customized Car
Amplifier for In-Vehicle Sound System
Display
Supplied to 
•  Automakers
•  Auto parts module manufacturers, etc.
•  Automotive electronics manufacturers
•  Automotive electronics manufacturers 
(for car navigation and car audio 
systems)
•  Automotive door manufacturers  
(for door latches)
•  Automotive safety system  
manufacturers (for EPBs)
•  Automotive air conditioning system 
manufacturers (for HVAC operation)
•  Automotive system manufacturers, etc.
Finished Products 
• Automobiles
• Motorcycles, etc.
Supplied to 
• Camera module manufacturers
• Display manufacturers
• Substrate module manufacturers
• OEM*1 manufacturers
• ODM*2 manufacturers
• Gaming console manufacturers
• Energy storage system manufacturers
• Optical communication device 
manufacturers
• Industrial device manufacturers
• Auto parts manufacturers
• Healthcare device manufacturers
• Infrastructure-related corporations, etc.
Finished Products 
• Smartphones
• Tablets
• Notebook PCs
• Gaming consoles
• Compact printers
• Storage battery systems
• Servers
• Optical communication systems
• Building energy management systems 
(BEMS)
• Monitoring systems
• Environmental management systems, 
etc.
Supplied to 
• Automakers
• Car dealers
• National auto accessory chain stores
• Electronics manufacturers, etc. 
Finished Products 
• Automobiles
• Motorcycles, etc.
Electronic Components Segment
Automotive Infotainment Segment
Alps Alpine Products and Their Markets
Supplying 40,000 Different Electronic Components to 2,000 Companies as a Comprehensive 	
Electronics Manufacturer
Creating the Car Lifestyles of the Next Generation as a Mobile Media Innovation Company
Automotive Market
Consumer Market
32.6%
22.4%
35.7%
Share of Net Sales
(Fiscal 2018)
Share of Net Sales
(Fiscal 2018)
Share of Net Sales
(Fiscal 2018)
We contribute to the safety, comfort, and energy efficiency 
of cars and motorcycles by providing high-frequency  
communication products using W-LAN and  
LTE technologies necessary for advanced  
driver-assistance systems (ADASs) and  
autonomous driving systems. 
In addition to developing and supplying various devices 
for multifunctional and high-performance digital devices, 
we are striving to create products that address the 
issues the world will face in the near future by utilizing 
products and technologies that we have created 
and developed. 
We create the car lifestyles of the next generation 
as a mobile media innovation company in the fields 
of audio, visual, navigation & cockpit display, com-
munication & cloud services, and drive assistance.
*1 OEM: Original equipment manufacturer
*2 ODM: Original design manufacturer
HAPTIC is a registered trademark of 
Alps Alpine Co., Ltd.
6
7
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Financial and Non-Financial Highlights
0
200
400
600
1,000
800
’16
’15
’14
’18
(FY)
’17
748.6
774.0
753.2
858.3
851.3
0
10
20
30
50
40
0
5
10
15
25
20
’16
’15
’14
’18
’17
(FY)
39.0
34.7
34.9
47.3
22.1
21.9
19.1
14.5
17.1
6.6
0
3
6
12
9
0
20
40
60
80
’16
’15
’14
’18
’17
(FY)
53.5
52.3
44.3
71.9
8.4
5.9
6.8
7.2
49.6
5.8
(80)
(60)
(40)
(20)
0
20
40
60
80
’16
’15
’14
’18
’17
(FY)
65.1
(29.7)
(30.3)
(37.9)
(66.7)
(67.4)
53.9
35.3
23.5
3.6
3.6
5.2
41.6
70.3
72.6
Net Sales
(Billions of yen)
Profit Attributable to Owners of Parent / ROE 
(Billions of yen)
(%)
Dividends per Share / Payout Ratio (Alps Electric / Alps Alpine)
(Yen)
(%)
Operating Income / Operating Income Margin
(Billions of yen)
(%)
Cash Flows 
(Billions of yen)
Capital Expenditures / Depreciation and Amortization
(Billions of yen)
 Electronic Components 
 Automotive Infotainment 
 Logistics 
 Others
 Profit attributable to owners of parent (left) 
 ROE (right)
 Alps Electric 
 Alps Alpine (left) 
 Payout ratio (right)
 Electronic Components 
 Automotive Infotainment 
 Logistics
 Others / Eliminations (left) 
 Operating income margin (right)
 Operating cash flows 
 Investing cash flows 
 Simplified free cash flows
 
 Electronic Components 
 
 Automotive Infotainment 
 
 Logistics
 
 Others  (Left bar: Capital expenditures; right bar: Depreciation and amortization)
SUMMARY
In fiscal 2018, consolidated net sales were ¥851.3 billion (down 0.8% year on year). 
In the Electronic Components Segment, sales in the consumer market fell sharply 
and sales in the automotive market declined slightly, resulting in segment sales of 
¥468.6 billion (down 8.8% year on year). In the Automotive Infotainment Segment, 
sales of genuine products for automakers increased to ¥303.5 billion (up 13.4% 
year on year).
SUMMARY
In fiscal 2018, consolidated profit attributable to owners of parent was ¥22.1 billion 
(down 53.3% year on year) due to the decline in consolidated operating income. 
As a result, ROE fell to 6.6% (compared with 17.1% in fiscal 2017).
SUMMARY
In fiscal 2018, the Company paid both an interim dividend and a year-end dividend 
of ¥25 per share, resulting in full-year dividends of ¥50 per share (up ¥13 per share 
year on year). Our goal is to strike a balance between the following three goals: 1) 
secure a sound financial base, 2) invest in sustainable growth, and 3) improve 
capital efficiency.
SUMMARY
In fiscal 2018, consolidated operating income was ¥49.6 billion (down 31.0% year 
on year). In the Electronic Components Segment, operating income contracted to 
¥29.6 billion (down 44.1% year on year) due to a sales decline and rising depreciation 
costs. In the Automotive Infotainment Segment, operating income reached ¥13.9 
billion (up 1.4% year on year) as sales rose. Accordingly, the consolidated operating 
income margin was 5.8% (compared with 8.4% in fiscal 2017).
SUMMARY
In fiscal 2018, net cash provided by operating activities amounted to ¥72.6 billion 
(up ¥2.2 billion year on year) because, although pre-tax net profit declined, 
depreciation and amortization rose and the change in notes and accounts receivable–
trade and inventories improved. Net cash used in investing activities increased owing 
to capital investments in production facilities for mobile products, such as smart-
phone components, and automotive products aimed at securing future profits. 
SUMMARY
In fiscal 2018, in the Electronic Components Segment, the Company invested ¥33.2 
billion (compared with ¥61.2 billion in fiscal 2017), mainly in production plants in 
Japan and production facilities for mobile products, including smartphone compo-
nents, and automotive products. On a consolidated basis, the Company invested 
¥52.9 billion (compared with ¥76.1 billion in fiscal 2017). The Company conducts 
depreciation over a short time scale, taking into consideration product life cycles 
to maintain a sound fiscal position.
21.9
29.4
24.1
13.2
62.8
0
20
40
60
80
’16
’15
’14
’18
’17
0
15
30
45
60
(FY)
15.0
25.0
30.0
37.0
50.0
0
20
40
60
80
’16
’15
’14
’18
’17
(FY)
31.428.0
30.7
33.0
36.0　
44.1
41.1
47.6
76.1
52.9
R&D Expenses / Percentage of Net Sales
(Billions of yen)
(%)
0
10,000
20,000
30,000
50,000
40,000
’16
’15
’14
’18
’17
(At ﬁscal year-end)
37,564
39,588
42,053
42,289
41,840
Number of Employees by Business Segment
 Electronic Components 
 Automotive Infotainment 
 Logistics 
 Others
 Electronic Components 
 Automotive Infotainment (left) 
 Percentage of net sales (right)
0
1.0
2.0
3.0
4.0
’17
’16
’15
’19
’18
1.8
1.8
1.1
1.4
1.8
(Year)
Ratio of Women in Management Positions*  
(Alps Alpine / Alpine Electronics)
(%)
* As of April 1 of each year
Water Use / Water Use per Unit
(Thousand m3)
(m3 / 100 millions of yen)
 Water use (left) 
 Water use per unit (right)
Waste Emissions / Waste Emissions per Unit
(t)
(t / 100 millions of yen)
 Waste emissions (left) 
 Waste emissions per unit (right)
0
100
200
300
400
0
20
40
60
80
100
’16
’15
’14
’18
’17
(FY)
302.5
40.40
40.22
44.26
40.88
40.71
311.3
333.4
350.9
346.6
CO2 Emissions / CO2 Emissions per Unit 
(Thousand t-CO2)
(t-CO2 / 100 millions of yen)
 CO2 emissions (left) 
 CO2 emissions per unit (right)
SUMMARY
In fiscal 2018, R&D expenses amounted to ¥18.6 billion and ¥14.1 billion in the 
Electronic Components Segment and the Automotive Infotainment Segment, 
respectively. The Company is investing ¥200.0 billion to create new businesses 
that conduct product development integrating devices and systems through 
the amalgamation of sensing and communications technologies with system design 
and software development. 
SUMMARY
Alps Alpine enables a wide variety of workstyles, including reduced working hours 
and teleworking, and endeavors to provide an environment in which women can easily 
attain management positions by opening nursery schools at Company offices and 
other efforts. We have promoted the creation of female employee networks enabling 
them to share and overcome concerns pertaining to life events that impact women. 
We have always provided overseas work and trainee opportunities equally to male 
and female employees with the aim of increasing the ratio of women in management 
positions over the long term.
SUMMARY
In fiscal 2018, the Group saw reductions in both its total waste emissions output and 
waste emissions per unit of production year on year. These reductions are attributable 
to the non-recurrent emissions increases seen in fiscal 2017 resulting from the 
disposal of equipment, among other factors. 
SUMMARY
In response to the business environments of each business segment, we are 
increasing productivity globally and promoting the fair management of personnel.
SUMMARY
In fiscal 2018, the Group lowered both its total CO2 emissions output and CO2 
emissions per unit of production year on year, mainly stemming from a decline in 
production in the Electronic Components Segment, which generates a high level 
of CO2 emissions. 
SUMMARY
In fiscal 2018, the amount of water used and water use per unit of production by the 
Group both decreased year on year, mainly owing to a decline in production in the 
Electronic Components Segment, which uses large amounts of water.
0
10
20
30
40
0
2
4
6
8
’16
’15
’14
’18
’17
(FY)
33.0
33.3
32.2
29.7
3.5
4.3
4.3
4.4
32.8
3.9
0
150
300
450
600
0
500
1,000
1,500
2,000
’16
’15
’14
’18
’17
(FY)
1,601.0
213.9
221.2
237.6
210.1
205.9
1,712.5
1,789.6
1,802.9
1,752.8
0
2
4
6
8
10
0
5,000
10,000
15,000
25,000
35,000
20,000
30,000
’16
’15
’14
’18
’17
(FY)
27,190
3.63
3.54
3.79
3.62
3.22
27,387
28,568
31,108
27,378
8
9
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

* EHI: Energy, Healthcare, and Industry
Strategies and Measures  
(1st Mid-Term Business Plan)
Perfecting the Art of Electronics. At Alps Alpine, we aim to create new value that contributes to a more comfortable, 
better society by accurately understanding the needs of society and the market and creating a wide range of electronics, 
from components to modules and retail products. 
Our Goal
Value Creation
Creation of new value based  
on a global perspective
Risks and Opportunities 
Faced by Alps Alpine
Alps Alpine’s Business Activities
Understanding of Challenges 
in the External Environment 
and Social Issues 
Electronic Components Segment
Launching of New Businesses  
(in High-Value-Added Fields)
• Synergies between the businesses of former 
Alps Electric and Alpine Electronics for 
further leveraging of the strengths of 
both companies
• Integration of HMI, sensing, and communi-
cations technologies and system design 
and software development 
 CASE + Premium HMI
• Acceleration of commercialization by 
developing products that integrate devices, 
modules, and systems
 EHI and IoT
• Solution provider in the industrial machinery 
and infrastructure markets 
Increasing of Earnings in 
Existing Businesses
• Lean operations achieved through man-
agement restructuring (eliminating waste 
and improving efficiency) and shifting 
management resources
• Emergence of cost synergies
• Response to improve productivity
Automotive Infotainment Segment
Environmental Issues
• Measures to mitigate our climate 
change impact and create 
a recycling-oriented society
• Global environmental regulations
Opportunities
• Society 5.0 (high-level integration 
of virtual and real-world environments 
along with economic development 
and the resolution of social issues)
• Technological innovation and shift 
to electric vehicles in the automotive 
industry, and MaaS*
• Products and goods becoming 
intelligent through the use of AI
• Evolution of the IoT based on high-
speed communications technologies 
such as 5G
* MaaS: Mobility-as-a-Service
Risks
Being unable to turn opportunities into 
businesses, thereby not improving 
corporate value 
(Expected reasons)
• Delays in development due to insuf-
ficient technological capabilities and 
resource shortages, etc.
• Inappropriate investment timing and 
excess investments, etc.
• Not clearing the break-even point due 
to increased costs
• Product defects, etc.
Societal Issues
• Measures to prevent traffic 
accidents and workplace 
accidents
• Promotion of social infrastructure 
that contributes to urban 
development 
Changing Demographic 
Trends
• Urbanization and depopulation
• Declines in birth rates in devel-
oped countries and population 
growth in emerging countries
• Heightening of awareness of 
health and welfare issues
Diversification of Lifestyles 
and Values
• Shift in focus from ownership 
to use
• Efficient and rich lifestyles
• Shift in focus from consumption 
of goods to experiential value
Realization of products that  
are kind to the Earth and  
in harmony with the environment 
Response to diverse values  
of individual people and  
provision of products that  
contribute to the sustainable  
development of society
Delivery of unique products  
and systems that connect  
people to cars and other  
machines and creation of a safe,  
secure, and comfortable society
Contribution to the realization  
of sustainable and rich lifestyles  
through electronic components  
that benefit people and the Earth
1st Mid-Term Business Plan  
Targets
Cost synergies
¥20.0 billion
Investments in new businesses
¥200.0 billion
Automotive Market
Automotive Devices
Automotive Modules
Consumer Market
Mobile Devices
Components
EHI* and IoT
Infotainment
Sound
Displays
Medium- to Long-Term  
Business Targets (Fiscal 2024)
Consolidated Operating Income Margin
10%
Consolidated Net Sales
¥1 trillion
Innovative  
T-Shaped Company
ITC101
Evolution from component supplier  
into functional device partner
Evolution into mobility life creator  
with in-house core devices
Value Creation at Alps Alpine
10
11
Integrated Report 2019
ALPS ALPINE CO., LTD.
Financial Section
Corporate Data /  
Stock Information
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives

Strengthening of 
Existing Businesses 
and Creation of 
Competitive New 
Businesses through 
Business Integration 
Synergies
Business Integration Synergies in the Value Chain
As the newly formed Alps Alpine, we will develop new products and continue to meet the challenges of new markets by 
integrating the core device technologies of Alps Company, which has created a wide range of electronic components, with 
Alpine Company’s system design and software development capabilities developed in the field of car navigation. By inte-
grating our production, sales, and procurement functions, we will also build a business foundation capable of generating 
¥1 trillion in annual consolidated net sales by fiscal 2024 and aim to become a company capable of sustainable growth. 
Business Integration 
Synergies
Leveraging of both B-to-B and 
B-to-C customer planning 
capabilities 
Utilization of our product  
planning capabilities to  
meet wide-ranging  
market needs
Integration of core device 
design capabilities and  
software design capabilities 
System proposals provided  
on a global scale  
by experts in electronic devices
Realization of the integration of 
systems, functions, and locations
Further strengthening  
of global suppliers’  
cooperation and  
procurement capabilities 
Mutual use of production  
technologies, locations,  
and resources 
Creation of an optimized 
global production system 
that can improve cost  
performance, quality,  
and efficiency 
Further strengthening of global 
sales network and sales system 
at the customer-base level
Achievement of  
sales growth
Strengths and Management 
Resources
• Wide range of markets and 
approaches to B-to-B customers
• Product planning that aims to 
create “Number 1” (market-leading) 
products and “First 1”  
(first-of-a-kind) products 
Strengths and Management 
Resources
• Flexible production system capable 
of supporting a wide range of 
production styles, from small-lot 
production of a wide variety of 
products to mass production
• Production technologies that 
improve productivity (development 
of robots/automation) and precision 
molding technologies
Strengths and Management 
Resources
•  Strengths in core device technology 
fields: human–machine interface 
(HMI), Connectivity, and 
SENSORING™
•  Our eight proprietary technologies* 
and our ability to leverage  
shimidashi (trickle-out product 
development) to boost their 
competitiveness 
Leveraging of the logistics  
experience accumulated  
in various countries and  
the post-integration scale  
of logistics operations
Collaboration with  
Alps Logistics to design  
optimized global logistics  
for the entire Group
Strengths and Management 
Resources
• Global procurement system  
capable of responding to a broad 
variety of needs
Strengths and Management 
Resources
• Provision of a wide range of  
electronic components to B-to-B 
customers worldwide
• Diverse sales channels including 
e-commerce and brick-and-mortar 
distributors
Strengths and Management 
Resources
•  Ability to meet the needs of end 
users in our B-to-C businesses
•  Product planning that leverages 
the power of the Alpine brand
•  Ability to offer solutions 
Strengths and Management 
Resources
•  System design and software 
development
•  Well-equipped testing facilities 
(integrated testing centers and 
testing courses) and a global 
testing system 
Strengths and Management 
Resources
• Local procurement capabilities in 
global production locations
Strengths and Management 
Resources
• Establishment of global  
production locations to achieve  
made-in-market (MIM) production
Strengths and Management 
Resources
• Global sales and after-service 
networks
• Robust ability to respond to the 
needs of OEM customers and 
end users
Planning / Marketing
Development / Design
Procurement
Production
Logistics
Sales
Alps Company
* Eight proprietary technologies:  
Evaluation and simulation technology, design 
and assembly technology, microfabrication 
technology, thin film process technology, patterning 
and packaging technology, optical design and 
molding technology, materials and application 
technology, and IC design technology
Alpine Company
12
13
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration 
Synergies in the 
Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Alps Alpine Co., Ltd. started anew in January 2019. 
	
Global industry is facing a new highly competitive era 
wherein corporations are fighting for survival amid the emer-
gence of a new technological and market paradigm shift in 
the automotive industry known as CASE (connected, auton-
omous, shared & services, and electric) vehicles, commoditi-
zation in the smartphone market, and advancements in AI 
and IoT technologies driving a major transformation known 
as the Fourth Industrial Revolution. The business integration 
of the former Alps Electric and Alpine Electronics is based 
on the resolve to come together to survive and face the 
challenges of this new era. The vision for the new Company, 
which integrates the strengths of Alps Electric and Alpine 
Electronics, is to become an “innovative T-shaped company.”
	
Alps Electric was established in 1948 under the name 
KATAOKA ELECTRIC CO., LTD. Alpine Electronics was 
established in 1967 as a consumer electronics maker 
specializing in car stereos via a joint venture with a U.S. 
corporation. Both companies had the strong ambition 
to contribute to the enrichment of people’s lives through 
electronics and had corporate visions that placed great 
importance on creating value. Both companies pursued their 
own strengths, with Alps Electric deeply pursuing its proprietary 
elemental technologies, as symbolized by the vertical line 
in the capital “T,” and Alpine Electronics integrating a broad 
range of devices and modules into systems, as symbolized 
by the horizontal line. 
	
The creation of an “innovative T-shaped company” through 
the merger of these two companies that share the same 
ambitions will produce synergistic benefits and result in 
a company that creates completely new value. Not only the 
management team but also all our employees have adopted 
the phrase “One Alps Alpine” to express their resolve to 
realize this vision as they take on new challenges.
Alps Alpine has established “ITC101” as its medium- to long-
term business target. 
	
“ITC” stands for “innovative T-shaped company,” as 
described above. “101” refers to our target of achieving 
a consolidated operating income margin of 10% and con-
solidated net sales of ¥1 trillion. In order to reach this target, 
we must integrate the technologies of our predecessor 
companies. 
	
The value of electronic component products comes not 
just from individual pieces of hardware. In recent years, the 
ratio of product value that comes from software has been 
increasing. Therefore, in the Electronic Components Segment, 
our goal is to evolve from a component supplier to a functional 
device partner and, in the Automotive Infotainment Segment, 
to evolve into a mobility life creator with in-house core devices 
amid a major paradigm shift in the automotive industry. 
In addition, we will work to develop unique products that 
take advantage of our strengths as a “T-shaped company” 
and supply them to industrial device markets with growth 
potential, such as the EHII (energy, healthcare, industry, 
and IoT) markets.  
	
The process of creating products for the automotive or 
industrial device market generally takes roughly four to five 
years from the start of development to the mass production 
stage. We therefore expect to reach our “ITC101” target in 
approximately five years from now, when products currently 
in development have been perfected, mass production has 
begun, and these products are contributing to sales growth. 
This will therefore be in fiscal 2024, the final year of the period 
covered by the 2nd Medium-Term Business Plan (MTP). 
Making a Firm Commitment to Come Together to Face the Challenges  
of a Highly Competitive Era
Evolving Mainstay Businesses through Technology Integration and  
Realizing the Vision of “ITC101” during the Period Covered by the 2nd MTP
Toshihiro Kuriyama
Representative Director
President & CEO
Alps Alpine will strive to become  
an “innovative T-shaped company”  
to bring happiness to  
all of its stakeholders.
Message from the President
14
15
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

We believe it is important to work toward the realization of 
a sustainable society and have been taking concrete steps 
to do so for many years. 
	
In 1994, we established our Environmental Charter based 
on the recognition that we are all crew members of Spaceship 
Earth. At the same time, we also drew up a medium-term 
action plan to promote global environmental management 
efforts, including supplying products that help lighten our 
environmental impact. 
	
We began full-scale overseas operations in the 1970s and 
currently conduct operations in 24 countries. We see a work 
environment wherein employees with different nationalities, 
who speak different languages and have different cultures and 
customs, can understand and respect each other and develop 
into creative, independent professionals as the source of our 
corporate strength. We have also implemented diverse 
workstyle systems including teleworking and core flex time 
policies as well as flexible systems that allow employees 
to work shorter hours and take different types of holidays. 
This has resulted in many female employees continuing to 
work even after marriage and childbirth, extending their careers 
to the same length as our male employees. 
	
As a member of global society, we follow the basic prin-
ciple of respecting the diversity of our employees around the 
globe. This diversity includes a broad range of races and 
religious and other values and political beliefs and opinions. 
	
Seventy-one years after our foundation, Alps Alpine has 
embarked on a new beginning. Under our new structure, we 
will continue striving to reach the goals set out in our medium-
term business plans and achieve sustainable growth while 
endeavoring to become an “innovative T-shaped company” 
that brings happiness to all of our stakeholders.
Integrating Our Strengths to Create New CASE and  
EHII Businesses That Generate Net Sales of ¥150.0 Billion
Lean Business Operations Is a Major Theme of the 1st MTP— 
Increasing Earnings While Maintaining Current Operations Scale
Increasing Corporate Value over the Medium to Long Term Based  
on the Five Statements of the Alps Alpine Business Approach.
Fulfilling Our Responsibilities as a Member of Global Society by Reducing Our 
Environmental Impact and Respecting the Diversity of Employees Worldwide, etc.
August 2019
In the automotive industry, traditional electronic components 
and internal combustion engines are expected to become 
commoditized in the near future and we do not expect these 
markets to grow. However, automakers are focusing on CASE 
electric vehicles and autonomous driving-related products. 
In order to avoid a negative impact from the commodification 
of cars owing to trends such as car sharing, many companies 
are pursuing a strategy of differentiation wherein they focus 
on premium cockpits, interior designs, and driving operating 
systems for mid-range to high-end premium cars that allow 
end users to feel the joy and value of car ownership.
	
In response to the abovementioned trends, we will develop 
integrated devices and products that combine Alps Electric’s 
core technologies such as HMI, sensing, and telecommuni-
cations devices with Alpine Electronics’ strengths of system 
design and software development. We will create products 
and pitch new ideas for the CASE market, which we believe 
has growth potential, and Premium HMI products for our 
“Premium Car” concept. 
	
We anticipate a wide range of customers and business 
models in the EHII markets, which offer growth potential. 
The IoT market consists of three business layers: (1) the base 
layer, wherein sensors collect data from a variety of sources 
and transmit it to the cloud, (2) the cloud services business 
layer, and (3) the service provider business layer that analyzes 
and processes big data from the cloud to provide various 
services. In these markets, we will leverage the advantages of 
our “T-shaped company” structure and develop businesses 
tailored to the needs of our customers, integrating the tech-
nologies of Alps Company and Alpine Company to develop 
devices and systems and create new service businesses. 
	
Under the current 1st MTP, in addition to developing 
businesses related to CASE and Premium HMI, we are 
making investments with the aim of generating sales from 
these new businesses. 
	
The foundation supporting our efforts to create new 
businesses is our electronic components business, which 
focuses on generating earnings and supplies components 
for consumer electronics such as smartphones and gaming 
consoles. This business has established dominant market 
positions by using proprietary technologies developed over 
many years as its foundation, in order to enable it to create 
a mass production system capable of stably supplying 
appealing, high-quality products. Recently, a number of 
technologies such as AI and VR that have the potential to 
revitalize markets have gradually begun to show signs of wider 
adoption, and we will focus on creating devices for these 
markets that form another earnings pillar for the Company. 
“Alps Alpine creates new value that satisfies stakeholders 
and is friendly to the Earth.”
	
This philosophy incorporates our views on the ideals of 
craftsmanship, our responsibilities to society, and our desire to 
believe in people that comes from our aspiration to contribute 
to the enrichment of people’s lives through electronics. 
The five statements of the Alps Alpine Business Approach 
are the yardstick by which we measure our concrete progress 
toward our philosophy.
	
The five statements of the Alps Alpine Business Approach 
were established in 1998, the 50th year after the establishment 
of our predecessor, KATAOKA ELECTRIC CO., LTD., and 
have been our guiding principles in the 20 years since then. 
	
We aim to grow along with society by responding to the 
needs of our many stakeholders with new ideas. This will not 
be achieved through mere economic efficiency. Rather, it will 
be accomplished based on our corporate philosophy of 
establishing roots in emerging countries and regions and 
contributing to people’s lives. 
	
We use these statements as a foundation to create value 
for all of our stakeholders, including our customers, share-
holders, local society, employees, and their families, and work 
to increase corporate value over the medium to long term. 
Pursuit of Value	
We will constantly pursue new value creation.
Harmony with Nature	
We will seek harmony with the Earth’s environment.
Partnership with Customers	
We will learn from customers and respond quickly to their needs.
Fair Management 	
We will act fairly and from a global perspective.
Respect for the Individual 	
We will draw upon the unique enthusiasm of every employee.
Under the 1st MTP, which began in April 2019, we are  
conducting management restructuring with the core goal 
of becoming “One Alps Alpine.” 
	
In Japan, Alps Electric and Alpine Electronics have a 
dual-company structure, but we have also begun to operate 
using a “cross company” model that integrates the overlapping 
functions of the two companies. We also plan to draw up 
restructuring plans for our overseas subsidiaries. 
	
As it is essential that we produce concrete results during 
the three-year period covered by the 1st MTP, we are focusing 
on achieving synergistic benefits from the business integration 
as our main theme. 
	
For existing products, which are becoming commoditized, 
we will pursue lean business operations by cutting out waste 
and maximizing efficiency. Our goal is to increase earnings 
while maintaining the current scale of our operations. As part 
of this shift to lean business operations, we will allocate 
management resources to new businesses targeting markets 
such as CASE and EHII and accelerate development and 
investments in new products. 
	
In addition, we will also cut costs by ¥20.0 billion through 
the reduction of material costs by strengthening our procure-
ment capabilities, reducing processing costs and quality-
related losses, minimizing indirect costs and business 
infrastructure costs, and improving efficiency. Before the 
period covered by the 2nd MTP, we will create a business 
structure that improves our operating income margin by 
roughly 1.0 percentage points.
16
17
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

1st Mid-Term Business Plan  Synergy creation through business integration
2nd Mid-Term Business Plan  Sales expansion
Fiscal 2019
Fiscal 2022
Our Goal
Innovative  
T-Shaped 
Company: 
ITC101
Innovative T-Shaped Company “ITC101”
Alps Alpine aims to become an “innovative T-shaped company” with the medium- to long-term goal of generating 
a consolidated operating income margin of 10% and annual consolidated net sales of ¥1 trillion (we call this target 
“ITC101”) by fiscal 2024.
	
Under the Company’s 1st Medium-Term Business Plan, a three-year plan that started in April 2019, we will invest 
a total of roughly ¥200.0 billion over the next three fiscal years and achieve cost synergies through the business integra-
tion, with the main theme of reforming the management structure to mold the Company into One Alps Alpine.
Business Environment and Key Strategies Related to “ITC101”
In response to the commoditization of products made by existing businesses, we will improve cost competitiveness and create new 
businesses to take advantage of revolutionary changes in areas such as CASE,*1 EHI,*2 and IoT. 
*1 CASE: Connected, Autonomous, Shared & Services, and Electric 
*2 EHI: Energy, Healthcare, and Industry
Threats
Commoditization 
Expansion of the sales of automotive businesses and  
smartphone businesses is becoming difficult
Profit increases in existing businesses
• Achievement of lean operations through management 
restructuring
• Generation of cost synergies
Opportunities
Waves of major change in CASE, EHI, and IoT
Changes in social structure: Urbanization and depopulation, 
aging, and global warming
Technological innovation: AI, 5G, and evolution of smartphones 
into information HUB
Changes in values: Sharing and service consumption
Creation of new businesses  
(high-value-added businesses)
• Mutual use of strengths through business synergies
• Acceleration of commercialization and sales expansion
1st Mid-Term Business Plan (Fiscal 2019–Fiscal 2021)
2nd Mid-Term Business Plan  
(Fiscal 2022–Fiscal 2024)
Strategies and Measures
Management  
structure
• Reform management structure to promote One Alps Alpine
• Restructure overseas locations and carry out organizational restructuring in Japan 
Existing  
businesses
• Make existing businesses leaner
• Shift resources saved through lean transformation to new businesses
New 
businesses
• Invest in new businesses
• Accelerate commercialization 
Targets
• Cut costs by ¥20.0 billion through cost synergies achieved through  
the business integration
Cost synergies through the business integration
• Cost reductions through reorganization
• Cost reductions through reorganization of IT systems and business infrastructure
• Procurement cost reductions through centralized purchasing
• Labor cost reductions in the manufacturing process (use of robots and AI)
• Investment reductions through mutual use of resources  
(people and equipment) in the manufacturing process
• Reductions in quality losses
Development of Synergies from Business Integration
Targets
• Achieve the “ITC101” target (consolidated operating income margin of 10% 
and consolidated net sales of ¥1 trillion)
• Create new businesses that generate net sales of ¥150.0 billion
Our Goal
Alps Alpine moves to become an “innovative T-shaped company” by combining the strengths of both companies, spe-
cifically the vertical “I” of the former Alps Electric, furthering possibilities with core devices to enhance product competi-
tiveness, and the horizontal “I” of Alpine Electronics, integrating a broad range of devices and technologies as systems.
Mid-Term Business Plan
Innovative T-Shaped Company: ITC101
Evolution from component supplier into functional device partner
Evolution into mobility life creator with in-house core devices
Core device technologies
System design  Software development capabilities
OEM Customers
Tier 1 Customers
Tier 2 Customers
Services
Systems
Services
Systems
Modules
Modules
Devices
Devices
Functional  
Devices
Modules /  
Gateways
Advancement of  
Elemental Technologies
Customers in the 
Energy Field
Customers in the 
Healthcare Field
Customers in the 
Industry Field
Into the CASE + Premium HMI Domains
Into the New EHI and IoT Domains
System  
Integration
Services
Applications /  
Systems
Diversification of 
System Technologies
Utilization of Software and 
System Integration
18
19
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

～
～
0
700
800
600
900
1,000
2015
2014
2013
2024
(Plan)
2023
(Plan)
2022
(Plan)
2021
(Plan)
2020
(Plan)
2019
(Forecast)
(FY)
2016
2017
2018
Synergies Achieved through the Business Integration
Business Portfolio and Strategy
In response to the commoditization of products made by existing businesses, as part of the cost synergies achieved through the  
business integration, we are shifting to lean business operations by abandoning wasteful processes and increasing efficiency, thereby 
increasing earnings while maintaining the same business scale. We will also shift human and management resources from existing 
businesses that have undergone lean transformations to CASE and EHII fields to accelerate development of and investment in new 
products and businesses.
Investments Targeting Future Growth
R&D expenses will increase, capital investments will be reduced,  
and depreciation costs will gradually decline.
 Explanation of chart
(1) By undergoing a lean transformation in existing 
businesses and limiting investments to the 
same level as depreciation costs or less, we 
will increase profit margins while maintaining 
the same level of sales in existing businesses. 
We will focus especially on broadening profit 
margins in automotive modules and displays. 
(2) We will shift resources saved through the lean 
transformation of existing businesses to new 
businesses. We will also limit Companywide 
fixed costs such as labor costs and other costs. 
(3) We will invest in growth to accelerate 
commercialization of products made by new 
businesses that we believe have the potential 
to achieve synergies through the business 
integration. We will transition into the growth 
phase shown in the upper right quadrant of 
the chart through selection and concentration. 
Measures Taken in New Businesses
By integrating the technologies of the Electronic Components Segment and the Automotive Infotainment Segment and leveraging the 
strengths of our T-shaped company structure, we will develop businesses that meet the needs of customers in the fields of CASE, 
Premium HMI, EHI, and IoT. 
Performance Plan for Achieving “ITC101”
CASE + Premium HMI
• Integrate HMI, Connectivity, and Sensors with system design and  
software development
• Develop products that integrate devices and systems, and  
accelerate commercialization
EHI and IoT
• Integrate HMI, Connectivity and Sensors with system design and  
software development
• Become a solution provider in industrial machinery and  
infrastructure markets
Investments in new businesses 
ahead of the start of the 2nd 
Mid-Term Business Plan: 
¥200.0 billion
Annual Net Sales: 
+¥150.0 billion
620.9
701.6
678.9
781.6
772.1
780.6
679.9
New businesses:  
CASE, Premium HMI, EHI, IoT, etc.
Connected
Shared & Services
Autonomous
Electric
Short-to middle- distance high 
resolution milliwave radar
Telematics control unit (TCU)
Electric control unit  
for car entry access
Car entry access
(1) Smartphone keyless entry system
(2) Remote parking system
(3) Digital key system for car sharing
Passenger 
monitoring  
system
Battery 
management system
E-Mirror / 
Image integration system
Premium HMI
Integrated Cockpit
Network
6.0
8.0
2.0
4.0
10.0
12.0
0
2015
2014
2013
2016
2017
2018
2024
(Plan)
2023
(Plan)
2022
(Plan)
2021
(Plan)
2020
(Plan)
2019
(Forecast)
(FY)
1st Mid-Term Business Plan
2nd Mid-Term Business Plan
Total cost reductions: 
¥20.0 billion
Cost reductions boost  
operating income margin by 1.0 
percentage points each fiscal year
3.8
7.1
6.6
5.7
8.5
5.6
5.7
8.0
10.0%
Income from sales 
from new businesses
(Billions of yen)
Net Sales
• 1st Mid-Term Business Plan: Invest ¥200.0 billion in new businesses
• 2nd Mid-Term Business Plan: Generate net sales of ¥150.0 billion
Operating 
Income Margin
• 2nd Mid-Term Business Plan: Generate consolidated operating income margin of 10%
• Existing businesses: Improve consolidated operating income margin through cost reductions and sales from 
new businesses
Failure prevention for transmission equipment
Worker safety
Location tracking and 
status monitoring of 
packages in real time
Power conversion module
Error check for 
transmission line
Network
Portfolio Strategy for Achieving “ITC101”
Market growth rate
Operating income margin
Low
High
High
Low
Introduction  Cash out: High, Cash in: Low
Growth  Cash out: High, Cash in: High
Decline  Cash out: Low, Cash in: Low
Maturity  Cash out: Low, Cash in: High
CASE  /  
Premium HMI
EHI and IoT
CASE/ 
Premium HMI
EHI and IoT
(1)	• Undergo lean transformation of existing businesses  
➡ Extraction of resources
	
• Investments  Depreciation costs 
➡ Increased efficiency 
(3)	• Invest for growth
	
• Carry out selection and concentration
Automotive 
Modules
Displays
Mobile  
Devices
Components
Infotainment
Automotive  
Devices
Sound
(2)	• Shift resources from existing 
businesses to new businesses
	
• Limit Companywide fixed costs
0
10
20
30
40
50
60
70
2018
2017
2016
2021
(Plan)
2020
(Plan)
(FY)
2019
(Forecast)
 R&D expenses 
 Capital investments 
 Depreciation costs
Note: Figures for fiscal 2016–fiscal 2018 represent the combined amount of the former Alps Electric and Alpine Electronics.
Note: Figures for fiscal 2016–fiscal 2018 represent the combined totals of the former Alps Electric’s and Alpine Electronics’ net sales as reported in the former Alps Electric’s results 
briefings.
Note: Figures for fiscal 2016–fiscal 2018 represent the combined totals of the former Alps Electric’s and Alpine Electronics’ operating income and net sales as reported in the former 
Alps Electric’s results briefings.
 Existing business
 New business
(Billions of yen)
(%)
1st Mid-Term Business Plan
2nd Mid-Term Business Plan
20
21
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Using KPI Trees on the Front Lines to Increase ROE 
In fiscal 2019, we forecast that net sales and operating income 
will basically hold steady year on year. However, we expect 
to start seeing the benefits from cost synergies through 
business integration in the second half of the fiscal year. 
	
We have used key performance indicator (KPI) trees at 
former the Alps Electric and Alpine Electronics as tools to 
achieve tangible cost management results. In order to make 
more efficient use of our investments over the medium to long 
term, we will conduct lean operations of existing businesses 
in the Electronic Components Segment and improve earnings 
in the Auto Module Business. At the same time, we will 
establish a new business model and conduct new product 
development in the Automotive Infotainment Segment, thereby 
boosting annual net sales by ¥150.0 billion. We will also raise 
ROE by maximizing profit attributable to owners of parent by 
increasing sales and cutting costs. 
Investments and Capital Strategies in the 1st MTP
The three pillars of our capital strategy are (1) securing 
a strong financial base, (2) investing in sustainable growth, 
and (3) improving capital efficiency. 
	
In the 1st MTP, we will invest a total of ¥200.0 billion over 
three fiscal years to reach the goal of “ITC101” and achieve 
sustainable growth. Our main intention is to expand in such 
business domains as connected, autonomous, shared & 
services, and electric (CASE) vehicles; premium human–
machine interface (HMI); and energy, healthcare, industry, and 
the IoT (EHII).
	
While prioritizing shareholder returns and investments 
in growth, we will also endeavor to keep an appropriately 
healthy balance sheet by reducing interest-bearing debt 
and maintaining cash holdings to not only ensure adequate 
liquidity but also preserve and improve our financial position 
to a level where the Company can maintain an A rating from 
domestic credit rating agencies.
	
We use ROE as an indicator of capital efficiency. Based 
on careful consideration of capital costs, we target ROE of 
over 10%.
Cash Flow Allocation
We aim to secure stable, high-level operating cash flows 
through continuous growth-targeted capital investments, 
investments in R&D, and improvement of capital efficiency. In 
terms of cash flow allocation, we will strike a balance between 
strategic investments in growth and shareholder returns.
	
With regard to returning value to shareholders, in fiscal 
2018, we distributed annual dividends of ¥50 per share and, 
as of May 2019, we had repurchased shares worth ¥28.4 
billion. We target a total return ratio of 50% in fiscal 2019 
and plan to spend up to ¥7.5 billion on share repurchases 
in addition to dividend distributions. 
Achieving Sustainable Growth at Alps Alpine and Deepening Our Dialogues with Stakeholders
At Alps Alpine, we believe proper disclosure of information 
and engaging in meaningful discussions with stakeholders 
to reach mutual understanding are essential to achieving 
sustainable growth and increasing corporate value over the 
medium-to-long term. We have therefore expanded the 
content of our annual report compared with previous years 
and, starting in 2019, we have begun publishing an integrated 
report for the newly formed Alps Alpine. We hope to deepen 
our dialogues with shareholders at the General Meeting of 
Shareholders held every year and also deepen our dialogues 
with institutional investors by holding results briefings and 
regularly scheduled plant tours for institutional investors and 
analysts and by introducing new technologies and products 
at private showings held once every two years. Through 
these efforts, we will further improve the quality of our  
discussions with stakeholders.
Approach to  
Financial Strategy
Basic Strategy
In January 2019, the former Alps Electric Co., Ltd. and 
Alpine Electronics, Inc. integrated their businesses and 
started afresh as Alps Alpine Co., Ltd. Then in April 2019, 
the Company announced its 1st Mid-Term Business Plan 
(1st MTP), under which it aims to achieve the target of 
“ITC101.” This target entails our becoming “an innovative 
T-shaped company with a 10% consolidated operating 
income margin and ¥1 trillion in consolidated net sales” by 
fiscal 2024 (year ended March 31, 2025), the final year of 
the 2nd MTP.
	
The focus of the 1st MTP is achieving cost synergies 
through business integration. We aim to reduce costs by 
a total of ¥20.0 billion and thereby increase our consolidated 
operating income margin by 1.0 percentage points per year, 
mainly by realizing cost reductions in procurement and pro-
duction while reducing quality losses. 
	
In addition to strengthening our financial base, as discussed 
above, we will invest the equivalent of roughly 5%–6% of total 
annual net sales in growth-focused R&D. We will also strike 
a balance between making capital investments in new facili-
ties and upgrading existing facilities, thus achieving steady 
profit growth by controlling depreciation costs.
Management Performance Indicator: ROE
In the 1st MTP, we aim to reach the target of “ITC101” by 
investing ¥200.0 billion in sustainable growth over a period 
of three years. The basic financial and capital policy of the 
1st MTP is to aim to maintain a sound financial position by 
targeting a shareholders’ equity ratio of 50% or higher and 
positive net cash.
	
In addition, we aim to generate cash flows, maintain 
ROE of 10% or higher and realize a total return ratio of 50%, 
improve capital efficiency, and increase corporate value.
Maximizing Synergies to Reach 
the Goal of “ITC101”
Toshinori Kobayashi
Vice President
Corporate Planning, Accounting & Finance
Investments in  
sustainable growth
ITC101
Consolidated operating  
income margin of 10%
Consolidated net sales of  
¥1 trillion
Cash flow generation
Maximization of  
corporate value
Total: ¥200.0 billion
Capital investments,  
alliances, M&A, etc.
Sound financial position
Shareholders’ equity ratio of 50% or higher
Positive net cash
Increased capital efficiency
ROE of 10% or higher
Total return ratio of 50%
As of March 31, 2019
Cash
Interest-bearing 
debt
Other assets
Shareholders’ 
equity
March 31, 2021 (Plan)
Cash
Interest-bearing  
debt
Other assets
Shareholders’ 
equity
Total assets of ¥675.7 billion
22
23
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Financial Section
Corporate Data /  
Stock Information
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives

Contribution to the Evolution of Next-Generation Automobiles through 
the Technologies We Have Developed
Business Environment and Review of Fiscal 2018
Although there has been an impact from the global slowdown 
in the auto industry, not only automakers but also companies 
in the electronics industry are moving swiftly to develop 
products and services to join the new trend known as CASE: 
connected, autonomous, shared & services, and electric, 
including the development of vehicles.
	
Products made by the Electronic Components Segment 
for the automotive market, including modular products such 
as electronic shifters and door modules, and high-frequency 
communications products such as Bluetooth®, W-LAN, and 
LTE products have generally performed well. We have also 
formed a strategic partnership with a government-owned 
Chinese company in the area of cellular vehicle-to-everything 
(C-V2X) automotive communications technology. 
Business Strategies Aimed at Reaching the Targets in the 1st Mid-Term Business Plan
We are proposing new CASE products and services and accel-
erating development of new system modules for the Premium 
Human–Machine Interface (HMI) platform, which will allow for 
easy operation and create a comfortable onboard vehicle 
environment. We are also making progress in developing new 
high-value-added devices that stand out from the competition. 
	
In the auto industry, we are witnessing a once-in-a-century 
paradigm shift centered on CASE and we are developing 
sensors and devices to support this important trend. We are 
also developing a wide range of modules that are differenti-
ated from those of rivals, such as cockpit and interior design 
modules and operating system modules.
Automotive Modules
We are developing products that utilize the HMI and sensing 
technologies that have been our strength since the Company’s 
establishment to create a safe, secure, and comfortable 
onboard vehicle environment. In order to improve the oper-
ability of products such as small electronic shifters, automotive 
air conditioners, and audio equipment, we will move forward 
with the development of HAPTIC™ Reactor vibrational feed-
back devices, touchpads, and electrostatic steering wheel 
switches. We are also moving forward with the development 
of ultrashort-range, milliwave radar systems that act as a vehi-
cle’s eyes, detecting people, vehicles, and obstacles in front of 
a car, thereby helping prevent collisions. In addition to modu-
larizing these systems and increasing their functionality, we are 
applying ergonomic knowledge gained through joint research 
with universities and research institutions to create systems 
that are comfortable to use and easy to operate. 
	
We also view improving productivity as an important chal-
lenge and are therefore working to standardize materials and 
components as well as design and development processes and 
thereby maintain product quality and strengthen earnings. 
Automotive Devices
In order to improve the automated operation of advanced 
driver assistance systems (ADASs), we are modularizing high-
frequency circuit technology, a core technology used in these 
systems, and we have begun development of C-V2X modules. 
Automotive devices will become even more essential with the 
advance of intelligent transportation systems (ITSs) and we are 
strengthening our R&D capabilities in order to broaden our 
lineup of these products. We expect a rise in demand for 
condition-sensing devices, which can be viewed as the 
nervous system of the vehicles of the future. Sensors will be 
used not only in engines, auto bodies, and doors but also to 
provide information regarding the onboard environment. By 
sensing both vehicles and passengers, we can create safer 
and more comfortable automatic operation control systems. 
We will develop input–output devices that allow future auto-
matic operation systems to not only detect onboard condi-
tions but also make passengers feel at home and comfortable. 
	
Our sensors are also used in electric vehicles (EV) and 
hybrid vehicles (HV) for motor drive controls, DC conversion 
control of regenerated current in motors, and battery charge / 
discharge current sensing. In addition to mass-produced 
electric current sensors that play an essential role as core 
components used for vehicle control, we are developing 
various sensors that contribute to the spread of EVs and HVs.
Electronic Components Segment
Automotive Infotainment Segment
Automotive Market
Consumer Market
Share of Net Sales
32.6%
(Fiscal 2018)
Segment Strengths
• Core device (HMI, sensors, and telecommunica-
tions) technologies
• HMI input product technologies
• Wide range of markets and customer channels
Automotive Market
By further strengthening the automotive product technologies that we have long cultivated, we will pursue the development 
of new products that provide safety and peace of mind in an effort to bolster profitability.
Electronic Components Segment
 Next Innovation 
Installation of Realistic Imitation Panels Created Using Decorative 
Printing Technologies 
As autonomous driving becomes more prevalent, we believe the focus will shift from 
vehicles that are fun to drive to vehicles as mobility spaces wherein passengers 
make use of their travel time. Passengers will desire a vehicle interior that is as 
comfortable as their living room. Based on thermal transfer printing technologies 
developed over many years, Alps Alpine has developed decorative printing tech-
nologies that allow the printing of tactile surfaces that give the impression of wood 
or metal on parts that have 3D curved surfaces. By combining these surfaces with 
backlighting, touch-input interfaces, and interactive functions such as vibration 
feedback, we are creating beautiful vehicle interiors that feature high operability.
Technology and Product Close-Up
Launch of Dual Output Brake Pedal Position Sensor 
(Released in September 2018)
These automotive sensors are essential components of 
regenerative braking systems. Installed in the brake pedal, 
they allow the reuse of energy from the torque generated 
when the brakes are applied to power the vehicle later. 
Through such components, we contribute to the evolu-
tion of next-generation automobile such as electric 
vehicles (EVs) and plug-in hybrid vehicles (PHVs). 
Alps Alpine develops, manufactures, and sells a wide variety 
of products that support the accelerated adoption of electronic 
components in automobiles such as switches and sensors, 
component products including wireless communication 
devices, and modular unit products such as remote keyless 
entry systems, air conditioning panels, and electronic shifters. 
	
In the area of CASE, a group of technologies represented 
by autonomous driving, we have recently focused on applying 
capacitive technologies that we have cultivated over the years 
to develop and commercialize touch-interface products. At 
CEATEC JAPAN 2018, an exhibition showcasing cutting-edge 
technologies held in October 2018, we exhibited Premium 
Technology Cockpit, which features seamless input opera-
tion with a luxury feel through the integration of capacitive 
technologies into the steering and door units of a vehicle. 
	
In addition to our input products, we will work to increase 
the fuel and energy efficiency of products in the automotive 
market by accelerating development of products that take 
advantage of the properties of our proprietary Liqualloy™, 
a magnetic amorphous material used in high-efficiency 
reactors and compact, highly sensitive electric current 
sensors, and development of power conversion modules 
that use next-generation semiconductors. 
Topical Product
Intelligent  
Control Panel
Encoder 
(Ring Type)
Power Window 
Switches
Steering 
Combination 
Switch Module
Electronic 
Parking 
System
Detector Switch
(Waterproof)
Touch switches that light up during operation
Wireless LAN / 
Bluetooth® Combination  
Module for Automotive
Automotive 
V2X Module
Realistic Imitation 
(Printing)
Stealth Printing /  
Capacitive Compatibility
Wood grain and 
metallic (hairline)
Icons appear when the backlight is on
Realistic Textures
Feels real
’15/3
’18/3
’17/3
’16/3
’20/3
’19/3
(Forecast)
247.5
283.2
256.0
277.8 274.8
208.4
Net Sales
(Billions of yen)
24
25
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Leveraging of Core Technologies to Provide Solutions to New Markets 
 Next Innovation 
Development of Logistics Management System Operable 
for over 10 Years without Replacing Batteries
Recently, the volume of freight handled by the logistics industry has been growing, 
driven by growth in the e-commerce market. This has resulted in management of 
logistics tools and materials, including boxes and pallets used to convey individual 
items, becoming increasingly complex, and the creation of more efficient logistics 
management systems has become an urgent priority. To respond to this need, 
Alps Alpine has developed logistics management IoT devices that can be operated 
for over 10 years without replacing batteries. We have teamed up with Sigfox, 
creating a system that, in addition to ascertaining the flow of tools and materials, 
uses Sigfox’s positioning technology to seamlessly manage tracking information 
at low cost both inside and outside logistics centers. 
’15/3
’18/3
’17/3
’16/3
’20/3
’19/3
(Forecast)
186.5
230.8
181.6
190.7 183.2
180.6
Net Sales
(Billions of yen)
Share of Net Sales
22.4%
(Fiscal 2018)
Business Environment and Review of Fiscal 2018
In the consumer market, a slowdown in smartphone sales 
resulted in weak sales of some components in the mobile 
market, such as switches and camera actuators. In the 
areas of EHII, we actively pitched proposals and participated 
in trade shows in countries including China, India, and 
Malaysia in order to develop new products for growing 
­markets such as optical communications and the IoT. 
Business Strategies Aimed at Reaching the Targets in the 1st Mid-Term Business Plan
We feel it is important to contribute to the improved oper-
ability, convenience, energy efficiency, and high-speed and 
large-volume capabilities of devices in the mobile market 
(including smartphones, notebook PCs, and compact 
­printers) and the EHII markets. We are therefore conducting 
R&D in a wide range of fields from new materials to devices 
and modular products. 
Mobile Market 
In the smartphone market, we are focusing on the develop-
ment of operational input products, such as waterproof and 
dustproof switches, and TACT Switches™. In order to meet 
the needs of the market, including increased functionality, 
reduced power consumption, and thinner profiles of camera 
modules, we are also focusing on the development of optical 
image stabilization camera actuators, foldable touch panel 
sensors for what are expected to be the next generation of 
touch panels, and low noise and low power consumption 
geomagnetic sensors. We are also developing decorative 
printing methods compatible with thermal transfer printing 
technology to increase the added value of smartphones. 
In the games market, we are developing HMI products for 
controller switches, such as joysticks, and HAPTIC™ Reactor 
Hybrid Tough Type products that give the user a realistic 
tactile experience. 
EHII Markets 
Since the Japanese government proposed the creation of a 
“Super Smart Society” (also known as “Society 5.0”) through 
the use of information and communication technology (ICT), 
revolutionary projects using big data technologies have 
begun in many developed countries including Japan. Markets 
based on this idea have begun to take shape in a variety of 
fields including industry, infrastructure, logistics, and wearable 
devices, and the importance of IT and electronics is rising. In 
response to these developments, we have proposed solutions 
in a variety of fields through cooperation with telecommuni-
cations companies and proactively pitched proposals at trade 
shows in countries such as China, India, and Malaysia.
	
In the field of energy, after we began mass-producing 
electric current sensors used in smart circuit breakers with 
a major overseas company, we also began producing home 
storage battery systems. We continue to develop businesses 
in the energy efficiency field, pursuing technologies that allow 
miniaturization and high efficiency based on products using 
our proprietary Liqualloy™ soft magnetic amorphous alloy.  
	
In the IoT field, we have developed the world’s smallest 
sensor network module, and we are seeing increased adop-
tion of this network module in logistics management systems 
that allow managers to access real-time information on 
the position and condition of packages and also in worker 
protection systems, which are based on proof-of-concept 
testing conducted at manufacturing plants. We are also 
developing an abnormal electrical discharge detection 
system that uses light and sound to prevent damage to 
electrical power lines. In all of these business fields, in order 
to create a speedy business base, the Alps Alpine Group will 
integrate the hardware technology that is a strength of its 
Electronic Components Segment and the service business 
framework of its Automotive Infotainment Segment to 
develop solution-oriented businesses that provide  
high-added-value and highly differentiated products. 
Segment Strengths
• Product development capabilities that leverage 
core technologies
• Advanced production technologies
• Global manufacturing capabilities 
Electronic Components Segment
Automotive Infotainment Segment
Automotive Market
Consumer Market
Consumer Market
We will steadily pursue opportunities to incorporate new demand by promptly supplying products that meet customer needs.
Introduction of Force Sensor  
(Released in March 2019)
These components are installed in the tips of stylus pens 
used as input devices for tablet PCs and accurately 
sense how much pressure is put on the pen. As we have 
strengthened these components to prevent breakage when 
dropped, we expect them to be used in many different 
environments, including in schools and companies. They 
can also be used for a wide 
range of creative applications, 
such as for digital illustrations. 
The services and devices we use in our everyday lives are 
undergoing a major transformation with the full-scale adop-
tion of AI and big data technologies. With this transformation, 
Alps Alpine products are being used in an increasingly diverse 
range of applications, from familiar devices such as smart-
phones and tablet PCs to new products including smart 
speakers and intelligent consumer electronics. 
	
By leveraging our core technologies in the development 
of a wide range of new products, Alps Alpine is providing 
solutions for not only traditional devices such as digital 
consumer electronics, IT devices, and smartphones but also 
new markets such as energy, healthcare, industry, and IoT. 
	
As IoT technology becomes more prevalent in society, we 
will develop products that take advantage of the Company’s 
strengths, two of which are small, lightweight, energy-efficient 
sensors and wireless communication devices. We will also 
promote open innovation in such areas as gateway connec-
tion and cloud computing and move forward with development 
in new business fields such as production systems, social 
infrastructure, and logistics networks. 
Cage trolley
Pallet
Long-term  
continuous duty 
device for logistics 
“Logistics Tracker”
Position information
Cloud
Sigfox Atlas Wi-Fi®
Wi-Fi®  
access point
Sigfox
Wi-Fi®
IoT Business Creation
Application
Cloud
Gateway
Connectivity
Sensor
Sophisticated RF technology
Communication Modules
• Bluetooth® modules
• LPWA
Development of highly reliable, 
high-value-added products
Sensors spanning a number 
of different fields
Sensors
• Pressure sensors
• Temperature and humidity 
sensors
• Geomagnetic sensors
• PC board mount current 
sensors
• Force sensors
• Seismic sensors
Partnerships with 
leading cloud 
businesses
Partnerships with 
leading cloud 
business operators
Support for gateways 
of a variety  
of manufacturers
Topical Product
Structure of Alps Alpine’s IoT Business 
Partners
Partnerships
Digital Humidity Sensor
Autofocus Actuator
HAPTIC™ Reactor 
Bluetooth® Module with 
Built-in Antenna Type
Circuitry
Software
Analysis
Evaluation
Stylus pen design
Technology and Product Close-Up
Electronic Components Segment
26
27
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Integration of Technologies to Provide New Solutions  
for an Autonomous Driving Society 
Technology and Product Close-Up
’15/3
’18/3
’17/3
’16/3
’20/3
’19/3
(Forecast)
242.3
303.5
267.6
322.5
289.7 267.5
Share of Net Sales
35.7%
(Fiscal 2018)
Business Environment and Review of Fiscal 2018
In the automotive industry, in the field of CASE, we are witness-
ing changes that are larger than those in any other industry, 
including always-on Internet connection, automatic driving, 
car sharing services, and increased prevalence of EVs and 
HVs. Amid the accelerated adoption of in-vehicle electronics, 
in the automotive electronics industry, we are seeing more 
pervasive integration of automotive IT centered on infotain-
ment systems and new fields such as self-driving cars and AI. 
	
In this environment, the Automotive Infotainment Segment 
installed a top-of-the-line premium sound system in a demo 
vehicle displayed at a motor show in China, which has 
become the largest automobile market in the world, thereby 
increasing the profile of the Alpine brand. In the domestic retail 
market, we launched a new “floating type” model developed 
for cars in which it is difficult to install a large monitor and 
focused on increasing sales of Alpine Style Customized 
Cars, which feature high-quality, automotive onboard envi-
ronments. In the North American retail market, we launched 
new products compatible with Apple CarPlay*1 and Android 
Auto*2 to attract new customers. Sales of our navigation 
systems and displays for sale with new high-end models by 
European automakers were strong. Thanks to our efforts to 
expand our businesses, we saw increased orders of high-
end speakers and amps that produce the feeling of actually 
being in a concert hall as well as thin, lightweight speakers 
that contribute to increased fuel efficiency and reduced 
environmental impact. 
	
One way we strengthened this business was to strengthen 
our operations in China—where we expect the markets for 
EVs and car sharing services to grow—by increasing our 
level of investment in equity method subsidiary Neusoft 
Reach Automotive Technology (Shanghai) Co., Ltd. 
*1 Apple CarPlay is a trademark of Apple Inc., registered in the U.S.  
and other countries.
*2 Android Auto is a trademark of Google Inc., registered in the U.S.  
and other countries.
Business Strategies Aimed at Reaching the Targets in the 1st Mid-Term Business Plan
In the Automotive Infotainment Segment, in response to the 
rapid adoption of CASE technologies, we are creating attrac-
tive products by strengthening development of the Premium 
HMI platform, which provides drivers and passengers with 
inspirational onboard spaces through the integration of the 
Electronic Components Segment’s sensing device and 
transmission device technologies and the Automotive 
Infotainment Segment’s software technology. 
	
In the audio equipment business, we will further deepen 
our commitment to high-quality sound in the Alpine brand 
business and in our business supplying products to automak-
ers and also accelerate development of even more attractive 
products, including further development in the premium 
space. To do so, we strengthened our capital alliance with 
Italian high-end speaker manufacturer Faital S.p.A. We will 
further strengthen our audio equipment business in Europe 
through our alliance strategy in order to win more customers 
and expand our business. We recognize that, with the arrival 
of the age of self-driving cars, creating comfortable onboard 
spaces is an important theme in terms of expanding our busi-
ness. We aim to bring premium sound that makes use of AI 
to our customers by developing sound control technologies 
and by leveraging sound-tuning expertise accumulated over 
many years and applying machine learning and AI technology 
to this knowledge.
Segment Strengths
• System design and software development 
capabilities
• HMI output product technologies
• B-to-C services business 
Electronic Components Segment
Automotive Infotainment Segment
Automotive Market
Consumer Market
Automotive Infotainment Segment
We integrate our cutting-edge technologies to supply onboard automotive systems for the safe, secure, and comfortable 
automobile society of the future. 
 Next Innovation 
Digital Keys Using Blockchain Technology
Car sharing, which is one element of CASE, is becoming more prevalent, and 
Alps Alpine is therefore working to develop digital keys using blockchain technology 
to meet the needs of this market. Digital keys will be a fundamental technology 
used in systems that allows drivers to use a smartphone rather than a physical key 
to lock and unlock their car doors and start their engines. This will enable owners 
to allow access to their vehicles for a limited time in such scenarios as car rental 
or lending to friends. We expect to see these systems not only increase conve-
nience but also find use in Mobility-as-a-Service (MaaS) applications.
Pickup Assistant for Safely and Securely 
Connecting Parents and Children 
This system tells parents the exact location of their children 
when they are driving to pick them up. If a problem arises, 
for example, a child is not at a regular meeting place or 
a parent is running late owing to 
heavy traffic, this system allows 
both parent and child to know 
each other’s location and mes-
sage each other, thereby helping 
parents safely collect their children. 
Also, location data can be sent to 
the car navigation system to allow 
easy destination selection, facili-
tating quick and easy collection. 
As a mobile media innovation company in the automotive 
infotainment market, we have developed technologies and 
products to provide solutions in the following five areas: audio, 
visual, navigation & cockpit display, communication & cloud 
services, and drive assistance. These include the Big-X 
Series of car navigation systems with large monitors, which 
were pioneering products launched ahead of those of rivals. 
The Big-X Series won the top award in overall satisfaction in 
the Aftermarket Car Navigation System category in the 2018 
Japan Car Navigation System Customer Satisfaction Survey, 
conducted by J.D. Power Japan. This was the seventh 
consecutive year in which the Company was number one 
in overall customer satisfaction in this category. 
	
The automotive infotainment market is shifting from 
conventional navigation systems to in-vehicle infotainment 
systems using network connections and AI. We believe that 
we must respond to such changes in the market environment 
and master each related technology and integrate them to 
create a new technological field, thereby overcoming the 
boundaries of time (pre-journey, drive time, time at destina-
tion) and space (home, vehicle, office) to provide safe and 
comfortable seamless car and lifestyle solutions. 
Car administrator
Car administrator
Owner
Owner
Shared key
Invalidation
Share a key with a user
Invalidate a user’s key
Cannot 
unlock
Unlocking 
permitted
Air conditioner controller with tactile fingertip feedback  
allows intuitive adjustment of temperature and airflow 
In autonomous driving 
mode, vehicle becomes 
a mobile living room 
wherein the driver can 
enjoy content along 
with passengers
Manual mode
Autonomous 
driving mode
Visual
Audio
Navigation 
& Cockpit Display
Communication
& Cloud Services
Drive Assistance
Net Sales
(Billions of yen)
28
29
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Sustainability Promotion Structure
Alps Alpine established a Sustainability Committee 
in February 2019. The committee is composed of 
nine working groups (WGs) focusing on different 
areas. Each WG promotes activities related to its 
area of responsibility while placing importance on 
the provision of value to society and the realization 
of sustainable growth for the Company. The 
Sustainability Committee evaluates the progress 
made in these areas every six months and reports 
the results at Board of Directors’ meetings.
Department
Sustainability 
Promotion Office
Committee 
Chairperson
Toshinori Kobayashi, 
Vice President
Advisor
Yoko Toyoshi, 
Outside Director
Guidelines WG
Human Rights WG
Sustainable Procurement WG
Sustainable Development WG
Labor WG
Community WG
Environment WG
Health and Safety WG
Information Security WG
Reporting
Board of Directors
Sustainability  
Committee
Initiatives to Achieve Sustainability 
The Alps Alpine Group is striving to resolve issues impacting its stakeholders, including environmental and societal issues.
CSR Management
In order to take full advantage of the strengths of Alps Electric and Alpine Electronics following their business integration 
in January 2019, meet the expectations of stakeholders, and achieve sustainable growth, Alps Alpine established 
a Sustainability Committee. Focusing on material issues, we will continue with efforts aimed at increasing corporate 
value and achieving sustainable growth.
We believe that the creation of superior and highly safe products raises 
customer satisfaction and leads to greater trust in Alps Alpine, which is 
why we consider it to be of utmost priority in our operations. In addition 
to constructing a quality maintenance system for our product development 
and manufacturing processes, we have adopted a variety of measures 
to improve product quality and safety.
We view a workplace where employees can proactively work in safety and 
in good health as the bedrock that supports the Company. Accordingly, we 
promote efforts that allow employees to think about their health and safety 
and conduct themselves in a way that promotes health and safety every day. 
Please see our corporate website for more details. 
“Believe in people.” This is our philosophy regarding human resources. We 
actively support employees who desire to take on challenges and personal 
development, and we work to enhance initiatives and create environments 
that encourage employees to grow into creative and independent professionals.
We focus on establishing trusting and collaborative relationships with our 
suppliers that are based on sincerity. When procuring materials and parts, 
we consider safety, the environment, and society and aim for sustainable 
development and growth throughout the supply chain.
Global environmental issues, such as global warming and abnormal weather 
events, seem to be reported in the news every day. The Alps Alpine Group 
regards global environmental issues to be important management issues as 
well and carefully considers the effects that its business operations have on 
the environment. Accordingly, the Group is also developing various initiatives 
related to energy conservation, chemical substance management, waste 
reduction, and biodiversity.
Product Quality and Safety 
 P32
Workplace Health and Safety 
 P32
Human Resources 
 P33
Procurement 
 P34
Environment 
 P34
Alps Alpine’s Materiality
Alps Alpine established material issues in fiscal 2019 and have 
reflected them in its CSR activities. In establishing our material 
issues, we evaluated issues based on the expectations of stake-
holders and priorities for Alps Alpine. These material issues were 
discussed by the Sustainability Committee and approved by the 
Board of Directors. Stakeholders’ expectations change over the 
years and sustainability-related initiatives, such as the United 
Nations Sustainable Development Goals (SDGs), have become 
more active worldwide. Amid this environment, we will periodi-
cally revise our material issues, consider what kind of concrete 
steps should be taken, and clarify our goals. 
Material Issues
Businesses
• Resolving social issues through our technologies
E
• Environmental preservation 
management
• Product design that takes the 
environment into consideration
• Strengthening of environment-
related information disclosure
• Prevention of accidents that 
harm the environment 
• Protection of biodiversity
S
• Respect for human rights
• Nurturing of human 
resources and promotion  
of job satisfaction
• Supplier management
• Protection of personal data
•Contribution to society
G
• Strengthening of corporate 
governance
• Risk management
Materiality 
(Material issues)
Extremely high
Extremely high
High
Significance for Alps Alpine
Stakeholder expectations
Process of Establishing Material Issues 
Step 
1
Organize Issues
Using ISO 26000, an international standard providing guidance 
on social responsibility, as a basic framework for action, organize 
the concerns of stakeholders with a focus on the SDGs
Step 
2
Specify important issues from the point of view of stakeholders
Judge importance of stakeholders’ concerns
Step 
3
Specify important issues for Alps Alpine
Evaluate and prioritize stakeholders’ concerns identified in Step 2 
in terms of their impact on Alps Alpine
Step 
4
Reflect the above in the Medium-Term Sustainability Plan
Create a Medium-Term Sustainability Plan based on stakeholders’ 
concerns prioritized in Steps 2 and 3
30
31
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Human Resource Cultivation Policy
The Alps Alpine Group values employee self-development 
achieved through work and other efforts in the workplace. We 
conduct on-the-job-training (OJT) so that employees can fulfill 
career plans they created for themselves. This OJT is linked 
with evaluations, placement, and skills development and we 
implement it in pursuit of comprehensive and long-term 
employee development.
	
Employees can feel their own development when they inter-
act with many people through their work, learn from and teach 
those people, and realize achievements. At the same time, we 
offer employees various opportunities to develop their skills 
in accordance with their current stages of development. Such 
opportunities include training and education geared toward 
skills and knowledge acquisition and personal development 
support measures.
	
By enhancing both practical (work) and theoretical (skills 
development measures) approaches, we facilitate the develop-
ment of professional individuals and growth of organizations.
Human Resources
Diversity
Promoting Greater Involvement of Women
Alps Alpine hires a wide range of people regardless of nationality, race, 
age, gender, or religion and we strive to create a workplace where they 
can live up to their full potential. 
	
In new-graduate recruitment, the Company actively hires women for 
all positions, including engineering.
We also aim to bring about a change in mentality among managers and 
even women themselves by, for example, establishing suitable working 
environments through the enhancement of programs that support the 
balance between work and childcare or nursing care and by implement-
ing education and training programs.
	
In fiscal 2018, we created an employee network and opened a 
company childcare facility to encourage female employees to continue 
to work at Alps Alpine.
Average Length of Service for Male and Female Employees*1  
(Alps Alpine / Alpine Electronics)
2017
2018
2019
Male
19 yrs, 11 mths
19 yrs, 10 mths
19 yrs, 7 mths
Female
20 yrs, 1 mths
18 yrs, 9 mths
18 yrs, 9 mths
Overall
20 yrs, 0 mths
19 yrs, 7 mths
19 yrs, 5 mths
*1 According to our analyses, the decrease in average length of service is due to 
increases in the numbers of retirees and new hires. As of April 1 of each year.
Ratio of Women in Management Positions*2 (Alps Alpine / Alpine Electronics)
2016
2017
2018
2019
Men in management positions (number)
545
539
546
534
Women in management positions (number)
    8
  10
  10
  10
Women in management positions (ratio)
1.4%
1.8%
1.8%
1.8%
*2 As of April 1 of each year
Employee Systems That Offer Flexible Workstyles
Alps Alpine’s employee systems are based on three basic philoso-
phies: respect for humanity, selection of the very best, and per-
sonal development. These systems include a qualification system 
that makes different choices possible based on employee apti-
tude, ability, and enthusiasm as well as an incentive payment 
system based on employee positions and functions. Under these 
philosophies, we aim to employ diverse human resources, raise 
motivation, and create workplaces in which employees can 
display their abilities and work comfortably. To this end, we have 
introduced various systems, including hourly paid leave, a system 
that allows employees to work shorter hours, telecommuting 
and teleworking for employees who meet certain requirements, 
a reemployment scheme, expansion of monetary qualification 
incentives, and relaxed restrictions on simultaneous employment.
	
In fiscal 2018, we made progress in creating a work envi­
ronment that allows more flexible workstyles by encouraging 
employees to take five consecutive paid vacations and providing 
some employees with smartphones. Also in fiscal 2018, over-
time fell by 16.9% and the ratio of employees utilizing annual 
paid leave rose 3.0 percentage points compared with the  
previous fiscal year.
Employing Persons with Disabilities
Alps Alpine is working to establish environments where all employees, 
with or without disabilities, can work with vitality and apply their capabili-
ties to the fullest. Statutory employment rates have gradually risen since 
April 2018 due to legal reforms in Japan. The Company will continue to 
improve working environments, expand employment opportunities, and 
meet statutory employment requirements.
Employing Overseas Personnel—International Associates Program
The International Associates Program (IAP) employs new graduates from 
overseas on two-year contracts to work at Alps Alpine’s offices in Japan. 
Employing around five people annually for over 20 years, the program 
has had nearly 100 participants to date from countries in Europe, North 
America, and Asia. After completion of the program, many participants 
stay on to work for the Alps Alpine Group, including one employee who 
is still with us after more than 20 years.
	
In addition, former foreign exchange 
students now account for around 10% of the 
new graduates hired in Japan. These persons 
engage in wide-ranging jobs, for example, 
in design and development, manufacturing, 
sales, and accounting.
	
In fiscal 2018, we hired 12 new employees.
～
～
2.10
2.08
2.17
2.15
2.14
0
2.0
2.2
2.1
’16
’15
’19
’18
’17
(Year)
Employment of Persons with Disabilities*3 (Alps Alpine / Alpine Electronics)
(%)
*3 As of June 1 of each year
Functional Safety of Automotive Products
The electrification of automobiles continues to occur at an increas-
ingly high rate. At the same time, safety requirements for products 
incorporated into vehicles are mounting due to the spread of 
technologies such as driver assistance systems and autonomous 
driving systems. To ensure delivery to customers of safe, depend-
able products, the Alps Alpine Group was quick to establish 
commercialization processes and systems conforming to ISO 
26262 (which went into effect in November 2011) and has already 
developed numerous products compliant with the functional safety 
standard for automakers at home and abroad.
	
We aim to establish and foster a culture of safety so that 
employees involved in automotive products put safety first in 
their decision-making and actions. Related activities are pursued 
in accordance with our functional safety guide.
	
We regularly conduct comprehensive and reflective evaluations 
of our safety activities as management reviews within the Board 
of Directors. We also formulate and implement annual action 
policies and priority measures. Through these efforts, we carry 
out continuous improvement activities on a Companywide basis.
Corporate Policy in Functional Safety Guide
Every person in charge of automotive products has 
common sense on the value of safety culture and takes 
responsibility of organizational activities.
continuously work to reduce and manage health and safety 
risks through risk assessment, and work to comply with laws 
and regulations.
	
As of May 2019, 44.8% of our production facilities had 
acquired OHSAS 18001 certification.
* OHSAS: Occupational Health and Safety Assessment Series
Fundamental Quality Control Policy and  
Medium-Term Business Plan
Alps Alpine will deliver outstanding products and services that 
satisfy its customers. The Fundamental Quality Control Policy 
in the 1st Mid-Term Business Plan states, “We must perfect our 
craftsmanship and earn even more trust from our customers.” 
In order to realize this goal, we must make Companywide efforts 
to improve not only production quality but also improve design 
and component quality assurance, which are essential to achieving 
high-quality production. 
Fundamental Quality Control Policy 
We must perfect our craftsmanship and earn even more 
trust from our customers.
Global Quality Information Management System 
The Alps Alpine Group’s Global Quality Information Management 
System makes possible global sharing of quality information, 
allowing the Group to make swift improvements and promote 
measures undertaken, thereby preventing defects. This system 
allows us to use information from customers and quality informa-
tion in the market on a global scale to quickly diagnose problems 
and implement solutions. Measures taken and improvements 
made are also adopted as standard practice, thereby preventing 
the recurrence of defects and spotlighting important areas of 
focus in the development of future product models.
Risk Management through Introduction of 
OHSAS 18001
At the Alps Alpine Group, we have introduced the OHSAS* 18001 
international occupational health and safety management system 
standard, and we have been acquiring certification at our manu-
facturing bases and other locations. Based on this system, we 
Product Quality and Safety
Workplace Health and Safety
Global sharing of information in real time
Improved customer satisfaction
Customer and market quality information
Development and design 
Global Quality Information  
Management System
Manufacturing bases
Sales 
Recurrence prevention
Permanent measures
Corrective actions
Reasons for oversight
Reasons for occurrence
Cross-organizational deployment
32
33
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Climate Change Impact Mitigation Measures
Alps Alpine views climate change as a major risk factor that could 
cause production stoppages and supply chain bottlenecks. 
Through the Environmental Protection Committee chaired by 
Yoichiro Kega, the vice president in charge of HR & General 
Affairs, Legal & Intellectual Property, and Export & Import 
Administration, we set our goals and determine countermeasures 
to be taken with regard to climate change. In the 1st Medium-Term 
Action Plan for Environmental Preservation, which started in fiscal 
2019, we set long-term targets for 2030 and 2050 in line with 
the Paris Agreement and we are taking measures to meet these 
goals. In this action plan, we focus on the development of pro-
duction facilities around the world centered on efficient use 
of resources, energy sources, and durability. 
	
The main risks that the Group faces related to the shift to 
a low-carbon-emissions economy are (1) growth in the market 
for electric vehicles (EVs), (2) changes in the markets that supply 
automotive products and energy efficient facilities and systems, 
(3) technological changes, and (4) demand from customers and 
other stakeholders to further reduce CO2 emissions and use 
more renewable energy sources. We also face such risks as 
natural disasters including heavy rains and floods. We respond 
to these risks through such risk management activities as regular 
reviews of our risk management manuals and systems. 
1st Medium-Term Action Plan for 
Environmental Preservation 
In order to promote environmental preservation activities, including 
global warming countermeasures, the Alps Alpine Group has 
drawn up a Medium-Term Action Plan for Environmental 
Preservation. This action plan is reviewed every three years and 
we continue to implement measures to mitigate climate change 
in Japan and overseas. 
	
The 1st Medium-Term Action Plan for Environmental 
Preservation began in April 2019. In addition to the abovemen-
tioned long-term targets for 2030 and 2050, we have formulated 
a chemical substance management plan to reduce and limit 
emissions of volatile organic compounds (VOCs) and greenhouse 
gases that come from sources other than power generation, 
such as sulfur hexafluoride.
Category
Target
Scope
Long-term  
targets
Global warming 
countermeasures
Achieve an 80% reduction in greenhouse gas emissions volume by fiscal 2050 compared with 
fiscal 2013 levels 
The Alps Alpine Group
Improve energy consumption per unit of production by an average of 1% per year until 2030 
The Alps Alpine Group
Medium-term 
Plan
Lower energy consumption per unit of production by an average of 1% per year for Japanese 
product distribution system until fiscal 2021
Alps Alpine / Alps Logistics
Resource 
circulation
Reduce waste emissions per unit of production by an average of 1% per year until fiscal 2021 
The Alps Alpine Group
Increase waste recycling rate 
Alps Alpine
Lower water use volume per unit of production by an average of 1% per year by fiscal 2021 
The Alps Alpine Group
Improve material yield 
Electronic Components Segment 
Improve material straight pass rate
Electronic Components Segment 
Environmentally 
friendly products
Promote expanded sales of environmentally friendly products
Alps Alpine
Biodiversity
Promote biodiversity conservation activities
Alps Alpine
Chemicals
Reduce and limit VOC emissions
Alps Alpine
Reduce and limit greenhouse gas emissions from sources other than power generation, such 
as sulfur hexafluoride (climate change countermeasures)
Alps Alpine
Environment
Overall Environmental Load of the Alps Alpine Group (Fiscal 2018)
Input
We are taking thorough 
measures to eliminate hazard-
ous chemicals from our green 
procurement activities, 
materials, and components 
on a global scale. We are also 
reducing energy consumption 
by installing highly efficient 
equipment and raising the 
awareness of our employees 
regarding energy issues.
Electricity
(MWh)
Japan
149,012
Overseas
449,643
Fuel
(Crude oil equivalent: kl)
Japan
6,389
Overseas
10,670
Municipal / industrial water supply(t)
Japan
735,389
Overseas
1,083,846
Groundwater
(t)
Japan
51,583
Overseas
75,028
Purchased parts  
(semiconductors, etc.)
Processed parts  
(molded parts, etc.)
Raw materials  
(iron, plastic, etc.)
Fuel
(Crude oil equivalent: kl)
Japan
896
Overseas
(not tabulated)
Suppliers
We have developed the 
Alps Green Procurement 
System on a global basis, 
which promotes procure-
ment of materials with low 
environmental loads.
Logistics
We are globally implement-
ing modal shifts and other 
measures to reduce 
energy consumption in 
logistics operations.
Customers
We are striving to reduce 
the environmental impact 
of customers’ products 
during use by helping 
improve energy efficiency 
and lengthen operating life.
Alps Alpine Group
All Alps Alpine Group production bases around the world have 
acquired ISO 14001 certification to ensure that the develop-
ment and manufacture of products produce a low environ-
mental impact. Our business facilities also work to reduce 
environmental impact through green procurement, zero 
emissions, and other initiatives. 
• Japan (14 facilities) 
Iwaki Office, Furukawa Plant 2, Wakuya Plant, Kakuda Plant, 
Nagaoka Plant, Onahama Plant, etc.
• Overseas (15 production facilities) 
Americas (1), Europe (4), Southeast Asia / India (3),  
Greater China / Korea (7)
Output
Zero emissions activities are 
pursued to reduce outputs. 
We also work to reduce 
chemical substance releases 
into the atmosphere and CO2 
emissions from logistics 
operations.
Products
Electronic components for 
notebook PCs, smartphones, 
car navigation systems, and 
automobiles
Waste
(t)
Japan
7,236
Overseas
17,314
Emissions into the atmosphere  (t)
Japan	
CO2
88,719 
NOx
4 
SOx
6 
VOC
90
Overseas	CO2
194,370 
NOx(not tabulated) 
SOx(not tabulated) 
VOC(not tabulated)
Emissions into water
(t)
Japan
501,271
Overseas
817,509
Emissions into the atmosphere (t)
Japan	
CO2 
2,375
Overseas
(not tabulated)
Response to Conflict Minerals
Human rights violations by armed elements in the Democratic 
Republic of the Congo and neighboring countries and the inten-
sification of conflict due to armed groups being financed through 
the sale of minerals obtained in the region are major issues. In 
the United States, Section 1502 of the Dodd–Frank Wall Street 
Reform and Consumer Protection Act, which came into effect 
in January 2013, defines these minerals as “conflict minerals” 
and obligates corporations listed on U.S. stock exchanges to 
disclose information related to the use of conflict minerals in their 
products with the ultimate goal of eradicating the use of minerals 
that are “financing conflict.”
	
The Alps Alpine Group, while not obligated by the act, under-
stands and agrees with the purpose of the act from a human 
rights perspective and intentionally avoids employing as materials 
in its products conflict minerals that are used to finance armed 
forces from the Democratic Republic of the Congo or neighboring 
countries that engage in inhumane conduct.
	
Additionally, Alps Alpine concurs with the philosophy upheld 
by the Japan Electronics and Information Technology Industries 
Association (JEITA) and has been participating in, and conducting 
activities with, JEITA’s Responsible Minerals Trade Working Group 
since its establishment. The Company also conducts policy 
briefings and financial results briefings for its suppliers each 
April in which it shares information regarding important matters 
and trends related to mineral procurement.
Procurement
Response to Procurement Risk
The Alps Alpine Group has set up international procurement 
offices (IPOs) to carry out procurement activities at production 
bases in 29 locations in 12 countries: Japan, China, South 
Korea, Malaysia, Mexico, Ireland, Germany, the Czech Republic, 
India, Thailand, and Hungary as well as in Taiwan and Hong Kong. 
Procurement entails obtaining at the right time the required 
volume of materials and parts that are superior in quality, cost, 
delivery, and environmental performance. It is therefore essential 
that the Group procures from suppliers it can trust. For that reason, 
the Group makes efforts to build trust-based relationships. 
	
The supply chain is also affected by natural disasters, acci-
dents, labor disputes, bankruptcies, and other occurrences, 
with extensive repercussions for procurement activities as well 
as for such operations as logistics. The Group regularly updates 
its supply chain database and is currently establishing structures 
for globally centralizing information and responding in a timely 
manner when procurement risks do eventuate. 
The Alps Alpine Group continuously holds policy briefings and 
financial results briefings with its suppliers. At these briefings, 
it requests supplier cooperation with its approach to addressing 
procurement risks.
	
The Group believes that responding to such risks is not 
possible without the support of suppliers and it will continue 
efforts to strengthen that cooperation going forward.
34
35
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Governance
Toshihiro Kuriyama
Representative Director 
President & CEO 
ALPS-COO
Takashi Kimoto
Director 
Executive Vice President
CSO, ALPS-Electronic 
Components Sales & 
Marketing
Koichi Endo
Director 
Senior Vice President
Deputy CTO,  
ALPINE-Research & 
Development and 
ALPINE-Engineering
Nobuhiko Komeya
Representative Director
Senior Executive Vice 
President & CIO  
(Chief Integration  
Synergy Officer) 
ALPINE-COO
Yasuo Sasao
Director 
Senior Vice President
CTO, ALPS-New Business 
and ALPS-Engineering
Satoshi Kinoshita
Director (outside)
Apr.	1980	 Joined Alps Electric Co., Ltd.  
(currently Alps Alpine Co., Ltd.)
Jun.	2004	 Director
Apr.	2007 	 General Manager, Business  
Development Headquarters
Apr.	2009 	 General Manager, Engineering 
Headquarters
	
	 Engineering & Quality Management 
Executive
Oct.	2009 	 Officer in charge of Component 
Products Business, MMP Division
Jun.	2011 	 Managing Director
Apr.	2012 	 General Manager, Engineering 
Headquarters
Jun.	2012 	 President, Chairman of the  
Board of Director
Jan.	2019 	 Representative Director, President & 
CEO, ALPS COO (present)
Jun.	2019	 CEO (present)
Apr.	1981 	 Joined Alps Electric Co., Ltd.  
(currently Alps Alpine Co., Ltd.)
Jun.	2008 	 Director
Apr.	2009 	 General Manager, Automotive Division
Apr.	2010 	 European and American Business 
Executive
Apr.	2012 	 General Manager, Sales & Marketing 
Headquarters
Jun.	2012 	 Managing Director
Jun.	2016 	 Senior Managing Director
Jan.	2019 	 Director, Executive Vice President and 
CSO, ALPS-Sales & Marketing
Apr.	2019 	 Director, Executive Vice President and 
CSO, ALPS-Electronic Components 
Sales & Marketing (present)
Apr.	1986 	 Joined Alpine Electronics, Inc.
Jun.	2010 	 Director
	
	 Head of Product Development
Jun.	2015 	 Deputy Head of Engineering & 
Development
Jan.	2016 	 Head of Advanced Development
Jun.	2016 	 Managing Director (present)
	
	 Head of Engineering & Development
Jan.	2019 	 Director, Senior Vice President,  
Deputy CTO, ALPINE-Research & 
Development and ALPINE-Engineering
Jun.	2019	 Director, Senior Vice President,  
Deputy CTO, ALPINE-Research & 
Development and ALPINE-Engineering 
(present)
Apr.	1981 	 Joined Alps Electric Co., Ltd.  
­(currently Alps Alpine Co., Ltd.)
Mar.	2000 	 Director & President,  
Alps Electric (UK) Limited
Jun.	2004 	 Director, Alps Electric Co., Ltd.
Jun.	2009 	 Managing Director, in charge of Material 
Control, MMP Division
Jun.	2012 	 Senior Managing Director, General 
Manager, Administration Headquarters
Jun.	2015 	 Senior Managing Director,  
Alpine Electronics, Inc.
	
	 Head of Administration  
(of Alpine Electronics)
Jun.	2016 	 President of Alpine Electronics (present)
Jan.	2019 	 Representative Director,  
Senior Executive Vice President, 
ALPINE-COO (present)
Jun.	2019 	 CIO (present)
Apr.	1983 	 Joined Alps Electric Co., Ltd.  
(currently Alps Alpine Co., Ltd.)
Jan.	2009 	 Deputy General Manager, Component 
Products Business Division
Apr.	2009 	 Deputy Officer in charge of Component 
Products Business, MMP Division
Jun.	2010 	 Director
Apr.	2012 	 General Manager, Component, 
Engineering Headquarters
Apr.	2013 	 Officer in charge of Component 
Business and Deputy General Manager, 
Engineering Headquarters
Jun.	2014 	 Officer in charge of Component 
Business and General Manager, 
Engineering Headquarters
Jun.	2015 	 Managing Director
Jun.	2018 	 Managing Director, Officer in charge of 
New Component Business and General 
Manager, Engineering Headquarters
Jan.	2019 	 Senior Vice President, CTO,  
ALPS-New Components and 
ALPS-Engineering 
Jun.	2019	 Director, Senior Vice President,  
CTO, ALPS-New Business and  
ALPS-Engineering (present)
Apr.	1988 	 Joined Toshiba Tungaloy Co., Ltd. 
(currently Tungaloy Corporation)
May	2005 	 General Manager, Materials 
Development Dept., Engineering 
Headquarters, Tungaloy Corporation
May	2011 	 Executive Officer and General Manager, 
Engineering Headquarters, and General 
Manager, Cutting Tools Development 
Dept., Engineering Headquarters
Mar.	2014 	 President and CEO (present)
Jun.	2018 	 Director and Audit and Supervisory 
Committee Member,  
Alpine Electronics, Inc.  
(Resigned in December 2018)
Jan.	2019 	 Outside Director  
(of Alps Alpine Co., Ltd.) (present)
Junichi Umehara
Director 
Audit and Supervisory 
Committee Member
Takashi Iida
Director 
Audit and Supervisory 
Committee Member (outside)
Yoko Toyoshi
Director 
Audit and Supervisory 
Committee Member (outside)
Shinji Maeda
Director 
Audit and Supervisory 
Committee Member
Kazuya Nakaya
Director 
Audit and Supervisory 
Committee Member (outside)
Yuko Gomi
Director 
Audit and Supervisory 
Committee Member (outside)
Mar.	1987 	 Joined Alps Electric Co., Ltd.  
(currently Alps Alpine Co., Ltd.)
Sep.	2004 	 Deputy Officer in charge of Legal & 
Intellectual Property and Deputy Officer 
in charge of Corporate Export & Import 
Administration
Jun.	2006 	 Director
Jul.	 2006 	 Officer in charge of Legal & Intellectual 
Property General Manager, Corporate 
Export & Import Administration
Apr.	2009 	 Deputy General Manager, 
Administration Headquarters 
Deputy General Manager,  
Engineering Headquarters  
Officer in charge of Intellectual Property
Jun.	2011 	 Officer in charge of Legal & Intellectual 
Property
Apr.	2012 	 Officer in charge of Legal & Intellectual 
Property, Administration Headquarters
Jul.	 2015 	 Officer in charge of Human Resource, 
Legal & Intellectual Property
Jun.	2016 	 General Manager,  
Administration Headquarters
Jun.	2018 	 Director (Audit and Supervisory 
Committee Member) (present)
Apr.	1974 	 Registered as an attorney 
Joined Mori Sogo Law Offices 
(currently Mori Hamada & Matsumoto)
Apr.	1997 	 Executive Governor, Japan Federation 
of Bar Associations
Apr.	2006 	 President, Daini Tokyo Bar Association 
Vice President, Japan Federation of  
Bar Associations
Jan.	2012 	 Opened Kowa Law Office (present)
Jun.	2012 	 Outside Corporate Auditor,  
Shimadzu Corporation (present)
Jun.	2013 	 Outside Corporate Auditor,  
JAFCO Co., Ltd.
	
	 Outside Director of the Company
Jun.	2014 	 Outside Audit & Supervisory Board 
Member, NIPPON TELEGRAPH AND 
TELEPHONE CORPORATION (present)
Oct.	2015 	 Deputy Chairman, Gender Equality 
Bureau Cabinet Office Promotion and 
Liaison Committee (present)
Jun.	2016 	 Director (Audit and Supervisory 
Committee Member) (present)
Apr.	1981 	 Joined The Bank of Fukuoka, Ltd.
Oct.	1989 	 Joined Asahi Shinwa & Co.  
(currently KPMG AZSA LLC)
Dec.	1990 	 Joined Deloitte Touche Tohmatsu  
(currently Deloitte Touche Tohmatsu LLC)
Jul.	 2008 	 Appointed partner,  
Deloitte Touche Tohmatsu
Jul.	 2013 	 Certified Public Accountants and  
Audit Oversight Board, Financial 
Services Agency 
Appointed Chief Certified Public 
Accountant Audit Inspector
Jul.	 2016 	 Partner, Deloitte Touche Tohmatsu LLC
Jun.	2018 	 Director (Audit and Supervisory 
Committee Member) (present)
Apr.	1982 	 Joined Alps Electric Co., Ltd.  
(currently Alps Alpine Co., Ltd.)
Aug.	1991 	 Transferred to Alpine Electronics, Inc.
Oct.	2008 	 Senior Manager, Human Resources 
Division
Jul.	 2013 	 General Manager, Deputy Head of 
Administration 
(Human Resources, Corporate Planning / 
Tokyo Office)
Jan.	2016 	 General Manager of Corporate Planning
Jan.	2019	 Director (of Alps Alpine Co., Ltd.)  
(Audit and Supervisory Committee 
Member) (present)
Apr.	1984 	 Joined Matsushita Kotobuki  
Electronics Industries, Ltd. 
(currently PHC Corporation)
Jun.	2006 	 Director and General Manager,  
Device Industry Business Group, 
Panasonic Shikoku Electronics Co., Ltd. 
(currently PHC Corporation)
Jun.	2008 	 Representative Director, Managing 
Director in charge of Device Business
Jun.	2009 	 Representative Director, Managing 
Director in charge of Healthcare 
Business and Business Development
Jun.	2012 	 Representative Director, Senior 
Managing Officer in charge of  
Corporate Planning, Public Relations 
and Company-wide Operations, 
Panasonic Healthcare Co., Ltd.  
(currently PHC Corporation)
Apr.	2014 	 Representative Director,  
Senior Managing Officer,  
Chief Technology Officer  
(resigned in September 2015)
Oct.	2015 	 Advisor, Healthcare Business Division, 
KONICA MINOLTA, INC.
Jun.	2016 	 Outside Member of the Board,  
Sharp Corporation
Jun.	2018 	 Director (Audit and Supervisory 
Committee Member) (present)
Apr.	1999 	 Registered as an attorney 
Joined T. Kunihiro Law Office  
(currently T. Kunihiro & Co. 
Attorneys-at-Law)
Jan.	2012 	 Appointed as Partner (present)
Jul.	 2012 	 Councilor, The Foundation for the 
Promotion of Industrial Science 
(present)
Jul.	 2013 	 Member of Information Security 
Advisory Board, Japan Coast Guard 
(present)
Sep.	2013 	 Legal Advisor to the Legal Compliance 
Office, General Affairs Division, 
Minister’s Secretariat, Cabinet Office 
(part time) (present)
Jun.	2018 	 Outside Corporate Auditor,  
NIPPON GAS CO., LTD. (present)
May	2019 	 Outside Audit and Supervisory Board 
Member, Lawson, Inc. (present)
Jun.	2019 	 Director (Audit and Supervisory 
Committee Member) (present)
Directors (As of June 21, 2019)
36
37
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Corporate Governance at Alps Alpine
Notice
Board of Directors
Administrative Functions
Corporate Planning, Human Resources, 
General Affairs,  
Legal Affairs and Intellectual Property,  
Corporate Export & Import Administration, 
Corporate Accounting, Corporate Treasury, 
Corporate Tax, Information Systems
Vice Presidents’ Meeting
Representative Director and Directors 
(excluding Audit and Supervisory Committee Members)
Independent 
Auditing Firm
Audit and Supervisory Committee
Auditing, etc.
Liaison
Liaison / Reporting
Internal audits
Alps Company
Alpine Company
Liaison / Reporting
Proposal submission /  
Reporting
Reporting
Compliance & Audit Department
Audit and Supervisory 
Committee Office
Nomination and Remuneration 
Advisory Committee
General Meeting of Shareholders
Related companies (Japan and overseas)
Related companies (Japan and overseas)
Proposal / Reporting
Reporting / Stating of opinions
Liaison
Election / Removal
Election / Removal
Election / Removal
Reporting
Opinions / Advice
Explanation regarding nomination  
and remuneration
Execution of business
Proposal submission / Reporting
Accounting 
audits
Reporting
Instruction
Board of Directors’ and Vice Presidents’ Meetings
Alps Alpine’s Board of Directors consists of six (6) directors (excluding 
directors who are members of the Audit and Supervisory Committee, 
one (1) of whom is an outside director) and six (6) directors who 
are members of the Audit and Supervisory Committee (including 
four (4) outside directors). Outside directors account for more than 
one-third of the Board of Directors. The Board of Directors deliber-
ates and makes decisions on basic management policy and 
important management matters, including short- and medium-
term business plans, and facilitates the delegation of duties 
regarding decision-making on the execution of important duties to 
executive directors. The Company has positioned the Board of 
Directors as an organ that carries out audit and supervision of the 
execution of duties, thereby strengthening the monitoring function.
	
In addition, the Company has adopted a vice president system, 
in which chief officers have been appointed as the persons 
responsible for such individual functions as sales, technology, 
production, materials, quality, and management, and the directors 
tasked with making important decisions on the execution of busi-
ness by the Board of Directors provide instruction and guidance to 
the chief officers and vice presidents responsible, so that the 
execution of business can be performed effectively in accordance 
with the business type and size of the Company and each subsidiary. 
Approach to Corporate Governance
The Alps Alpine Group defines corporate governance as the 
“establishment and operation of frameworks for realizing efficient 
and appropriate decision-making and execution of business affairs 
by senior management, prompt reporting of outcomes to stake-
holders, and sound, efficient, and transparent business adminis-
tration for the purpose of heightening corporate value.” The Group’s 
basic approach, placing importance on maximizing benefits for 
shareholders and all other stakeholders, is to maximize corporate 
value and deliver benefits directly or indirectly to stakeholders in 
a balanced way, satisfying their respective interests.
	
Furthermore, in order to fulfill its responsibilities to stakeholders, 
including shareholders, customers, local communities, and 
employees, and realize effective corporate governance as a busi-
ness entity, Alps Alpine has established “Alps Alpine Co., Ltd. 
Corporate Governance Policies” and disclosed the policies on 
the Company’s website. 
www.alpsalpine.com/e/ir/index.html
Corporate Governance Structure
Alps Alpine has adapted a company with an audit and supervisory 
committee system as its organizational design under the 
Companies Act. Independent of executives, the Audit and 
Supervisory Committee bolsters auditing and supervisory 
functions while closely coordinating with an independent auditing 
firm and the internal audit department, thereby further strengthen-
ing corporate governance and enabling fair and highly transparent 
business administration.
Yoji Kawarada
Senior Vice President
CPO,  
ALPINE-Production and  
ALPS-Material Control 1 and  
ALPINE-Material Control 2
Tetsuhiro Saeki
Senior Vice President
CMO,  
Information Systems,  
ALPS-Production and  
ALPS-Components Production
Yoichiro Kega
Vice President
HR & General Affairs,  
Legal & Intellectual Property, 
Export & Import Administration
Hiroyuki Sato
Vice President
ALPS-Automotive  
Module Business and  
ALPS-Engineering
Yasushi Motokawa
Vice President
ALPINE-Automotive  
Sales & Marketing
Yoshikatsu Watanabe
Vice President
ALPINE-Infotainment Business and  
ALPINE-Engineering
Satoshi Kodaira
Vice President
CQO,  
ALPS-Quality 1 and 
ALPINE-Quality 2
Kazutoshi Ogamoto
Vice President
ALPS-Automotive Module  
Production and  
ALPS-Production
Hiroshi Yamagami
Vice President
ALPS-Components Business and  
ALPS-Engineering
Toshinori Kobayashi 
Vice President
Corporate Planning,  
Accounting & Finance
Shinji Inoue 
Vice President
ALPINE-Automotive  
Sales & Marketing
Koji Ishibashi
Vice President
ALPINE-Display &  
Sound Business and  
ALPINE-Engineering
Hideo Izumi
Vice President
ALPS-Automotive  
New Business and  
ALPS-Engineering

Note: Vice presidents who serve concurrently as directors are not listed above.
Ethics Hotline
Designation / Dismissal / Supervision 
Delegation of execution of important business
Vice Presidents (As of June 21, 2019)
Corporate Governance
38
39
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

In addition to the by-function organization, vice presidents have been 
appointed to each business area and business unit, and with the 
objective of improving the agility and optimization of each respective 
business area and business unit, vice presidents hold discussions 
at Vice Presidents’ and other meetings and engage in prompt and 
accurate decision-making and the execution of business.
	
Furthermore, toward the achievement of its Medium-Term 
Business Plan, and in order to further accelerate and enhance the 
creation of synergies through the management integration of Alps 
Electric Co., Ltd. and Alpine Electronics, Inc., the Company has 
established the position of chief integration synergy officer (CIO), 
and, under strong leadership, shall work on management struc-
tural reform, the reform of overseas bases, domestic organiza-
tional reform, the entering of new businesses, and cost-reduction 
measures through accelerated commercialization and the optimi-
zation of functions.
	
The Board convenes once a month for regular meetings and 
on other occasions as required to thoroughly deliberate and 
pass resolutions on all important matters. Resolution matters are 
checked in advance from legal affairs, accounting, tax, economic 
rationality, and other perspectives to ensure legal compliance and 
reasonableness of resolutions of the Board of Directors, in accordance 
with the rules and bylaws for the Board of Directors. Moreover, the 
Company formulates short- and medium-term business plans based 
on Company policy. Business plans are deliberated and resolved 
by the Board of Directors after an opportunity for deliberation and 
information sharing at business plan meetings held twice a year with 
directors of the Company in attendance. Operations are implemented 
with progress monitored on a monthly basis, while important 
matters are submitted to the Board of Directors for deliberation 
in accordance with the rules and bylaws for the Board of Directors 
to ensure optimal utilization of management resources.
	
Since introducing outside directors in 2013, the Company has 
promoted corporate governance reforms including the transition 
to a company with an audit and supervisory committee system, 
the formulation of corporate governance policies, revisions to the 
director remuneration system, including retirement benefits, and 
evaluations of the effectiveness of the Board of Directors. With 
the launch of Alps Alpine Co., Ltd. in January 2019, the Company 
separated management supervision from business execution and 
introduced a vice president system to further enhance management 
maneuverability in response to drastic environmental changes, 
including automotive technological innovations said to occur once 
every 100 years. The Company also reduced the number of direc-
tors. To shift the focus of the Board of Directors to monitoring 
activities, the Company increased the number of outside directors 
from three members to five members, including a female director 
and a director with business management experience. By raising 
the ratio of outside directors to more than one-third, the Company 
has increased independent and objective perspectives to secure 
shareholder profits and work toward realizing sustainable growth 
and creating value over the medium to long term.
	
In fiscal 2018, the Board of Directors’ meeting attendance 
rate for each director was as follows.
Audit and Supervisory Committee
Alps Alpine’s Audit and Supervisory Committee, a majority of 
members of whom are outside Audit and Supervisory Committee 
members, endeavors to make appropriate judgments from an 
objective standpoint, independent of the executives. Moreover, 
full-time Audit and Supervisory Committee members are appointed 
so that they will attend important in-house meetings and carry out 
such tasks as gathering valuable information and receiving reports 
on a daily basis. Outside Audit and Supervisory Committee 
members, who have experience as corporate managers, exten-
sive legal expertise as attorneys at law, and accounting expertise 
as certified public accountants, and inside Audit & Supervisory 
Committee members, who are familiar with the Company’s business, 
conduct highly effective audits, cooperate with the internal audit 
department, and endeavor to provide opinions to management 
at Board of Directors’ meetings and other important meetings. 
Moreover, assistants shall be appointed to assist duties of the 
Audit and Supervisory Committee, and the independence of 
employees performing the relevant tasks from directors (exclud-
ing directors who are members of the Audit and Supervisory 
Committee) shall be ensured. 
	
In accordance with the provisions of Article 427, Paragraph 
1 of the Companies Act, the Company has entered into agree-
ments with six Audit and Supervisory Committee members 
limiting their liability for damages under Article 423, Paragraph 1 
of the Companies Act. Accordingly, their liability for damages 
under the agreements is limited to the minimum amounts stipu-
lated by laws and regulations.
	
In fiscal 2018, attendance by Audit & Supervisory Committee 
members at Audit & Supervisory Committee meetings was 
as follows.
Number of meetings attended / Number of meetings held
Audit and Supervisory 
Committee member
Alps Electric
Alpine Electronics
Alps Alpine
Junichi Umehara
7/7
—
3/3
Shinji Maeda
—
9/9
3/3
Takashi Iida*
11/11
—
3/3
Satoko Hasegawa*
—
12/13
2/3
Kazuya Nakaya*
7/7
—
3/3
Yoko Toyoshi*
7/7
—
3/3
* Outside director
Outside Directors
Alps Alpine appoints outside directors based on their wealth of 
experience and extensive insight as experts on business manage-
ment, law, and accounting from an objective perspective to offer 
advice on and conduct oversight of Company management. The 
Company’s outside directors focus on ensuring legal compliance 
in business administration and, bearing all stakeholders in mind, 
strive to strengthen the supervision of business administration 
by actively offering opinions and advice at meetings of the Board 
of Directors and through supervision of the election, removal, and 
remuneration of management personnel as well as of conflicts 
of interest between the Company and management personnel, 
controlling shareholders and other parties, and other decision-
making by the Board of Directors on important matters. Outside 
directors also work to realize effective supervision by regularly 
visiting facilities of Alps Alpine to gather information and engage 
in information and opinion exchange with other directors, vice 
presidents, and employees. The appointment of outside directors 
is determined based on Company standards for the selection 
of director candidates, including criteria for independence, and 
outside directors, with their consent, are designated as indepen-
dent directors with their appointment as independent directors 
being notified to Tokyo Stock Exchange, Inc.
Name
Reason for appointment
Status on major concurrent holding of positions
Satoshi Kinoshita
With extensive experience and wide-ranging knowledge through his work in domestic and overseas 
group corporate management, determined to be an appropriate person to achieve sustainable growth 
after the business integration and medium- to long-term increase in corporate value of the Company
Takashi Iida
To receive sound guidance and advice on management of the Company based on his extensive 
experience and achievements in the judicial world as a lawyer
Outside Corporate Auditor,  
Shimadzu Corporation
Outside Audit & Supervisory Board 
Member, NIPPON TELEGRAPH AND 
TELEPHONE CORPORATION
Kazuya Nakaya
To employ in the management of the Company his specialized knowledge and experience and broad-
ranging know-how accumulated as an experienced business practitioner over many years
Yoko Toyoshi
To employ in the management of the Company her accounting audit experience gained from working 
for many years at accounting firms and her specialized knowledge and experience and broad-ranging 
know-how accumulated as a certified public accountant
Yuko Gomi
Based on her many years of work as a lawyer, her service as a member of expert committees at 
government-related institutions, as well as her currently serving as an outside director at other  
companies, to reflect her specialized knowledge and extensive insight as an outside director in the 
Company’s management
Outside Corporate Auditor,  
NIPPON GAS CO., LTD.
Outside Audit and Supervisory Board 
Member, Lawson, Inc.
Evaluation of the Effectiveness of the Board of Directors
Alps Alpine has established corporate governance policies for fulfilling 
its responsibilities to stakeholders, including shareholders, customers, 
employees, and the local community, as well as for implementing 
effective corporate governance with the objectives of sustainable growth 
and medium- to long-term improvement in its corporate value. Based 
on this, an evaluation of the effectiveness of the Board of Directors of 
Alps Electric Co., Ltd. was carried out in fiscal 2018, with the objective 
of further improving the function of the Board of Directors. A report on 
this is provided below. In addition, an evaluation of the effectiveness 
of the Board of Directors of Alpine Electronics, Inc. was also conducted 
in fiscal 2018, and the effectiveness of the Board of Directors, including 
its activities related to the business integration, was confirmed.
Summary of the Fiscal 2018 Evaluation Results of the 
Effectiveness of the Board of Directors 
1. Method of Analysis and Evaluation
A non-anonymous questionnaire regarding the structure, operation, and 
deliberations of the Board of Directors, dialogue among directors, support 
systems, and a review of the processes related to the business integration 
with Alpine Electronics, Inc., among other topics, was conducted by 
all members of the Board of Directors, and the directors performed 
self-evaluations, as well as giving their opinions. The Audit and Supervisory 
Committee, including outside directors, and the directors responsible for 
management analyzed the results, organized issues, and reported to 
the Board of Directors, which verified and deliberated on the results.
2. Summary of Analysis and Evaluation Results
In fiscal 2018, the Board of Directors continued to make steady efforts 
to advance corporate governance, an ongoing trend since the intro-
duction of outside directors in 2013. Furthermore, the Board of Directors 
added a female director and a director with business management 
experience for the first time; provided information and training to outside 
directors; undertook serious discussions on important themes such as 
the business integration; and dealt with various business issues as 
appropriate. On the other hand, with respect to securing more time for 
prior examination of materials for meetings of the Board of Directors, 
a more comprehensive discussion of medium- to long- term issues, 
and the construction and operation of internal control systems, specific 
opinions and suggestions for further improvement were received, and 
the Board of Directors verified and discussed them and decided to 
engage in efforts toward making improvements in these areas.
3. Future Responses
In response to these evaluation results and opinions, the Company will 
work on further improvement and reform under a new system after the 
business integration, and will implement effective corporate governance 
with the objectives of sustainable growth and medium- to long- term 
improvement in the corporate value of the Company.
Director
Number of meetings attended / Number of meetings held
Director
Number of meetings attended / Number of meetings held
Alps Electric
Alpine Electronics
Alps Alpine
Alps Electric
Alpine Electronics
Alps Alpine
Toshihiro Kuriyama
7/7
—
5/5
Junichi Umehara
7/7
—
5/5
Nobuhiko Komeya
—
10/10
5/5
Shinji Maeda
—
7/7
5/5
Takashi Kimoto
7/7
—
5/5
Takashi Iida*
7/7
—
5/5
Koichi Endo
—
10/10
5/5
Satoko Hasegawa*
—
10/10
4/5
Yoji Kawarada
7/7
—
5/5
Kazuya Nakaya*
7/7
—
5/5
Satoshi Kinoshita*
—
7/7
5/5
Yoko Toyoshi*
7/7
—
5/5
* Outside director
Director Remuneration System
Under the remuneration structure focusing on linkage with perfor-
mance in the short term and performance over the medium to long 
term, Alps Alpine incentivizes actions of directors for increasing 
corporate performance and the share price to the maximum 
extent in order to lastingly improve the Group’s corporate value. 
Specifically, the composition of remuneration is as follows:
Disclosure of Policy for Determining Remuneration Amounts 
or Calculation Methods Thereof
• Policy for Determining Remuneration
a) Remuneration for inside directors (excluding directors who are 
members of the Audit and Supervisory Committee)
The Company’s remuneration for inside directors (excluding direc-
tors who are members of the Audit and Supervisory Committee) 
consists of fixed remuneration, performance-based bonuses, 
and restricted shares. Performance-based bonuses vary according 
to single-year performance (operating profit, profit, and others). 
Restricted shares are granted as remuneration linked to medium- 
to long-term performance, ensuring that not only the merits of 
an increase in the price of the Company’s stock but also the risks 
of a decrease in the stock price are shared with shareholders 
under this system.
40
41
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

b) Remuneration for outside directors and directors who are  
members of the Audit and Supervisory Committee
The Company’s remuneration for outside directors and directors 
who are members of the Audit and Supervisory Committee consists 
only of fixed remuneration.
Procedures for Determining Remuneration
The Company determines the remuneration for directors (excluding 
directors who are members of the Audit and Supervisory Committee) 
at Board of Directors’ meetings, and the remuneration for directors 
who are members of the Audit and Supervisory Committee at 
Audit and Supervisory Committee meetings, to the extent of the 
total amount of remuneration approved at the General Meeting of 
Shareholders. The Company has established a voluntary Nomination 
and Remuneration Advisory Committee constituted of members 
including outside directors to consult about remuneration prior to 
resolution by the Board of Directors.
	
In fiscal 2018, director remuneration was as follows.
Director Remuneration in Fiscal 2018
Total value of 
 remuneration  
(Millions of yen)
Total remuneration by type (Millions of yen)
Number of  
applicable officers 
(People)
Classification
Base
Bonuses
Stock options
Directors (excluding Audit and Supervisory Committee members)
385
257
72
55
14
(of whom, outside directors)
(2)
(2)
(—)
(—)
(1)
Directors (Audit and Supervisory Committee members)
64
64
—
—
9
(of whom, outside directors)
(33)
(33)
(—)
(—)
(6)
Total
449
321
72
55
23
(of whom, outside directors)
(35)
(35)
(—)
(—)
(7)
Notes:	 1. The amount of remuneration for directors (excluding Audit and Supervisory Committee members) does not include an employee-portion salary for directors who also serve 
as an employee.
	
2. As of March 31, 2019, there were six directors (excluding Audit and Supervisory Committee members), of whom one was an outside director, and six directors (Audit and 
Supervisory Committee members), of whom four were outside directors.
	
3. For bonuses, the amount is recorded as costs in fiscal 2018.
Alps Alpine Group Management Paradigm  
(Alps Alpine Group Management Regulations / Compliance Charter / Environmental Charter)
Alps Logistics Co., Ltd.
[Logistics]
Alps Alpine Co., Ltd.
[Electronic Components]  
[Automotive Infotainment]
Alps Alpine Group Auditors Liaison Committee
(Liaison between Audit and Supervisory 
Committee and internal audit offices)
Area-specific liaison meetings
Board of Directors
(Deliberation / Reporting on important Group matters  
and electronic components / automotive infotainment businesses)
Presidents’ Meeting 
(Advancing of discussion /  
Reporting on important Group matters)
Audit and Supervisory 
Committee Office
Audit and Supervisory Committee
Corporate Planning, CSR,  
Corporate Accounting, Legal Affairs, 
Human Resources, Compliance, etc.
President and Deputy Presidents
Alps Alpine Group Internal Control Structure
Acknowledging the Founding Spirit (Alps Alpine Precepts) as the 
origin of Group management, Alps Alpine has established within 
the Alps Alpine Group Management Paradigm (Alps Alpine Group 
Management Regulations / Compliance Charter / Environmental 
Charter) a fundamental philosophy and action guidelines relating 
to compliance and environmental conservation by Alps Alpine that 
apply to Alps Alpine and listed subsidiaries. We also maintain internal 
controls (systems for ensuring the appropriateness of operations) 
conforming to the Companies Act of Japan and ordinances for 
enforcement of the act to make sure that the Group as a whole 
is operated efficiently and appropriately. For basic policies and 
an overview of the operational status of internal control systems, 
please view the “Matters Related to Internal Control Systems” 
section of our Corporate Governance Report.
https://www.alpsalpine.com/e/ir/governance.html
Audit and Supervisory Committee
Audit and Supervisory 
Committee Office
Corporate Planning, CSR,  
Corporate Accounting, Legal Affairs, 
Human Resources, Compliance, etc.
President
Board of Directors
Alps Alpine Group Compliance Charter
Fundamental Philosophy
As a member of the global community, Alps Alpine is committed to displaying fairness in its corporate activities,  
as well as to taking responsible and sensible action,  
in order that Alps may continue to develop with society while making a valuable social contribution.
Action Guidelines
1. Alps Alpine will abide by laws and ordinances that govern its 
business and will ensure sensible behavior to avoid involvement 
in antisocial acts.
2. Alps Alpine will respect foreign cultures and customs and will 
contribute to local community development.
3. Alps Alpine will aim for maximum product safety and quality while 
engaging in fair trade and competition with other companies 
and maintaining strong ties with authorities.
4. Alps Alpine will disclose information fairly to shareholders and 
other stakeholders.
5. Alps Alpine will provide a safe and user-friendly workplace and 
will respect the character and individuality of employees.
6. Alps Alpine will endeavor to manage and use society’s assets, 
including goods, money, and information, in a suitable manner 
without displaying behavior that could be disadvantageous 
to society.
Tax Policy
The Alps Alpine Group acts in keeping with its philosophy to 
“create value for people and the planet through close cooperation 
between its Group companies while maintaining their independence 
and autonomy and to contribute to society while increasing corporate 
value.” The Group pursues a corporate policy with a stated aim to 
“strive for fair management from a global perspective,” which is 
achieved by strictly enforcing observance of the law, its corporate 
policies, societal customs, and good business ethics with all 
Group employees.
	
In regard to our tax processes, our core principle is to fulfill 
our societal obligation to pay all taxes due in accordance with 
local tax laws, through communication with tax authorities, as well 
Basic Approach to Compliance
The Alps Alpine Group established the Alps Alpine Group 
Compliance Charter as one element of the Alps Alpine Group 
Management Paradigm, a statement comprising a fundamental 
compliance philosophy and six action guidelines shared by the 
entire Group. 
	
We also appeal to all organizations and employees within the 
Alps Alpine Group to make an effort at all times to act responsibly 
and sensibly in line with the Alps Alpine Group Compliance Charter, 
aiming for fair management in keeping with the purpose of the 
law, social requirements, and corporate ethical standards. In this 
regard, we believe it is important to go beyond the formalities of 
observing laws and rules and take appropriate action proactively 
having acquired an understanding of why those laws and rules are 
necessary—their purpose and significance.
	
Furthermore, the core companies of each business segment 
(Electronic Components and Automotive Infotainment: Alps Alpine; 
Logistics: Alps Logistics) globally deploy within each of those 
segments specific measures based on the Alps Alpine Group 
Compliance Charter and consistent with their respective business 
domains, such as the establishment of “systems for ensuring the 
appropriateness of operations” and necessary in-house rules 
and regulations.
Measures
As the core company of the Electronic Components Segment, 
Alps Alpine has established a set of compliance regulations based 
on the Alps Alpine Group Compliance Charter and globally deploys 
specific measures within the segment. 
	
The deployment of measures goes beyond developing and 
introducing rules and systems. Importance is placed on ensuring 
that those rules and systems are being managed properly and 
effectively by encouraging individual employees, who actually engage 
in the activities, to take proactive action based on a proper under-
standing of the importance of compliance.
	
Specifically, internal controls are established and implemented 
to ensure that management of Company and Group operations is 
carried out appropriately; that departments carry out self-evaluations 
(monitoring) of their own activities; and that the internal audit depart-
ment carries out internal audits of the activities and operations 
of various departments, overseas affiliates, and other subsidiaries. 
For example, in regard to the management and use of grants and 
subsidies received from public agencies in Japan, Alps Alpine has 
established a set of regulations related to the management and use 
of such grants and subsidies and put in place a Companywide 
management structure with the president and vice president 
as the chief officer in charge and the managing vice president 
as supervising officer. Within each headquarters, where there 
are structures in place for promoting compliance, the compliance 
promotion representative for the headquarters—the head of the 
planning department—assigns compliance promotion officers and 
ensures that grants and subsidies are managed and used within 
the organization according to the regulations. Each compliance 
promotion representative also regularly checks up on the use of 
grants and subsidies within his or her headquarters and reports to 
the supervising officer and the internal audit department. In addi-
tion, the internal audit department regularly checks up on the use 
of grants and subsidies Companywide and reports to the super-
vising officer and the chief officer in charge.
	
To ensure early discovery and correction of misconduct or 
other compliance incidents, the persons in charge of facilities in 
Japan and at overseas affiliates are obliged to report any incidents 
when they occur to relevant Alps Alpine vice presidents and  
managing vice presidents as well as to the corporate planning 
and compliance departments.
Compliance
Internal Controls
Audit and 
Supervisory 
Committee
Directors
Presidents
Departments
42
43
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Approach to Risk Management
Risks are diversifying due to business globalization and technological 
advancements. To address these risks, it is vital that Alps Alpine 
averts risks affecting its future and that it anticipates dangers and 
losses that could potentially occur and take steps to avoid them or, 
if they cannot be avoided, minimize the damage caused. Further-
more, given recent debate about the value that corporations bring 
to society, the Company needs to strengthen management and 
operational foundations that support legal compliance and appro-
priateness of management and the execution of business affairs. 
It is also essential that, even in times of economic stagnation and 
low growth, the Company carries out growth-oriented manage-
ment with risks thoroughly managed. The Company views risk 
management as the basis for a style of management and business 
operation that enables sustained business growth and enhanced 
corporate value over the medium to long term; in other words, a 
foundation for growth-oriented management.
Risk Maps 
At Alps Alpine, under the jurisdiction of the officer in charge of 
corporate planning, corporate departments—including corporate 
planning, legal affairs, human resources, general affairs, accounting, 
export and import administration, and compliance—and operating 
departments—such as engineering, production, quality control, 
and sales—deliberate on functions and roles related to risk manage-
ment and establish risk management structures based on crisis 
management regulations. As part of these efforts, the corporate 
departments prepare “risk maps” in order to visualize the business 
environment facing the Company. This entails categorizing risks 
and then evaluating those risks from the perspectives of potential 
impact, potential for eventuation, and status of risk management 
measure implementation. Risk maps are subsequently prepared 
based on the results of these evaluations. Going forward, these risk 
maps will help guide the Company’s risk management activities.
Crisis Management
In addition to fires, natural disasters such as earthquakes and heavy 
rains have a significant impact on a corporation’s business and 
management as well as on its supply chain. To prepare for such 
crises, the Alps Alpine Group is promoting various initiatives to 
realize a prompt recovery in operations and minimize damage.
Crisis Management Regulations and Manuals
Alps Alpine identifies risks that need to be managed in a set of 
crisis management regulations and maintains crisis management 
manuals depending on the significance of the risk, updating them 
as required. Each facility in Japan also promotes its own individual 
crisis management manual based on Companywide manuals.
Information Security
Within the Alps Alpine Group, the information systems department 
heads activities for establishing regulations related to information 
security, devising security enhancement measures and training 
plans, and deploying them both in Japan and globally through 
coordination with information officers in individual departments. 
	
To thoroughly disseminate the information management policy, 
information management audits of individual departments are 
conducted every year to confirm the status and progress of 
educational activity plans and improvement measures. Operation, 
maintenance, and trouble response activities of information systems 
departments are also audited, and the Group is advancing efforts 
to prevent the falsification of information and maintain environments 
allowing for the timely utilization of information for business, along 
with measures to counter new threats such as cyberattacks.
	
Additionally, in light of the heightened awareness of privacy 
protection, the Revised Act on the Protection of Personal 
Information, and the enactment of the General Data Protection 
Regulation (EU law on data protection) in the previous year, the 
Group has formulated new regulations and guidelines and is 
carrying out response initiatives accordingly.
Crisis Management Policy (Excerpts from the Crisis Management Manual)
• We will place top priority on ensuring the safety of employees, all people on 
Company premises (including visitors, related Company employees, on-site 
subcontractors, and temporary staff), and the families of employees.
• We will continue business activities and do everything we can to maintain the 
supply of products and provision of services to customers.
• We will endeavor to preserve both tangible and intangible Company assets 
and make efforts to minimize damage using the most suitable methods.
• We will demonstrate responsible conduct, take quick and appropriate action, 
and strive to restore operations when risks do eventuate in order to earn the 
trust of customers, shareholders, and all other stakeholders.
External and  
environmental causes
Internal causes
Management-
related risks
Business-related 
risks
Work-related 
risks
Approach to Risk Maps
Corporations / 
Employees
Shareholders / Investors
Suppliers
Society / National and  
local governments
Board  
of Directors  
Top Policy
Headquarters Strategy
Business 
Strategy
Business 
Strategy
Business 
Strategy
Foundations for management and operations:
Governance, risk management, and compliance
Foundation for Growth-Oriented Management
as not implementing any transactions or strategies for the principal 
purpose of reducing our tax liabilities.
1. Tax Governance
Responsibility over Alps Alpine’s tax governance lies with the 
accounting officers of the Company, who the tax department reports 
to concerning tax reporting and management issues. Actual tax 
procedures are performed by the local tax departments that manage 
and report on tax matters. Further, the Company regularly reports 
to the Board of Directors regarding the status of foreign and domestic 
corporate tax payments. Equally, accounting officers report tax 
issues, including but not limited to, tax audits and examinations to 
the Board of Directors on a case-by-case basis. For highly technical 
issues, such as transfer pricing audits, the Alps Alpine Group is 
assisted by external advisors.
2. Tax Planning
As the Alps Alpine Group expands around the globe, in order to 
maximize value for its shareholders, it utilizes various favorable tax 
regimes in different jurisdictions, including the U.K. However, we 
do not do so with the intention of violating the purpose of any laws 
or engaging in tax avoidance.
3. Tax Risks
Decisions involving tax matters are made taking into consideration 
relevant tax risks and potential benefits to the specific facts and 
circumstances. Each case is therefore considered individually based 
on a conservative approach, without reference to any predetermined 
quantitative criteria or standards.
4. Tax Monitoring
In regard to the tax position in the various countries we operate in, 
our subsidiaries regularly report to the Alps Alpine tax department 
and accounting officers on issues regarding the completion of tax 
returns, tax examinations and audits, and tax reform, of which the 
tax department is continuously monitoring.
	
Additionally, we have external tax advisors assisting in some 
particularly complex and specific tax compliance issues, such as 
transfer pricing compliance in the various countries we operate in.
Whistle-Blowing System
The Alps Alpine Group has established and operates a whistle-
blowing system (Ethics Hotlines), which is independent of manage-
ment in charge of business divisions, for use when issue resolution 
through organizational lines is complicated in the event that legal, 
internal rule, or compliance violations occur (including all types of 
harassment). Ethics Hotlines have been set up at the Company 
and its major affiliates.
	
Alps Alpine has established Ethics Hotline regulations, appointing 
one full-time Audit and Supervisory Committee member, one outside 
Audit and Supervisory Committee member, and the head of the 
compliance department as contact points for the Ethics Hotlines. 
These regulations also stipulate the confidentiality of reports and 
ensure the anonymity and protection of those making reports. 
Contact information for these reporting contact points is always 
available in the Company newsletter and on the Ethics Hotline 
page of the Company’s website, as well as in all training sessions 
in an attempt to promote awareness.
	
Additionally, when the Ethics Hotlines receive a report, it does 
so in accordance with the rules stipulated in the aforementioned 
Ethics Hotline regulations. In particular, in consideration of main-
taining confidentiality and ensuring the anonymity with regard to 
the reporting party, investigations are conducted and, if reported 
activities are confirmed to be true, appropriate measures are 
taken. In the past, there where cases in which the reporting of 
occupational health and safety violations and harassment to the 
Ethics Hotlines led to an opportunity to promptly rectify or prevent 
compliance violations.
Global Implementation of Compliance and CSR Training
To improve understanding and awareness regarding compliance 
and CSR, in fiscal 2015 Alps Alpine launched compliance and CSR 
training at Alps Electric. Since fiscal 2016, this same training has 
been expanded and is now implemented regularly for companies 
in the Electronic Components Segment. Additionally, since fiscal 
2019, the Company has been making preparations to determine the 
direction of its compliance and CSR-related activities going forward. 
	
Based on the aforementioned Alps Alpine Group Compliance 
Charter, this training begins with a message from management by 
the president. In addition to providing an overview of compliance 
and CSR, the message covers such topics as appropriate accounting 
treatment, information security, prohibitions on harassment and 
discrimination, compliance with antitrust laws, and the prevention 
of bribery and corruption. 
	
The training conducted in fiscal 2018 covered the 
following curriculum.
Fiscal 2018 Compliance and CSR Training Curriculum
1. President’s message
2. Insistence on quality
3. Prevention of harassment,  
discrimination, abuse, and forced labor
4. Appropriate accounting treatment
5. Information management
6. Crisis management  
(emergency responses)
  7. Health and safety
  8. Environmental conservation
  9. Insider trading
10. Embezzlement, misappropriation, and 
entertainment gift exchanges
11. Competition Law (Anti-Monopoly Act)
12. Whistle-blowing system
Anticorruption Initiatives
The Alps Alpine Basic Compliance Regulations define the scope 
of the giving and receiving of entertainment gifts among clients, 
business partners, and public officials as well as prohibitions on 
conflicts of interest, embezzlement, and misappropriation. Through 
compliance and CSR training, the Company is offering ongoing 
education to remind everyone to be aware of the prohibitions 
on embezzlement, misappropriation, entertainment, and gifts.
	
These problems are compliance violations, which means that 
employees who have knowledge of these activities can report them 
using the Ethics Hotlines.
	
If such activities occur, the vice president in charge will conduct 
an investigation (in the event the incident is reported to the Ethics 
Hotlines, the response will be provided by the Ethics Hotlines, which 
are independent of the executive department) and, if true, handle 
the issue appropriately to prevent recurrence and reported to the 
Board of Directors. Employees engaged in the report acts of 
corruption will be subject to disciplinary actions based on internal 
regulations.
Risk Management
44
45
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

My Role and Focus as an Outside Director
I was appointed an Alps Electric outside director in June 2018 
and, after Alps Electric merged with Alpine Electronics, I became 
an outside director of the newly formed Company, Alps Alpine, in 
January 2019. During my first year in this position, I was involved 
in the winding down of operations at Alps Electric and the estab-
lishment of the new Company. My focus during this period was to 
consider the points of view of shareholders and provide opinions 
when the Board of Directors discussed the merits of the business 
integration and the vision for the future of the new Company. 
Considering the outlook for the external environment and the orga-
nizational structures of the two predecessor companies, I believe 
the timing of the business integration was appropriate and that 
management secured the understanding and approval of share-
holders regarding the business integration. 
	
During the past year, we have communicated extensively with 
shareholders and heard their wide-ranging opinions. One of the 
responsibilities a corporation has to society is to honestly explain 
to its stakeholders its vision for the future and how it intends to 
achieve said vision. I believe the basis of Alps Alpine’s vision is the 
spirit of the core principles that have guided the company since its 
establishment, which are exactly the same as the environmental, 
social, and governance (ESG) principles that have become even 
more important in recent years. In order to further increase corporate 
value, I believe the Company must inherit and embody these 
principles while communicating them to its stakeholders. I therefore 
believe that my most important mission as an outside director is to 
objectively examine what goals the Company should accomplish 
and help advance their accomplishment so that the Company can 
live up to the expectations of its stakeholders.  
1st Mid-Term Business Plan and  
the Role of the Board of Directors
Alps Alpine’s 1st Medium-Term Business Plan covers the three-year 
period starting in April 2019. With smartphones becoming commod-
itized and the automotive industry undergoing a once-in-a-century 
technological paradigm shift, the structure of the industry is under-
going profound change. Companies have no time to lose in achieving 
technological innovation as competition heats up with new players 
entering the market one after another. Accordingly, Alps Alpine is 
building new system structures in order to survive and prosper in 
this rapidly changing business environment. 
	
Selection and concentration has become more important in 
the allocation of management resources and I believe the Board of 
Financial Section
	48	
Summary of Key Management Indicators
	50	
Consolidated Financial Statements
	
	
50	
Consolidated Balance Sheet 
	
	
52	
Consolidated Statement of Income and Comprehensive Income 
	
	
53	
Consolidated Statement of Changes in Net Assets 
	
	
55	
Consolidated Statement of Cash Flows
	
	
56	
Notes to Consolidated Financial Statements
	
	
87	
Independent Auditor’s Report
Directors must have more in-depth discussions regarding strategies 
and measures targeting growth. Amid rapid changes in the operating 
environment, the Company must not only strengthen existing 
business models but also enter new fields of business and consider 
discontinuous growth scenarios achieved through M&A. The Board 
of Directors, therefore, must fully discuss not only the competitive 
advantages of a potential M&A target but also evaluate its affinity with 
the Company, its profitability, and its raison d'être, and take the opin-
ions of outside directors into consideration when making decisions. 
	
The Company has established a goal to be achieved by fiscal 
2024 that it calls “ITC101,” which entails becoming an “innovative 
T-shaped company with a consolidated 10% operating income 
margin and ¥1 trillion in consolidated net sales.” I believe that, 
in order to reach this target, it must more robustly consider and 
­implement M&A as a way of achieving the discontinuous growth 
referred to above. In my opinion, the Company’s businesses can 
take a major leap forward by providing products and services that 
are more competitive than those of its rivals and by incorporating 
technologies, channels, and business models that it does not 
currently have access to. 
	
Although the Alps Alpine Group employs a diverse range of 
people around the world, the further promotion of diversity is another 
major goal. Establishing a diverse work environment wherein people 
with very different values are able to work together is said to be 
the key to innovation. Working with a diverse group of people who 
are knowledgeable regarding certain regions and industries is 
advantageous for the Alps Alpine Group, which conducts business 
on a global scale. I believe other important goals of the Board of 
Directors include implementing strong corporate governance, 
strengthening management, and increasing the transparency of 
the Company’s activities to its stakeholders.
My Expectations for the Future of Alps Alpine
In the current operating environment, wherein the pace of change 
has markedly accelerated and the future is difficult to forecast, many 
consumer electronics makers are being driven out of the market 
and new leaders are emerging. Under current conditions, it has 
become very difficult to achieve sustained growth by simply continu-
ing with conventional business practices. One of the Company’s 
strengths is its ability to coordinate with its clients so that it can 
provide end users with products that offer new functions and greater 
usability; however, it must cultivate an even closer relationship with 
end users, strengthen marketing, and proactively pursue new 
business models. By continuing to take on challenges, I believe 
the Company will be able to reach a dominant position, even in 
new markets. 
Kazuya Nakaya
Outside Director
Audit and Supervisory 
Committee Member
Message from an Outside Director
I contribute to the growth of Alps Alpine’s 
corporate value by providing an impartial 
point of view and expressing my opinions 
to the Board of Directors. 
46
47
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Summary of Key Management Indicators
Consolidated Fiscal Years Started April 1
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
For the Fiscal Year: [Millions of yen]
Net sales
538,995
493,639
550,668
526,500
546,423
684,362
748,614
774,038
753,262
858,317
851,332
Cost of sales
484,079
415,095
441,497
432,589
458,576
558,097
593,788
621,754
601,711
669,721
689,337
Gross profit
54,915
78,543
109,170
93,911
87,847
126,265
154,825
152,284
151,551
188,596
161,995
Selling, general and administrative expenses
81,440
73,800
80,299
78,740
80,996
97,736
101,291
99,956
107,177
116,688
112,353
Operating income (loss)
(26,524)
4,742
28,871
15,171
6,851
28,528
53,534
52,327
44,373
71,907
49,641
Operating income margin: [%]
(4.9)
1.0
5.2
2.9
1.3
4.2
7.2
6.8
5.9
8.4
5.8
Ordinary income (loss)
(23,305)
1,676
23,174
14,335
7,659
28,090
57,594
50,038
42,725
66,717
43,605
Profit (loss) attributable to owners of parent
(70,064)
570
11,136
4,175
(7,074)
14,311
34,739
39,034
34,920
47,390
22,114
Depreciation and amortization
29,942
21,223
18,710
19,759
21,572
24,527
28,010
30,725
33,076
36,004
44,188
R&D expenses
40,304
27,843
28,124
28,098
28,674
32,987
33,035
33,336
32,279
29,799
32,886
Capital expenditures
47,202
18,480
23,544
34,024
31,833
26,570
31,416
41,190
47,657
76,154
52,928
Operating cash flows
15,004
28,970
28,552
23,426
24,805
57,703
65,111
53,958
41,603
70,387
72,671
Investing cash flows
(49,065)
(19,532)
(20,941)
(29,358)
(32,101)
(22,813)
(29,772)
(30,383)
(37,981)
(66,722)
(67,405)
Financing cash flows
28,025
12,195
5,122
(6,691)
(5,654)
4,994
(27,951)
(36,340)
(309)
(2,957)
(6,910)
Cash and cash equivalents at fiscal year-end
68,325
88,722
98,495
85,004
76,137
122,237
134,298
116,843
117,991
120,778
118,318
Simplified free cash flows*1
(34,060)
9,437
7,610
(5,931)
(7,296)
34,889
35,339
23,574
3,621
3,665
5,266
At Fiscal Year-End: [Millions of yen]
Total assets
375,285
410,945
427,529
442,052
451,416
512,365
570,482
562,856
602,961
669,874
675,717
Equity
111,127
112,705
115,469
115,434
116,817
137,482
179,522
228,496
254,501
301,176
365,346
Interest-bearing debt
104,401
116,399
119,947
118,510
124,468
134,364
116,200
54,335
63,272
70,420
108,816
Per Share Data: [Yen]
Earnings per share (EPS)
(390.93)
3.18
62.14
23.29
(39.47)
79.85
193.81
206.64
178.25
241.91
110.19
Diluted EPS
– 
2.74
– 
–
– 
79.68
177.12
197.73
178.20
241.82
110.14
Book-value per share (BPS)
620.04
628.85
644.24
644.03
651.72
767.01
1,001.55
1,166.41
1,299.11
1,537.37
1,731.36
Dividends per share (DPS)
10.00
0.00
20.00
20.00
5.00
5.00
15.00
25.00
30.00
37.00
50.00
Major Indicators: [%]
Equity ratio
29.6
27.4
27.0
26.1
25.9
26.8
31.5
40.6
42.2
45.0
54.1
Debt to equity ratio*2
94.0
103.3
103.9
102.7
106.6
97.7
64.7
23.8
24.9
23.4
29.8
Interest coverage ratio*3: [Times]
15.7
18.5
14.8
14.1
17.7
49.2
68.0
50.4
81.6
91.2
58.7
Return on assets (ROA)*4
(16.1)
0.1
2.7
1.0
(1.6)
3.0
6.4
6.9
6.0
7.4
3.3
Return on equity (ROE)*5
(45.9)
0.5
9.8
3.6
(6.1)
11.3
21.9
19.1
14.5
17.1
6.6
Average exchange rates
USD / JPY: [Yen]
100.54
92.85
85.72
79.08
83.10
100.24
109.93
120.14
108.38
110.85
110.91
EUR / JPY: [Yen]
143.48
131.15
113.12
108.98
107.14
134.37
138.77
132.58
118.79
129.70
128.41
Other
Total number of issued shares*6: [Thousand shares]
181,559
181,559
181,559
181,559
181,559
181,559
181,559
198,208
198,208
198,208
219,281
*1 Simplified free cash flows = Operating cash flows + Investing cash flows
*2 Debt to equity ratio = Interest-bearing debt / Equity
*3 Interest coverage ratio = Operating cash flows / Interest expenses paid
*4 Return on assets (ROA) = Profit attributable to owners of parent / Average total assets
*5 Return on equity (ROE) = Profit attributable to owners of parent / Average equity
*6 The total number of issued shares includes treasury shares.
Performance by Business Segment
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
For the Fiscal Year: [Millions of yen]
Net Sales
Electronic Components
291,995
274,154
296,152
268,916
268,085
338,811
389,120
434,072
437,676
514,031
468,605
Automotive Infotainment
193,226
166,199
198,359
200,248
219,852
282,115
289,783
267,541
242,306
267,638
303,593
Logistics
53,773
44,977
47,505
47,999
48,554
52,282
57,062
60,251
61,150
64,666
66,888
Others
8,307
8,651
9,336
9,930
11,154
12,648
12,173
12,128
11,981
12,244
Operating Income
Electronic Components
(20,062)
395
12,966
4,590
227
14,012
36,595
40,780
32,803
52,929
29,607
Automotive Infotainment
(10,645)
226
11,140
5,634
2,324
9,813
11,537
5,434
5,623
13,735
13,921
Logistics
3,982
3,496
3,840
3,709
3,586
4,140
4,457
4,857
5,083
4,932
4,722
Others
294
443
472
412
584
898
1,233
884
1,701
1,430
Note: Since fiscal 2009, the “Logistics and others” segment has been split into “Logistics” and “Others” due to the change of reporting segments.
48
49
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Consolidated Balance Sheet
Alps Alpine Co., Ltd. and Consolidated Subsidiaries
As of March 31, 2019 and 2018
Millions of
 yen
Thousands of  
U.S. dollars (Note 1)
2019
2018
2019
ASSETS
Current assets:
Cash and deposits (Notes 16 and 17)
¥ 122,079 
¥ 121,554 
 $ 1,099,910 
Trade notes and accounts receivable (Note 17):
Unconsolidated subsidiaries and affiliated companies
1,393 
960 
12,551 
Others
155,482 
159,147 
1,400,865 
Allowance for doubtful accounts
(320)
(436)
(2,883)
Inventories (Note 4)
95,835 
96,126 
863,456 
Others
28,434 
22,955 
256,185 
Total current assets
402,905 
400,307 
3,630,102 
Non-current assets:
Property, plant and equipment (Note 5):
Land (Note 9)
30,899 
30,574 
278,394 
Buildings and structures (Note 10)
146,174 
134,447 
1,317,002 
Machinery and equipment (Note 10)
388,767 
369,715 
3,502,721 
Construction in progress
13,949 
27,465 
125,678 
Subtotal
579,791 
562,203 
5,223,813 
Accumulated depreciation and impairment losses
(392,144)
(376,312)
(3,533,147)
Total property, plant and equipment, net
187,646 
185,891 
1,690,657 
Intangible assets, net
23,248 
18,572 
209,460 
Investments and other assets:
Investments in unconsolidated subsidiaries and affiliated companies (Notes 3 and 17)
22,641 
20,124 
203,991 
Investment securities (Notes 3 and 17)
14,560 
18,656 
131,183 
Deferred tax assets (Note 15)
16,600 
17,469 
149,563 
Net defined benefit asset
61 
46 
550 
Others
8,053 
8,807 
72,556 
Total investments and other assets
61,917 
65,103 
557,861 
Total non-current assets
85,165 
83,675 
767,321 
Total assets
¥ 675,717 
¥ 669,874 
$ 6,088,089 
See accompanying notes.
Millions of
 yen
Thousands of  
U.S. dollars (Note 1)
2019
2018
2019
LIABILITIES AND NET ASSETS
Current liabilities:
Short-term borrowings (Notes 5 and 17)
¥  28,870 
¥  33,782 
$   260,114 
Long-term borrowings due within one year (Notes 5 and 17)
9,375 
3,027 
84,467 
Trade notes and accounts payable (Note 17):
Unconsolidated subsidiaries and affiliated companies
414 
494 
3,730 
Others
69,181 
73,269 
623,308 
Accrued income taxes
4,689 
7,602 
42,247 
Accrued expenses
37,724 
37,616 
339,886 
Others (Notes 17 and 18)
37,773 
41,867 
340,328 
Total current liabilities
188,029 
197,660 
1,694,108 
Non-current liabilities: 
Long-term borrowings (Notes 5 and 17)
70,570 
33,610 
635,823 
Defined benefit liabilities (Note 6)
14,739 
14,262 
132,796 
Deferred tax liabilities (Note 15)
1,038 
2,646 
9,352 
Others 
5,977 
5,821 
53,852 
Total non-current liabilities
92,326 
56,341 
831,841 
Total liabilities
280,356 
254,001 
2,525,957 
Contingent liabilities (Note 7)
Net assets (Note 8):
Shareholders’ equity:
Common stock:
Authorized – 500,000,000 shares
Issued – 219,281,450 shares in 2019 and 198,208,086 shares in 2018
38,730 
38,730 
348,950 
Capital surplus
126,561 
56,065 
1,140,292 
Retained earnings
227,078 
213,790 
2,045,932 
Treasury stock – 8,264,481 shares in 2019 and  2,304,021 shares in 2018
(18,283)
(3,497)
(164,727)
Total shareholders’ equity
374,086 
305,088 
3,370,448 
Accumulated other comprehensive income
Unrealized gains on securities
3,194 
4,734 
28,777 
Deferred gains or losses on hedges
12 
(0)
108 
Revaluation reserve for land (Note 9)
(496)
(505)
(4,469)
Foreign currency translation adjustments
(7,628)
(5,339)
(68,727)
Remeasurements of defined benefit plans
(3,822)
(2,800)
(34,436)
Total accumulated other comprehensive income (loss)
(8,740)
(3,912)
(78,746)
Subscription rights to shares (Note 22)
361 
333 
3,253 
Non-controlling interests
29,652 
114,362 
267,159 
Total net assets
395,360 
415,872 
3,562,123 
Total liabilities and net assets
¥675,717 
¥669,874 
$6,088,089 
 
Yen
U.S. dollars (Note 1)
2019
2018
2019
Amounts per share of common stock:
Net assets
¥1,731.36 
¥1,537.37
 $15.60
See accompanying notes.
Consolidated Financial Statements
50
51
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Consolidated Statement of Income and Comprehensive Income
Alps Alpine Co., Ltd. and Consolidated Subsidiaries
For the years ended March 31, 2019 and 2018
Consolidated Statement of Changes in Net Assets
Alps Alpine Co., Ltd. and Consolidated Subsidiaries
For the years ended March 31, 2019 and 2018
Millions of yen
Shareholders’ equity
Number of shares of  
common stock
Common stock
Capital surplus
Retained earnings
Treasury stock
Balance at April 1, 2017
198,208,086 
¥38,730 
¥  56,071 
¥172,677 
¥  (3,493)
Cumulative effects of changes in accounting policy
Restated balance
38,730 
56,071 
172,677 
(3,493)
Conversion of convertible bonds
Dividends
(6,268)
Net income attributable to owners of parent
47,390 
Change in the scope of consolidation
Purchase of treasury stock
(3)
Disposal of treasury stock
Change of scope of equity method
Reversal of revaluation reserve for land
(8)
Share exchanges
Change in shares of parent arising from transactions 
with non-controlling shareholders
(5)
Changes in items other than shareholders’ equity, net
Balance at March 31, 2018
198,208,086 
38,730 
56,065 
213,790 
(3,497)
Cumulative effects of changes in accounting policy
Restated balance
38,730 
56,065 
213,790 
(3,497)
Conversion of convertible bonds
Dividends
(8,815)
Net income attributable to owners of parent
22,114 
Change in the scope of consolidation
Purchase of treasury stock
(17,704)
Disposal of treasury stock
17 
33 
Change of scope of equity method
Reversal of revaluation reserve for land
(11)
Share exchanges
21,073,364 
70,515 
2,884 
Change in shares of parent arising from transactions 
with non-controlling shareholders
(36)
Changes in items other than shareholders’ equity, net
Balance at March 31, 2019
219,281,450 
¥38,730 
¥126,561 
¥227,078 
¥(18,283)
 
Accumulated other comprehensive income
Subscription  
rights to shares
Non-controlling 
interests
Total net assets
Net unrealized gains 
on securities
Net deferred losses 
on hedges
Revaluation reserve 
for land
Foreign currency 
translation 
adjustments
Retirement benefits 
liability adjustments
Balance at April 1, 2017
¥ 4,479 
¥ (0)
¥(506)
¥(8,481)
¥(4,976)
 ¥248 
¥106,365 
¥361,114 
Cumulative effects of changes in accounting policy
—
Restated balance
4,479 
(0)
(506)
(8,481)
(4,976)
248 
106,365 
361,114 
Conversion of convertible bonds
—
Dividends
(6,268)
Net income attributable to owners of parent
47,390 
Change in the scope of consolidation
—
Purchase of treasury stock
(3)
Disposal of treasury stock
—
Change of scope of equity method
—
Reversal of revaluation reserve for land
(8)
Share exchanges
—
Change in shares of parent arising from transactions 
with non-controlling shareholders
(5)
Changes in items other than shareholders’ equity, net
255 
(0)
0 
3,141 
2,176 
85 
7,997 
13,654 
Balance at March 31, 2018
4,734 
(0)
(505)
(5,339)
(2,800)
333 
114,362 
415,872 
Cumulative effects of changes in accounting policy
—
Restated balance
4,734 
(0)
(505)
(5,339)
(2,800)
333 
114,362 
415,872 
Conversion of convertible bonds
—
Dividends
(8,815)
Net income attributable to owners of parent
22,114 
Change in the scope of consolidation
—
Purchase of treasury stock
(17,704)
Disposal of treasury stock
51
Change of scope of equity method
—
Reversal of revaluation reserve for land
(11)
Share exchanges
73,400 
Change in shares of parent arising from transactions 
with non-controlling shareholders
(36)
Changes in items other than shareholders’ equity, net
(1,540)
13 
9 
(2,289)
(1,021)
28 
(84,709)
(89,509)
Balance at March 31, 2019
 ¥ 3,194 
 ¥12 
¥(496)
¥(7,628)
¥(3,822)
¥361 
¥  29,652 
¥395,360 
 
Millions of
 yen
Thousands of  
U.S. dollars (Note 1)
2019
2018
2019
Net sales
¥851,332 
¥858,317 
 $7,670,349 
Costs and expenses: 
Cost of sales (Note 12)
689,337 
669,721 
6,210,803 
Selling, general and administrative expenses (Notes 11 and 12)
112,353 
116,688 
1,012,280 
801,690 
786,410 
7,223,083 
Operating income 
49,641 
71,907 
447,257 
Other income (expenses):
Interest and dividend income
1,186 
986 
10,686 
Gain on settlement of molds
—
347 
— 
Subsidy income
471 
309 
4,244 
Interest expense
(1,297)
(768)
(11,686)
Foreign exchange losses
(2,082)
(3,064)
(18,758)
Share of loss of entities accounted for using equity method
(1,584)
(25)
(14,272)
Commission fee
(2,586)
(2,354)
(23,299)
Impairment loss (Note 14)
(1,839)
(275)
(16,569)
Others (Note 13)
(719)
(1,839)
(6,478)
(8,452)
(6,684)
(76,151)
Income before income taxes
41,189 
65,222 
371,106 
Income taxes  (Note 15):
Current income taxes
10,890 
13,350 
98,117 
Deferred income taxes
1,124 
(3,059)
10,127 
12,014 
10,291 
108,244 
Net income
29,174 
54,931 
262,853 
Net income attributable to owners of parent
22,114 
47,390 
199,243 
Non-controlling interests in earnings of consolidated subsidiaries
7,059 
7,541 
63,600 
Net income
29,174 
54,931 
262,853 
Other comprehensive income (Note 21)
Unrealized gains (losses) on securities
(2,689)
1,176 
(24,227)
Deferred gains (losses) on hedges
1 
(1)
9 
Foreign currency translation adjustments
(3,162)
4,010 
(28,489)
Remeasurements of defined benefit plans
(628)
2,696 
(5,658)
Share of other comprehensive income of investments accounted for 
using the equity method
(1,230)
(36)
(11,082)
Total other comprehensive income
(7,708)
7,845 
(69,448)
Total comprehensive income
¥  21,465 
¥  62,776 
$   193,396 
Comprehensive income attributable to:
Owners of parent
¥  18,123 
¥  52,971 
$   163,285 
Non-controlling interests 
3,341 
9,805 
30,102 
 
Yen
U.S. dollars (Note 1)
2019
2018
2019
Amounts per share of common stock:
  Basic profit attributable to owners of parent per share
¥110.19 
¥241.91 
$0.99
  Diluted profit attributable to owners of parent per share
 110.14 
 241.82 
 0.99 
  Cash dividends applicable to the year
50.00 
37.00 
0.45 
See accompanying notes.
52
53
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Consolidated Statement of Changes in Net Assets
Alps Alpine Co., Ltd. and Consolidated Subsidiaries
For the years ended March 31, 2019 and 2018
Consolidated Statement of Cash Flows
Alps Alpine Co., Ltd. and Consolidated Subsidiaries
For the years ended March 31, 2019 and 2018
Millions of
 yen
Thousands of  
U.S. dollars (Note 1)
2019
2018
2019
Cash flows from operating activities:
Income before income taxes
¥  41,189 
¥  65,222 
$   371,106 
Depreciation and amortization
44,188 
36,004 
398,126 
Impairment losses
1,839 
275 
16,569 
Decrease in allowance for doubtful accounts
(1,985)
(82)
(17,884)
Increase (decrease) in accrued bonuses
(1,386)
1,481 
(12,488)
Increase in accrued product warranties
1,901 
822 
17,128 
Decrease in defined benefit liabilities
(879)
(1,467)
(7,920)
Interest and dividend income
(1,186)
(986)
(10,686)
Interest expense
1,297 
768 
11,686 
Share of loss of entities accounted for using equity method
1,584 
25 
14,272 
Increase (decrease) in trade notes and other receivables
1,457 
(9,229)
13,127 
Increase in inventories
(912)
(4,700)
(8,217)
Increase (decrease) in trade notes and other payables
4,739 
(4,283)
42,698 
Others
(3,513)
(474)
(31,652)
Subtotal
88,332 
83,375 
795,855 
Interest and dividend received
1,386 
1,139 
12,488 
Interest paid
(1,237)
(771)
(11,145)
Income taxes paid
(15,810)
(13,356)
(142,445)
Net cash provided by operating activities
72,671 
70,387 
654,753 
Cash flows from investing activities:
Increase in time deposits
(4,700)
(1,047)
(42,346)
Proceeds from withdrawal of time deposits
1,690 
1,262 
15,227 
Acquisition of property, plant and equipment
(52,348)
(61,075)
(471,646)
Proceeds from sales of property, plant and equipment
1,153 
769 
10,388 
Acquisition of intangible assets
(8,546)
(6,233)
(76,998)
Proceeds from sales of investment securities
1,283 
1 
11,560 
Purchase of shares of affiliated companies
(1,296)
(127)
(11,677)
Payments for investments in capital
(3,303)
0 
(29,759)
Others
(1,335)
(272)
(12,028)
Net cash used in investing activities
(67,405)
(66,722)
(607,307)
Cash flows from financing activities:
Net decrease in short-term loans payable
(4,200)
(2,703)
(37,841)
Proceeds from long-term loans payable
46,052 
10,697 
414,920 
Repayment of long-term loans payable
(3,155)
(1,874)
(28,426)
Purchase of treasury stock
(17,521)
(3)
(157,861)
Contribution to money in trust for purchase of treasury stock
(1,989)
—
(17,921)
Purchase of treasury stock of subsidiaries
(11,570)
(0)
(104,244)
Cash dividends paid
(8,815)
(6,268)
(79,422)
Cash dividends paid to non-controlling interests
(6,035)
(2,048)
(54,374)
Others
325 
(754)
2,928 
Net cash used in financing activities
(6,910)
(2,957)
(62,258)
Effect of exchange rate change on cash and cash equivalents
(815)
2,079 
(7,343)
Net increase (decrease) in cash and cash equivalents
(2,460)
2,786 
(22,164)
Cash and cash equivalents at beginning of year
120,778 
117,991 
1,088,188 
Cash and cash equivalents at end of year (Note 16)
¥118,318 
¥120,778 
   $1,066,024 
See accompanying notes.
Thousands of U.S. dollars (Note 1)
Shareholders’ equity
Common stock
Capital surplus
Retained earnings
Treasury stock
Balance at March 31, 2018
$348,950 
$   505,136 
$1,926,210 
$  (31,507)
Cumulative effects of changes in accounting policy
Restated balance
348,950 
505,136 
1,926,210 
(31,507)
Conversion of convertible bonds
Dividends
(79,422)
Net income attributable to owners of parent
199,243 
Change in the scope of consolidation
Purchase of treasury stock
(159,510)
Disposal of treasury stock
153 
297 
Change of scope of equity method
Reversal of revaluation reserve for land
(99)
Share exchanges
635,328 
25,984 
Change in shares of parent arising from transactions 
with non-controlling shareholders
 
(324) 
 
Changes in items other than shareholders’ equity, net
Balance at March 31, 2019
$348,950 
$1,140,292 
$2,045,932 
$(164,727)
 
Accumulated other comprehensive income
Subscription  
rights to shares
Non-controlling 
interests
Total net assets
Net unrealized gains 
on securities
Net deferred losses 
on hedges
Revaluation reserve 
for land
Foreign currency 
translation 
adjustments
Retirement benefits 
liability adjustments
Balance at March 31, 2018
$ 42,652 
$   (0)
$(4,550)
$(48,103)
$(25,227)
$3,000 
$1,030,381 
$3,746,932 
Cumulative effects of changes in accounting policy
—
Restated balance
42,652 
(0)
(4,550)
(48,103)
(25,227)
3,000 
1,030,381 
3,746,932 
Conversion of convertible bonds
—
Dividends
(79,422)
Net income attributable to owners of parent
199,243 
Change in the scope of consolidation
—
Purchase of treasury stock
(159,510)
Disposal of treasury stock
460
Change of scope of equity method
—
Reversal of revaluation reserve for land
(99)
Share exchanges
661,321 
Change in shares of parent arising from transactions 
with non-controlling shareholders
(324)
Changes in items other than shareholders’ equity, net
(13,875)
117 
81 
(20,623)
(9,199)
252 
(763,213)
(806,460)
Balance at March 31, 2019
$ 28,777 
$108 
$(4,469)
$(68,727)
$(34,436)
$3,253 
$   267,159 
$3,562,123 
See accompanying notes.
54
55
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

(h) Intangible assets and amortization  
(excluding leased assets)
Intangible assets consist of software and goodwill. Goodwill 
means the net excess of the acquisition cost of the Company’s 
investments in consolidated subsidiaries over the fair value of the 
net assets of those companies and is amortized by the straight-
line method over a period of 5 years. Software for internal use is 
amortized by the straight-line method over its estimated useful 
lives ranging from 2 to 10 years. Software for sale to the market 
is amortized at the greater of either the amount based on sales 
in the year, as a proportion of total estimated sales, or the 
amount calculated on a straight-line basis over the remaining 
salable period.
(i) Leased assets
Assets held under finance leases, which transfer the ownership 
of the leased assets to the lessees, are depreciated by the same 
method as used for their own property, plant and equipment.
Assets held under finance leases, except those leases 
which transfer the ownership of the leased assets to the lessees, 
are depreciated by the straight-line method over their useful 
lives, which are the same as the term of the lease. 
(j) Foreign currency translation
Foreign currency transactions
All financial assets and liabilities denominated in foreign currencies 
are translated into Japanese yen at the exchange rates prevailing 
at the balance sheet date.
Foreign currency financial statements
The assets and liabilities of the foreign consolidated subsidiaries 
are translated into Japanese yen at current exchange rates 
prevailing at the balance sheet date. Revenue and expense 
accounts are translated at the average exchange rates prevailing 
during the year. Foreign currency translation adjustments are 
included in net assets.
(k) Accrued employees’ bonuses
Accrued employees’ bonuses at the balance sheet date are 
based on an estimate of the amounts to be paid as bonuses for 
services rendered by employees by that date.
(l) Accrued directors’ bonuses
Accrued directors’ bonuses at the balance sheet date are based 
on an estimate of the amounts to be paid as bonuses for services 
rendered by directors by that date.
(m) Accrued product warranties
Accrued product warranties are recognized for specific claims 
on goods sold. In addition, for sales not subject to accrual for 
specific warranty claims, accrual for product warranties are 
estimated based on historical experience of the ratio of warranty 
claims incurred against net sales in the corresponding fiscal year.
(n) Retirement benefits 
Accrued retirement benefits and prepaid pension cost for 
employees have been recorded mainly at the amount calculated 
based on the retirement benefit obligation and the fair value of 
the pension plan assets as of the balance sheet date.
The retirement benefit obligation for employees is attributed 
to each period by the benefit formula method.
Actuarial gain or loss is amortized by the straight-line 
method over a period within the average remaining years of 
service of the eligible employees (mainly from 12 to 15 years) 
from the fiscal year following the respective fiscal year of recog-
nition. Prior service cost is amortized by the straight-line method 
over a period within the average remaining years of service of 
the eligible employees (1 year, except certain domestic consoli-
dated subsidiaries that apply a period of 13 years).
Unrecognized actual gains and losses and unrecognized 
prior service cost are recorded in net assets, adjusted for tax 
effects as remeasurements of defined benefit plans in accumulated 
other comprehensive income.  
(o) Accrued directors’ severance costs
Certain domestic consolidated subsidiaries provide accrued 
directors’ severance cost based on their internal corporate policies.
(p) Allowance for environmental preservation costs 
Allowance for environmental preservation costs is provided at 
the estimated amount needed to restore certain land from soil 
pollution and to dispose of polluted soil and poisonous material. 
(q) Basis for revenue recognition on finance leases 
With respect to finance leases for which the ownership of the 
leased assets is not transferred to the lessees, the Company, as 
a lessor, recognizes sales at the amount of lease income and 
cost of sales at the amount of lease income less interest at the 
time the Company receives the lease fee.
(r) Income taxes
Deferred tax assets and liabilities are recorded based on the 
temporary differences between the tax bases of assets and 
liabilities and their reported amounts in the accompanying 
consolidated financial statements using the enacted tax rates 
in effect for the years in which the temporary differences are 
expected to reverse. Deferred tax assets are also recognized for 
the estimated future tax effects attributable to tax loss carryfor-
wards. A valuation allowance is recorded to reduce deferred tax 
assets if it is more likely than not that some or all of the deferred 
tax assets will not be realized.
 
Notes to Consolidated Financial Statements
Alps Alpine Co., Ltd. and Consolidated Subsidiaries
1. BASIS OF PREPARATION OF CONSOLIDATED FINANCIAL STATEMENTS
The accompanying consolidated financial statements of Alps 
Alpine Co., Ltd. (the “Company”) and consolidated subsidiaries 
are prepared on the basis of accounting principles generally 
accepted in Japan, which are different in certain respects as to 
the application and disclosure requirements of International 
Financial Reporting Standards, and are compiled from the 
consolidated financial statements prepared by the Company as 
required by the Financial Instruments and Exchange Law of Japan.
In preparing the accompanying consolidated financial 
statements, certain reclassifications have been made to the 
consolidated financial statements issued domestically in order to 
present them in a form which is more familiar to readers outside 
Japan. In addition, the notes to the accompanying consolidated 
financial statements include information which is not required 
under accounting principles generally accepted in Japan but is 
presented herein as additional information.
As permitted by the Financial Instruments and Exchange 
Law, amounts of less than one million yen have been omitted. 
Consequently, the totals shown in the accompanying consoli-
dated financial statements (both in yen and U.S. dollars) do not 
necessarily agree with the sum of the individual amounts.
The accompanying consolidated financial statements are 
stated in Japanese yen. The translation of Japanese yen 
amounts into U.S. dollar amounts is included solely for the 
convenience of readers outside Japan at the prevailing exchange 
rate on March 31, 2019, which was ¥110.99 to U.S. $1.00.
The translation should not be construed as a representation 
that the Japanese yen could be converted into U.S. dollars 
at the above or any other rate of exchange.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(a) Consolidation
The accompanying consolidated financial statements include the 
accounts of the Company and substantially all of its subsidiaries. 
All significant intercompany transactions and accounts are 
eliminated in consolidation.
(b) Equity method
Investments in affiliated companies are accounted for by the 
equity method. 
(c) Cash equivalents
In preparing the accompanying consolidated statement of cash 
flows, the Company considers all highly liquid investments with 
a maturity of three months or less when purchased to be 
cash equivalents.
(d) Investment securities
Investment securities other than those in subsidiaries and 
affiliated companies are classified into three categories: trading, 
held-to-maturity or other securities. Trading securities are carried 
at fair value and held-to-maturity securities are carried at amortized 
cost. Marketable securities classified as other securities are 
carried at fair value with any changes in unrealized gain or loss, net 
of income taxes, included directly in net assets. Non-marketable 
securities classified as other securities are carried at cost. Cost 
of securities sold is determined by the moving average method.
(e) Allowance for doubtful accounts
The allowance for doubtful accounts is provided at an amount 
sufficient to cover possible losses on collection. The allowance 
consists of the estimated uncollectible amounts with respect 
to specific receivables plus a percentage based on historical 
credit losses.
(f) Inventories
Inventories held by the Company, its domestic consolidated 
subsidiaries and its foreign consolidated subsidiaries in Asia are 
principally stated at the lower of average cost or net realizable 
value. Inventories held by its foreign consolidated subsidiaries in 
the United States and Europe are stated at the lower of moving 
average cost or net realizable value.
(g) Property, plant and equipment and depreciation (exclud-
ing leased assets)
Property, plant and equipment is stated at cost. The Company 
and its consolidated subsidiaries compute depreciation of property, 
plant and equipment mainly by the straight-line method over the 
estimated useful lives of the respective assets. Certain domestic 
consolidated subsidiaries apply the declining-balance method, 
except with respect to certain buildings, at rates based on their 
respective estimated useful lives. Depreciation of buildings 
purchased on or after April 1, 1998 and facilities attached to 
buildings and other non-building structures purchased on or 
after April 1, 2016 is computed by the straight-line method.
The estimated useful lives are summarized as follows:
Buildings and structures	
2 – 80 years
Machinery and equipment	
1 – 20 years
56
57
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

(s) Amounts per share of common stock
Basic net income per share is computed based on the net 
income attributable to owners of parent and the weighted average 
number of shares outstanding during the year. Diluted net income 
per share is computed based on the net income attributable to 
owners of parent and the weighted average number of shares 
outstanding during each year after giving effect to the dilutive 
potential of shares of common stock to be issued upon the 
exercise of warrants and stock subscription rights.
Net assets per share are computed based on the net 
assets excluding share subscription rights and non-controlling 
interests and the number of shares of common stock outstand-
ing at the year end.
Cash dividends per share of common stock reflect the 
actual amounts declared for each of the fiscal years.
(t) Derivative financial instruments
In the normal course of business, the Company and its consoli-
dated subsidiaries enter into various derivative transactions to 
manage their exposure to risks arising from fluctuations in for-
eign currency exchange rates and interest rates. The Company 
and its consolidated subsidiaries generally recognize all deriva-
tives in the balance sheet at fair value.
Changes in the fair value of derivatives
Changes in the fair value of forward foreign exchange contracts, 
currency swaps, currency options and coupon swaps designated 
as hedges of recognized assets or liabilities are recognized in 
earnings and losses. Changes in the fair value of these derivatives 
which are designated as hedges of forecasted transactions 
are deferred until the corresponding hedged transactions are 
recognized in earnings and losses.
Interest rate swap agreements
Interest rate swap agreements are not recognized at fair value 
if the agreements meet the criteria for application of the excep-
tional treatment for the recognition of derivatives at fair value. 
The differentials to be paid or received relating to the interest rate 
swap agreements are recognized as interest over the life of each 
of the agreements.
(u) Accounting for consumption taxes
Transactions subject to consumption taxes are recorded at 
amounts exclusive of consumption taxes.
(v) Adoption of consolidated taxation system
The Company and certain of its consolidated subsidiaries have 
adopted the consolidated taxation system.
(w) Reclassifications
Certain prior-year amounts have been reclassified to conform to 
the current year’s presentation.
(x) Accounting standards issued but not yet effective
Accounting Standard and Implementation Guidance on 
Revenue Recognition
On March 30, 2018, the ASBJ issued “Accounting Standard for 
Revenue Recognition” (ASBJ Statement No.29) and 
“Implementation Guidance on Accounting Standard for Revenue 
Recognition” (ASBJ Guidance No.30).
(1) Overview
This is a comprehensive accounting standard for revenue 
recognition. Specifically, the accounting standard establishes the 
following five-step model that will apply to revenue from customers:
	
1. Identify the contract(s) with a customer
	
2. Identify the performance obligations in the contract
	
3. Determine the transaction price
	
4. Allocate the transaction price to the performance 
obligations in the contract
	
5.Recognize revenue when (or as) the entity satisfies 
a performance obligation
(2) Scheduled date of adoption
The Company expects to adopt the accounting standard and 
implementation guidance from the beginning of the fiscal year 
ending March 31, 2022.
(3) Impact of the adoption of accounting standard and 
implementation guidance
The Company is currently evaluating the effect of the adoption 
of this accounting standard and implementation guidance on its 
consolidated financial statements.
3. INVESTMENT SECURITIES
Securities classified as other securities at March 31, 2019 and 2018 are summarized as follows:
Millions of  yen
Thousands of U.S. dollars
2019
2019
Fair value 
Cost
Unrealized gains
 (losses)
Fair value 
Cost
Unrealized gains
 (losses)
Securities for which fair value exceeds cost: 
Equity securities
¥13,722
¥3,573
¥10,149
$123,633
$32,192 
$91,441 
Securities for which cost exceeds fair value: 
Equity securities
76
115
(39)
685
1,036
(351)
Total
¥13,799
¥3,688
¥10,110
	
$124,327
$33,228
$91,089
Millions of  yen
2018
Fair value 
Cost
Unrealized gains
 (losses)
Securities for which fair value exceeds cost: 
Equity securities
¥17,587
¥3,905
¥13,682
Securities for which cost exceeds fair value:
Equity securities
68
84
(15)
Total
¥17,656
¥3,989
¥13,666
Note:	 Non-marketable securities and other at March 31, 2019 and 2018 in the amounts of ¥761 million ($6,856 thousand) and ¥999 million, respectively, have been excluded from 
the above table because it is extremely difficult to determine the fair value.
Proceeds from sales of securities classified as other securities for the years ended March 31, 2019 and 2018 were ¥885 million 
($7,974 thousand) and ¥1 million, respectively. 
Gross realized gains and losses for the year ended March 31, 2019 were ¥554 million ($4,991 thousand) and ¥0 million ($0 thousand), 
respectively. Gross realized gains and losses for the year ended March 31, 2018 were ¥0 million and nil, respectively.
The impairment losses of ¥251 million ($2,261 thousand) and ¥767 million on securities for the years ended March 31, 2019 and 2018 
were recorded for non-marketable equity securities at ¥249 million ($2,243 thousand) and ¥767 million; for the shares of companies that 
have business relationships with the Company at ¥1 million ($9 thousand) and ¥0 million, respectively.
As for securities whose fair values at the year end are less than 70% of the acquisition costs deemed to be unrecoverable, 
the impairment losses are recognized in principle.
4. INVENTORIES
Inventories at March 31, 2019 and 2018 consisted of the following:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Merchandise and finished goods
¥58,314
¥59,693
$525,399 
Work in process 
10,574
11,496
95,270
Raw materials and supplies
26,946
24,936
242,779
¥95,835
¥96,126
$863,456 
Inventories are stated at the lower of cost or net realizable value. The following loss on valuation of inventories is included in the cost of 
sales for the years ended March 31, 2019, and 2018, respectively:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
¥39
¥1,747
$351
58
59
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

5. SHORT-TERM BORROWINGS AND LONG-TERM BORROWINGS
Average interest rates for short-term borrowings, consisting primarily of overdrafts with banks, were 2.08% and 1.54% at March 31, 
2019 and 2018, respectively.
Long-term borrowings at March 31, 2019 and 2018 is summarized as follows:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Loans principally from banks and insurance companies due over 
1 year at average interest rates of 0.44% and 0.64% at March 
31, 2019 and 2018, respectively
¥70,570
¥33,610
$635,823
Loans principally from banks and insurance companies due 
within 1 year at average interest rates of 2.95% and 2.33% at 
March 31, 2019 and 2018, respectively
9,375
3,027
84,467
¥79,946
¥36,637
$720,299
At March 31, 2019 and 2018, the following assets were pledged as collateral for bank loans and long-term borrowings:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Buildings and structures
¥1,610
¥1,733
$14,506
Land
1,389
1,389 
12,515
Total
¥3,000
¥3,123
$27,029
At March 31, 2019 and 2018, such collateral secured the following obligations:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Long-term borrowings due within one year 
¥60
¥  96
$541
Long-term borrowings
— 
60
—
Total
¥60
¥157
$541
The aggregate annual maturities of long-term borrowings subsequent to March 31, 2019 and 2018 are summarized as follows:
Millions of
 yen
Thousands of  
U.S. dollars
Year ending
2019
2019
2020
¥  9,375
$  84,467
2021
28,070
252,906
2022
1,500
13,515
2023
11,000
99,108
2024
30,000
270,295
2025 and thereafter
—
—
Total
¥79,946
$720,299
Millions of
 yen
Year ending
2018
2019
¥  3,027
2020
6,710
2021
24,400
2022
1,500
2023
1,000
2024 and thereafter
—
Total
¥36,637
6. RETIREMENT BENEFITS
The Company and certain consolidated subsidiaries have defined benefit plans, including a multi-employer corporate pension plan, 
a defined benefit corporate pension plan and lump-sum payment plans. 
According to the Company’s rules, employees may, in the event of involuntary retirement, be entitled to additional payments of 
retirement benefits, which are not reflected in the actuarial calculation of the projected benefit obligations.
The Company and certain of its consolidated subsidiaries have defined contribution pension plans.
In addition, a foreign consolidated subsidiary has a public pension plan. 
Defined benefit plans
(1) The changes in the defined benefit liabilities for the years ended March 31, 2019 and 2018 are as follows:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Defined benefit liabilities, beginning balance
¥70,767
¥70,487
$637,598
Increase mainly due to the effect of changing calculation 
method from simplified method to basic method as a 
result of merger
—
1,222
—
Service cost
2,550
2,767
22,975
Interest cost
488
418
4,397
Actuarial gain or loss
(1,444)
(617)
(13,010)
Retirement benefits paid
(3,670)
(3,512)
(33,066)
Other
(82)
0
(739)
Defined benefit liabilities, ending balance
¥68,608
¥70,767
$618,146
(2) The changes in plan assets for the years ended March 31, 2019 and 2018 are as follows:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Plan assets, beginning balance
¥56,551
¥53,253
$509,514
Expected return on plan assets
2,195
2,081
19,777
Actuarial gain or loss
(3,345)
2,325
(30,138)
Employer contributions 
2,189
2,083
19,722
Retirement benefits paid
(3,584)
(3,207)
(32,291)
Other
(75)
14
(676)
Plan assets, ending balance
¥53,930
¥56,551
$485,900
(3) The amounts recognized in the consolidated balance sheet as of March 31, 2019 and 2018 consist of:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Funded defined benefit liabilities
¥ 65,288
¥ 67,570
$ 588,233
Plan assets at fair value
(53,930)
(56,551)
(485,900)
Funded status
11,357
11,019
102,325
Unfunded defined benefit liabilities
3,320
3,196
29,913
Liability in the balance sheet, net
¥ 14,678
¥ 14,216
$ 132,246
Defined benefit liabilities
¥ 14,739
¥ 14,262
$ 132,796
Asset for retirement benefit
(61)
(46)
(550)
Liability in the balance sheet, net
14,678
14,216
132,246
60
61
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

(4) The amounts recognized in the consolidated statement of income for the years ended March 31, 2019 and 2018consist of:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Service cost
¥ 2,550
¥ 2,767
$ 22,975
Interest cost
488
418
4,397
Expected return on plan assets
(2,195)
(2,081)
(19,777)
Amortization of actuarial loss
609
564
5,487
Amortization of prior service cost
0
0
0
Other
71
74
640
Periodic pension cost for defined benefit plan
¥ 1,526
¥ 1,743
$ 13,749
(5) The components of remeasurements of defined benefit plans included in other comprehensive income (before tax effect) for the 
years ended March 31, 2019 and 2018 are as follows: 
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Prior service cost
¥      (0)
¥       (0)
$        (0)
Actuarial gain and loss
1,291
(3,506)
11,632
Total
¥1,290
¥(3,507)
$11,623
(6) The components of remeasurements of defined benefit plans included in accumulated other  comprehensive income 
(before tax effect) as of March 31, 2019 and 2018 are as follows: 
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Unrecognized prior service cost
¥       4
¥       5
$       36
Unrecognized actuarial losses
5,610
3,902
50,545
Total
¥5,614
¥3,907
$50,581
(7) The fair value of plan assets, by major category, as a percentage of total plan assets as of March 31, 2019 and 2018 comprised 
the following:
2019
2018
Bonds 
35.9%
26.2%
Stocks
36.7%
37.6%
Insurance 
4.7%
4.4%
Cash and cash equivalents
6.7%
15.8%
Alternative (*)
16.0%
15.9%
Other 
0.1%
0.1%
Total
100.0%
100.0%
* Alternative included investments in funds of hedge funds and multi assets. 
(8) The principal actuarial assumptions used in accounting for the defined benefit plans for the years ended March 31, 2019 and 
2018 are as follows:
2019
2018
Discount rate
Mainly 0.5%
Mainly 0.5%
Expected rate of return on plan assets
Mainly 4.0%
Mainly 4.0%
Estimated rate of salary increase
Mainly 2.0%
Mainly 2.0%
The expected rate of return on plan assets has been estimated based on the anticipated allocation to each asset class and the expected long-term returns on assets held in each category.
Multi-employer plans
One of the Company’s domestic consolidated subsidiaries participates in a multi-employer defined benefit pension plan and recognizes 
as net pension cost the related required contributions for the period.  Information regarding the multi-employer pension plan for the 
years ended March 31, 2019 and 2018 is summarized as follows:
(1) Funded status
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Pension assets
¥7,399
¥6,834
$66,664
Pension liabilities
5,046
5,080
45,464
Funded status
¥2,352
¥1,753
$21,191
(2) Number of employees of the Company’s consolidated subsidiary participating in the multi-employer pension plan as a percent-
age of total participants in the plan
2019
2018
0.85% 
0.82%
Defined contribution plans
The amounts paid to the defined contribution plans for the years ended March 31, 2019 and 2018 are as follows:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Defined contribution plan payment
¥998 
¥961
$8,992
7. COMMITMENTS
The Company and certain of its consolidated subsidiaries have entered into loan commitment agreements amounting to ¥40,000 million 
($360,393 thousand at March 31, 2019) with financial institutions at March 31, 2019 and 2018. The outstanding loans payable 
amounted to nil and ¥900 million at March 31, 2019 and 2018, respectively. The unused balances amounted to ¥40,000 million 
($360,393 thousand) and ¥39,100 million under these credit facilities, at March 31, 2019 and 2018, respectively.
62
63
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

8. NET ASSETS
The Corporation Law of Japan provides that an amount equal to 10% of the amount to be disbursed as distributions of capital surplus 
(other than the capital reserve) and retained earnings (other than the legal reserve) be transferred to the capital reserve and the legal reserve, 
respectively, until the sum of the capital reserve and the legal reserve equals 25% of the capital stock account. Such distributions can be 
made at any time by resolution of the stockholders, or by the Board of Directors if certain conditions are met.
Shares in Issue and Outstanding and Treasury Stock
The total number and periodic changes in the number of shares in issue and the total number and periodic changes in the number of 
shares of treasury stock for the years ended March 31, 2019 and 2018 are summarized as follows:
Shares in Issue 
and Outstanding 
(Thousand)
Treasury 
Stock
(Thousand)
Number of shares at March 31, 2017
198,208
2,302
Increase in number of shares
—
1
Decrease in number of shares
 —
—
Number of shares at March 31, 2018
198,208
2,304
Increase in number of shares
 21,073
7,882
Decrease in number of shares
—
1,922
Number of shares at March 31, 2019
219,281
8,264
During the year ended March 31, 2019, the increase of 21,073 thousand shares of shares in issue and outstanding was due to the issue 
of shares in connection with the share exchange. The increase of 7,882 thousand shares of treasury stock consists of the repurchase of 
7,772 thousand shares under the share buyback program, the allocation of 104 thousand shares of ALPINE shares held by affiliated 
companies in connection with the share exchange, the purchase of 4 thousand shares of odd-shares and the purchase of 0 thousand 
shares of odd-shares in connection with the share exchange.
The decrease of 1,922 thousand shares of treasury stock consists of the disposal of 1,900 thousand shares of treasury stock in 
connection with share exchange and the exercise of stock options rights of 22 thousand shares.
During the year ended March 31, 2018, the increase of 1 thousand shares of treasury stock was due to the purchase of odd-lot shares.
Stock subscription rights
The total number and periodic changes in the number of stock subscription rights for the year ended March 31, 2019 are summarized 
as follows:
Stock subscription rights of stock options
 
Company name
ALPS  
ALPINE CO., LTD.
ALPINE 
ELECTRONICS, INC.
ALPS
LOGISTICS CO., LTD.
Class of stock
—
—
—
Number of shares at March 31, 2018
—
—
—
	
Increase in number of shares
—
—
—
	
Decrease in number of shares
—
—
—
Number of shares at March 31, 2019
—
—
—
Ending balance at March 31, 2019 (Millions of yen)
¥295
—
¥66
Dividends
The following appropriations of cash dividends, which has not been reflected in the accompanying consolidated financial statements for 
the year ended March 31, 2019, was approved at the ordinary general meeting of shareholders on June 21, 2019 and will go into effect 
on June 24, 2019:
Millions of
 yen
Thousands of  
U.S. dollars
Cash dividends to be approved on June 21, 2019
(¥25.00 = $0.23 per share)
¥5,275
$47,527
9. REVALUATION OF LAND
On March 31, 2002, a domestic consolidated subsidiary revalued its land held for business purposes in accordance with the “Law on 
Land Revaluation.”  The method followed for this land revaluation was determined in accordance with the “Enforcement Act Concerning 
Land Revaluation.” Differences arising from the land revaluation have been accounted for as revaluation reserve for land (non-controlling 
interests in net assets section for non-controlling portion) under net assets.
The excesses of the carrying value of this land after the revaluation over its fair value as of March 31, 2019 and 2018 were 
¥972 million ($8,758 thousand) and ¥971 million, respectively.
10. REDUCTION ENTRY
The amount of the reduction entry for the years ended March 31, 2019 and 2018 and accumulated reduction entry as of March 31, 
2019 and 2018 for tangible fixed assets deducted from the acquisition cost of tangible fixed assets due to government subsidies, etc. 
are as follows:
Millions of
 yen
Thousands of  
U.S. dollars
Reduction entry for the years ended March 31, 2019 and 2018
2019
2018
2019
Buildings and structures
¥6
¥12
$54
Machinery and equipment
1
—
9
Tools, furniture and fixtures
0
—
0
Total
¥8
¥12
$72
Millions of
 yen
Thousands of  
U.S. dollars
Accumulated reduction entry as of March 31, 2019 and 2018
2019
2018
2019
Buildings and structures
¥291
¥285
$2,622
Machinery and equipment
34
35
306
Tools, furniture and fixtures
0
—
0
Total
¥326
¥320
$2,937
11. SELLING, GENERAL AND ADMINISTRATIVE EXPENSES
Major items included in selling, general and administrative expenses for the years ended March 31, 2019 and 2018 were as follows:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Salaries
¥37,436
¥37,715
$337,292
Research and development expenses
18,900
19,164
170,286
Commission expenses
11,257
12,989
101,424
Employees’ bonuses
4,551
4,891
41,004
Warranty costs
3,723
1,917
33,544
Retirement benefit expense
829
1,126
7,469
The following appropriations of cash dividends to shareholders of common stock were approved at the ordinary general meeting of 
shareholders held on June 22, 2018 and at the meeting of the Board of Directors held on October 30, 2018 and were paid to 
shareholders of record as of March 31, 2018 and September 30, 2018, respectively, during the year ended March 31, 2019:
Millions of
 yen
Cash dividends approved on June 22, 2018
(¥20.00 per share)
¥3,918
Cash dividends approved on October 30, 2018
(¥25.00 per share)
¥4,897
64
65
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

12. RESEARCH AND DEVELOPMENT EXPENSES
Research and development expenses included in cost of sales and general and administrative expenses were ¥32,886 million 
($296,297 thousand) and ¥29,799 million for the years ended March 31, 2019 and 2018, respectively.  
13. OTHER INCOME (EXPENSES)
The components of other, net, in the accompanying consolidated statement of income and comprehensive income for the years ended 
March 31, 2019 and 2018 were as follows:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Gain on sale of fixed assets
¥ 544
¥    366
$ 4,901
Gain on sale of investment securities
554
0
4,991
Loss on sale and disposal of fixed assets
(595)
(880)
(5,361)
Business structure improvement expenses
(860)
(39)
(7,748)
Other
(363)
(1,286)
(3,271)
¥(719) 
¥(1,839)
$(6,478)
14. IMPAIRMENT LOSSES ON FIXED ASSETS
In accordance with the accounting treatment for the impairment of fixed assets, the Company determined asset groups based on the 
categories used for managerial accounting considering the relevance of product categories and production processes. With respect to 
idle assets, leased assets and scheduled disposal assets, each asset is treated as an individual unit when applying the accounting 
treatment for impairment of fixed assets because cash inflows and outflows can be measured at the asset level.
The Company recognized impairment losses on the following asset groups during the year ended March 31, 2019:
Millions of
 yen
Thousands of  
U.S. dollars
Location
Use
Asset type
2019
2019
Japan
Scheduled disposal assets
Construction in progress etc.
¥1,583
$14,263
Idle assets
Land
0
0
Hong Kong
Assets for Logistics business
Buildings and structures etc.
255
2,298
Total
¥1,839
$16,569
With respect to assets included in assets for the Logistics business, because the business environment deteriorated mainly due to 
a market contraction, the Company reduced the book value of these assets to their respective recoverable amounts and recognized 
impairment losses as other expenses.
With respect to idle assets and scheduled disposal assets, whose fair value declined or whose future use had not been determined, 
the Company reduced the book value of those assets to their respective recoverable amounts and recognized impairment losses as 
other expenses. 
The recoverable amounts of idle assets were determined at net realizable value computed based on asset value recognized under 
property tax appraised values.
The recoverable amount of scheduled disposal assets were estimated as sales value based on the plan for disposal and other 
scheduled disposal assets were determined as zero. 
The Company recognized impairment losses on the following asset groups during the year ended March 31, 2018.
This information is not provided due to its immateriality.
15. INCOME TAXES
The Company is subject to a number of taxes in Japan based on income, which, in the aggregate, resulted in statutory tax rates of 
approximately 30.4% and 30.7% for the years ended March 31, 2019 and 2018, respectively.
The following table summarizes the reconciliations between the statutory tax rates and the Company’s effective tax rates reflected 
in the accompanying consolidated statement of income and comprehensive income for the years ended March 31, 2019 and 2018: 
2019
2018
Statutory tax rates
30.4%
30.7%
Lower tax rates at foreign subsidiaries
(5.4)
(3.5)
Change in valuation allowance
(3.3)
(13.3)
Non-deductible expenses
1.2
0.6
Unrealized profit tax effect
2.3
(0.2)
Withholding tax rate on dividends from foreign subsidiaries
3.6
0.2
Other
0.4
1.3
Effective tax rates
29.2%
15.8%
The significant components of deferred tax assets and liabilities at March 31, 2019 and 2018 were as follows:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Deferred tax assets:
Accrued employees’ bonuses
¥   2,834
¥   3,173
$   25,534
Allowance for doubtful accounts
296
899
2,667
Accrued income taxes 
225
525
2,027
Accrued expenses
929
940
8,370
Liability for retirement benefit
4,390
3,990
39,553
Tax effect on investments, etc. of subsidiary scheduled 
to be liquidated
1,265
—
11,397
Depreciation
9,989
10,845
89,999
Impairment losses for land
974
674
8,776
Intercompany profit
4,065
5,395
36,625
Write-offs of investment securities
730
765
6,577
Write-offs of inventories
1,908
1,489
17,191
Tax loss carryforwards
8,916
7,553
80,332
Other
6,055
5,854
54,554
Gross deferred tax assets
42,576
42,102
383,602
Valuation allowance for net operating loss carryforwards (Note 1)
(6,490)
—
(58,474)
Valuation allowance for deductible temporary differences
(10,385)
—
(93,567)
Total Valuation allowance
(16,875)
(16,400)
(152,041)
Less deferred tax liabilities in the same tax jurisdiction
(9,100)
(6,308)
(81,989)
Total deferred tax assets
16,600
19,393
149,563
Deferred tax liabilities:
Unrealized gain on investment securities
(3,180)
(4,263)
(28,651)
Undistributed retained earnings of foreign subsidiaries
(5,081)
(4,533)
(45,779)
Undistributed retained earnings of affiliated company 
accounted for by the equity method
(737)
(1,369)
(6,640)
Other
(1,140)
(715)
(10,271)
Gross deferred tax liabilities 
(10,138)
(10,880)
(91,342)
Less deferred tax assets in the same tax jurisdiction
9,100
6,308
81,989
Total deferred tax liabilities
(1,038)
(4,572)
(9,352)
Net deferred tax assets
¥ 15,562
¥ 14,822
$ 140,211
66
67
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

17. FINANCIAL INSTRUMENTS
Overview
(1) Policy for financial instruments
In consideration of plans for capital investment mainly in manu-
facturing, marketing and sales of electric devices, the Company 
and its consolidated subsidiaries (collectively, the “Group”) raise 
funds through bank borrowings. The Group manages temporary 
cash surpluses through low-risk financial assets. Further, the 
Group raises short-term capital through bank borrowings. The 
Group uses derivatives for the purpose of reducing risk and 
does not enter into derivative transactions for speculative or 
trading purposes. 
(2) Types of financial instruments and related risk
Trade receivables—trade notes and accounts receivable—are 
exposed to credit risk in relation to customers. In addition, the 
Group is exposed to foreign currency exchange risk arising from 
receivables denominated in foreign currencies. In principle, the 
foreign currency exchange risks deriving from the trade receiv-
ables denominated in foreign currencies, net of trade payables 
denominated in the same currencies are hedged by forward 
foreign exchange contracts and currency swaps.
Marketable securities and investment securities are 
exposed to market risk. Those securities are mainly composed 
of shares of common stock of other companies with which the 
Group has business relationships.
Substantially all trade payables—trade notes and accounts 
payable—have payment due dates within four months. 
Short-term borrowings and long-term borrowings are taken 
out principally for the purpose of making capital investments.
To reduce the risk of long-term borrowings bearing interest 
at variable rates, the Group utilizes interest rate swap transac-
tions as a hedging instrument.
Regarding derivatives, the Group enters into forward foreign 
exchange contracts and currency swap transactions to reduce 
the foreign currency exchange risk arising from the receivables 
and payables denominated in foreign currencies.
Information regarding the method of hedge accounting, 
hedging instruments and hedged items is found in summary 
of significant accounting policies in Note 2.
(3) Risk management for financial instruments
(a) Monitoring of credit risk (the risk that customers or 
counterparties may default)
In accordance with the internal policies for managing credit risk of 
the Group arising from receivables, the related Sales Department 
manager monitors credit worthiness of main customers, and the 
Credit Control Department assesses the financial situation peri-
odically. In addition, the Group is making efforts to identify and 
mitigate risks of bad debts.
The Group believes that the credit risk of derivatives is 
insignificant as it enters into derivative transactions only with 
financial institutions which have a sound credit profile. 
(b) Monitoring of market risks (the risks arising from fluctua-
tions in foreign exchange rates, interest rates and others)
For trade receivables and payables denominated in foreign 
currencies, the Group identifies the foreign currency exchange 
risk for each currency on a monthly basis and enters into for-
ward foreign exchange contracts and currency swaps to hedge 
such risk. In order to mitigate the interest rate risk for loans 
payable bearing interest at variable rates, the Group may also 
enter into interest rate swap transactions.
For marketable securities and investment securities, the 
Group periodically reviews the fair values of such financial instru-
ments and the financial position of the issuers. In addition, the 
Group continuously evaluates whether securities other than 
those classified as held-to-maturity should be maintained taking 
into account their fair values and relationships with the issuers.
In conducting derivative transactions, the division in charge 
of each derivative transaction follows the internal policies, which 
set forth delegation of authority and maximum upper limit on 
positions. Monthly reports including actual transaction data are 
submitted to the Board of Directors for their review.
(c) Monitoring of liquidity risk (the risk that the Group may not 
be able to meet its obligations on scheduled due dates)
Based on the business plan, the Group prepares and updates its 
cash flow plans on a timely basis to manage liquidity risk.
(4) Supplementary explanation of the estimated fair value of 
financial instruments
The fair value of financial instruments is based on their quoted 
market price, if available. 
When there is no quoted market price available, fair value is 
reasonably estimated. Since various assumptions and factors are 
reflected in estimating the fair value, different assumptions and 
factors could result in different fair value. In addition, the notional 
amounts of derivatives in Note 18. DERIVATIVE FINANCIAL 
INSTRUMENTS are not necessarily indicative of the actual 
market risk involved in derivative transactions.
Note 1:
Millions of  yen
2019
Due in
one year
or less
Due after
one years
through
two years
Due after
two years
through
three years
Due after
three years
through
four years
Due after
four years
through
five years
Due after
five years
Total
Net operating loss carryforwards (a)
¥ 98
¥ 71
¥ 3,362
¥ 110
¥ 237
¥ 5,038
¥ 8,916
Valuation allowance
(63)
(14)
(1,876)
(110)
(58)
(4,369)
(6,490)
Deferred tax 
assets
¥ 35
¥ 57
¥ 1,486
—
¥ 179
¥    668
(b)
¥ 2,425
Thousands of U.S. dollars
2019
Due in
one year
or less
Due after
one years
through
two years
Due after
two years
through
three years
Due after
three years
through
four years
Due after
four years
through
five years
Due after
five years
Total
Net operating loss carryforwards (a)
$ 883
$ 640
$ 30,291
$ 991
$2,135
$ 45,391
$ 80,332
Valuation allowance
(568)
(126)
(16,902)
(991)
(523)
(39,364)
(58,474)
Deferred tax 
assets
$ 315
$ 514
$ 13,389
—
$1,613
$   6,019
(b)
$ 21,849
(a)	 The amount is determined by multiplying the corresponding net operating loss carryforwards by the effective statutory tax rate.
(b)	 Deferred tax assets of ¥2,425 million ($21,849 thousand) were recorded for net operating loss carryforwards of ¥8,916 million ($80,332 thousand). Deferred tax assets associated 
with net operating loss carryforwards are considered to be recoverable based on estimated future taxable income.
16. CASH AND CASH EQUIVALENTS
A reconciliation between cash and deposits in the accompanying consolidated balance sheets, and cash and cash equivalents in the 
accompanying statements of cash flows at March 31, 2019 and 2018 is as follows:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Cash and time deposits
¥122,079
¥121,554
$1,099,910
Less:
Time deposits with a maturity of more than  
three months when purchased
(3,761)
(775)
(33,886)
Cash and cash equivalents
¥118,318
¥120,778
$1,066,024
Supplemental Disclosure of Non-Cash Transactions
The Company recorded assets and corresponding obligations for finance lease transactions amounting to ¥1,295 million 
($11,668 thousand) and ¥646 million for the years ended March 31, 2019 and 2018, respectively.
68
69
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Estimated Fair Value of Financial Instruments
Carrying value of financial instruments on the consolidated balance sheet as of March 31, 2019 and 2018, their estimated fair value and 
unrealized gains are shown in the following table. The following table does not include financial instruments for which it is extremely 
difficult to determine the fair value. (Please refer to Note 2 below).
Millions of  yen
Thousands of U.S. dollars
2019
2019
Carrying 
value
Estimated
fair value
Difference
Carrying 
value
Estimated
fair value
Difference
Assets:	
Cash and deposits
¥122,079
¥122,079
¥        —
$1,099,910
$1,099,910
$          —
	
Trade notes and accounts receivable
156,875
156,875
—
1,413,416
1,413,416
—
	
Investment securities
25,165
37,625
12,460
226,732
338,995
112,262
Total assets
¥304,120
¥316,581
¥12,460
$2,740,067
$2,852,338
$112,262
Liabilities:	 Trade notes and accounts payable
¥  69,596
¥  69,596
¥        —
$   627,047
$   627,047
$          —
	
Short-term borrowings
28,870
28,870
—
260,114
260,114
—
	
Long-term borrowings due within one year
9,375
9,375
—
84,467
84,467
—
	
Long-term borrowings
70,570
70,340
(230)
635,823
633,751
(2,072)
Total liabilities
¥178,412
¥178,182
¥    (230)
$1,607,460
$1,605,388
$   (2,072)
Derivatives*
¥      (123)
¥      (123)
¥        —
$      (1,108)
$      (1,108)
$          —
Millions of  yen
2018
Carrying 
value
Estimated
fair value
Difference
Assets:	
Cash and deposits
¥121,554
¥121,554
¥       –
	
Trade notes and accounts receivable
160,107
160,107
–
	
Investment securities
23,845
28,723
4,878
Total assets
¥305,507
¥310,386
¥4,878
Liabilities:	 Trade notes and accounts payable
¥  73,764
¥  73,764
¥       –
	
Short-term borrowings
33,782
33,782
–
	
Long-term borrowings due within one year
3,027
3,027
–
	
Long-term borrowings
33,610
33,527
(83)
Total liabilities
¥144,185
¥144,102
¥    (83)
Derivatives*
¥       678
¥       678
¥       –
* The value of assets and liabilities arising from derivatives is shown at net value, and with the amount in parentheses representing a net liability position.
Note 1: Methods to determine the estimated fair value of financial instruments and other matters related to securities and deriva-
tive transactions
(a) Cash and deposits, and trade notes and accounts receivable
Since these items are settled in a short period of time, their carrying value approximates fair value.
(b) Investment securities
The fair value of the investment securities is based on quoted market price. For information on securities classified by holding purpose, 
please refer to Note 3. INVESTMENT SECURITIES.
(c) Trade notes and accounts payable, short-term borrowings and long-term borrowings due within one year
Since these items are settled in a short period of time, their carrying value approximates fair value.
 
(d) Long-term borrowings
The fair value of each long-term borrowings instrument is based on the present value of the total of principal and interest discounted by 
the interest rate that would be applied if similar new loans were entered into.
(e) Derivatives
Please refer to Note 18 DERIVATIVE FINANCIAL INSTRUMENTS.
Note 2: Financial instruments for which it is extremely difficult to determine the fair value
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Carrying value
Carrying value
Investment in unlisted stocks, unconsolidated  
subsidiaries, affiliated companies and others 
¥2,055
¥1,416
$18,515
Because no quoted market price is available and it is extremely difficult to determine the fair value, the above financial instruments are not included in the preceding table presenting 
the estimated fair value of financial instruments.
Note 3: Redemption schedule for receivables and marketable securities with maturities at March 31, 2019 and 2018
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Due in one year or less
Cash and deposits
¥122,079
¥121,554
$1,099,910
Trade notes and accounts receivable
156,875
160,107
1,413,416
Total
¥278,955
¥281,662
$2,513,335
Note 4: The redemption schedule for long-term borrowings is disclosed in Note 5. SHORT-TERM BORROWINGS AND 
LONG-TERM BORROWINGS. The aggregate annual maturities of finance lease obligations subsequent to March 31, 2019 
and 2018 are summarized as follows:
Millions of
 yen
Thousands of  
U.S. dollars
Year ending 
2019
2019
2020
¥   546
$  4,919
2021
432
3,892
2022
304
2,739
2023
268
2,415
2024
265
2,388
2025 and thereafter
1,252
11,280
Total
¥3,071
$27,669
Millions of
 yen
Year ending 
2018
2019
¥   598
2020
433
2021
223
2022
171
2023
140
2024 and thereafter
991
Total
¥2,559
70
71
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

18. DERIVATIVE FINANCIAL INSTRUMENTS
The Company has entered into forward foreign exchange contracts with banks to hedge transactions and balances denominated in 
foreign currencies. In addition, to hedge its exposure to fluctuations in interest rates, the Company has entered into interest rate swap 
agreements to effectively change the floating rates on the principal balance of its debt to fixed interest rates.
These derivative transactions are utilized solely for hedging purposes under the Company’s internal control rules and are subject to 
oversight by the Board of Directors. The Company does not anticipate any credit loss from nonperformance by the counterparties to the 
forward foreign exchange contracts and interest rate swap agreements.
The notional amounts and estimated fair value of the derivative instruments outstanding at March 31, 2019 and 2018, to which 
hedge accounting has not been applied, are summarized as follows:
Millions of  yen
Thousands of U.S. dollars
2019
2019
Notional
amounts
Estimated
fair value
Unrealized 
gains
(losses)
Notional
amounts
Estimated
fair value
Unrealized 
gains
(losses)
Forward foreign exchange contracts:
Sell:
U.S. dollars
¥14,971
¥(156)
¥(156)
$134,886
$(1,406)
$(1,406)
Euro
6,014
34
34
54,185
306
306
Millions of  yen
2018
Notional
amounts
Estimated
fair value
Unrealized 
gains
Forward foreign exchange contracts:
Sell:
U.S. dollars
¥30,812
¥555
¥555
Euro
7,309
124
124
Note: Estimated fair values are computed on quotes from financial institutions.
The notional amounts and estimated fair value of the derivative instruments outstanding at March 31, 2019 and 2018, to which hedge 
accounting has been applied primarily to accounts receivables are summarized as follows:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Notional
amounts
Estimated
fair value
Notional
amounts
Estimated
fair value
Notional
amounts
Estimated
fair value
Forward foreign exchange contracts:
Sell:
U.S. dollars
¥329
¥(0)
¥     —
¥—
$2,964
$(0)
Euro
—
—
1,306
(2)
—
—
Note: Estimated fair values are computed on quotes from financial institutions.
There were no interest-rate swap transactions which meet specific criteria for hedge accounting for the years ended March 31, 2019 
and 2018.
19. LEASES
As lessee:
The Company’s future minimum lease payments subsequent to March 31, 2019 and 2018 for non-cancelable operating leases are 
summarized as follows:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2019
2020
¥2,376
$21,407
2021 and thereafter
5,512
49,662
¥7,888
$71,069
Millions of
 yen
2018
2019
¥2,004
2020 and hereafter
4,736
¥6,740
As lessor:
Investment in lease assets consisted of the following:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Lease receivables
¥675
¥688
$6,082
Interest portion of lease receivables
(43)
(43)
(387)
Investment in lease assets
¥631
¥645
$5,685
72
73
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

The collection schedules of lease receivables at March 31, 2019 and 2018 are summarized as follows:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2019
2020
¥   497
$  4,478
2021
398
3,586
2022
361
3,253
2023
193
1,739
2024
67
604
2025 and thereafter
45
405
¥1,563
$14,082
Millions of
 yen
2018
2019
¥   549
2020
447
2021
345
2022
306
2023
137
2024 and thereafter
40
¥1,827
The Company’s future minimum lease receivables subsequent to March 31, 2019 and 2018 for non-cancelable operating leases are 
summarized as follows:
Millions of
 yen
Thousands of  
U.S. dollars
2019
2019
2020
¥  39
$351
2021 and thereafter
69
622
¥109
$982
Millions of
 yen
2018
2019
¥  34
2020 and hereafter
73
¥108
20. RELATED PARTY TRANSACTIONS
There were no transactions of the Company with a related party for the years ended March 31, 2019 and 2018. 
21. OTHER COMPREHENSIVE INCOME
The following table presents reclassification adjustments as amounts reclassified to profit for the years ended March 31, 2019 and 2018, 
which were recognized in other comprehensive income for the years ended March 31, 2019 and 2018, and tax effects allocated to each 
component of other comprehensive income for the years ended March 31, 2019 and 2018.
Millions of
 yen
Thousands of  
U.S. dollars
2019
2018
2019
Unrealized gains (losses) on securities:
Amount arising during the year
¥(3,259)
¥1,297
$(29,363)
Reclassification adjustments
(513)
394
(4,622)
Unrealized gains (losses) on securities before tax effect
(3,773)
1,691
(33,994)
Tax effect
1,084
(515)
9,767
Unrealized gains (losses) on securities
(2,689)
1,176
(24,227)
Deferred gains or losses on hedges:
Amount arising during the year
(49)
(66)
(441)
Reclassification adjustments
50
64
450
Deferred gains or losses on hedges before tax effect
1
(1)
9
Tax effect
0
—
0
Deferred gains or losses on hedges
1
(1)
9
Foreign currency translation adjustments:
Amount arising during the year
(3,162)
4,010
(28,489)
Remeasurements of defined benefit plans:
Amount arising during the year
(1,900)
2,942
(17,119)
Reclassification adjustments
610
564
5,496
Remeasurements of defined benefit plans before tax effect
(1,290)
3,507
(11,623)
Tax effect
661
(810)
5,955
Remeasurements of defined benefit plans 
(628)
2,696
(5,658)
Share of other comprehensive income of investments accounted for 
using the equity method:
Amount arising during the year
(1,230)
(36)
(11,082)
Other comprehensive income (loss)
¥(7,708)
¥7,845
$(69,448)
74
75
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

22. STOCK OPTIONS
(1) Stock option expenses were recognized for the years ended March 31, 2019 and 2018 as follows:
Millions of
 yen
Thousands of  
U.S. dollars
Millions of
 yen
2019
2019
2018
Selling, general and administrative expenses 
¥108
$973
¥105
(2) Outline of stock options and changes 
(i) Outline of stock options 
ALPS ELECTRIC CO., LTD. First Series 
of Stock Subscription Rights*1
ALPS ELECTRIC CO., LTD. Second 
Series of Stock Subscription Rights*1
ALPS ELECTRIC CO., LTD. Third 
Series of Stock Subscription Rights*1
Grantees
Total 12
Directors of the Company (Excluding 
outside directors)
Total 12
Directors of the Company (Excluding 
outside directors)
Total 12
Directors of the Company (Excluding 
outside directors and audit and 
supervisory committee members)
Type and number of shares to be 
issued upon the exercise of the 
stock subscription rights
34,800 shares of common stock
14,100 shares of common stock
23,900 shares of common stock
Grant date
July 28, 2014
July 24, 2015
July 21, 2016
Conditions for vesting
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 20, 2014
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 19, 2015
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 23, 2016
Required service period
None
None
None
Exercise period
From July 29, 2014 to July 28, 2054
From July 27, 2015 to July 26, 2055
From July 22, 2016 to July 21, 2056
ALPS ELECTRIC CO., LTD. Fourth 
Series of Stock Subscription Rights*1
ALPS ELECTRIC CO., LTD. Fifth Series 
of Stock Subscription Rights*1
ALPS ALPINE CO., LTD. Sixth Series of 
Stock Subscription Rights*1
Grantees
Total 12
Directors of the Company (Excluding 
outside directors and audit and 
supervisory committee members)
Total 12
Directors of the Company (Excluding 
outside directors and audit and 
supervisory committee members)
Total 9
Directors of subsidiaries (Excluding 
outside directors and part time 
directors)*2
Type and number of shares to be 
issued upon the exercise of the 
stock subscription rights
17,000 shares of common stock
19,000 shares of common stock
5,304 shares of common stock*3
Grant date
July 24, 2017
July 25, 2018
January 1, 2019
Conditions for vesting
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 23, 2017
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 22, 2018
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 19, 2014
Required service period
None
None
None
Exercise period
From July 25, 2017 to July 24, 2057
From July 26, 2018 to July 25, 2058
From January 1, 2019 to August 5, 2054
ALPS ALPINE CO., LTD. Seventh 
Series of Stock Subscription Rights*1
ALPS ALPINE CO., LTD. Eighth Series 
of Stock Subscription Rights*1
ALPS ALPINE CO., LTD. Ninth Series of 
Stock Subscription Rights*1
Grantees
Total 10
Directors of subsidiaries (Excluding 
outside directors and part time 
directors)*2
Total 10
Directors of subsidiaries (Excluding 
outside directors, audit and super-
visory committee members and 
non-executive directors)*2
Total 10
Directors of subsidiaries (Excluding 
outside directors, audit and super-
visory committee members and 
non-executive directors)*2
Type and number of shares to be 
issued upon the exercise of the 
stock subscription rights
4,624 shares of common stock*3
15,436 shares of common stock*3
11,696 shares of common stock*3
Grant date
January 1, 2019
January 1, 2019
January 1, 2019
Conditions for vesting
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 18, 2015
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 22, 2016
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 22, 2017
Required service period
None
None
None
Exercise period
From January 1, 2019 to August 4, 2055
From January 1, 2019 to July 19, 2056
From January 1, 2019 to July 20, 2057
ALPS ALPINE CO., LTD. Tenth Series 
of Stock Subscription Rights*1
ALPS LOGISTICS CO., LTD. First 
Series of Stock Subscription Rights*1, *4
ALPS LOGISTICS CO., LTD. Second 
Series of Stock Subscription Rights*1, *4
Grantees
Total 9
Directors of subsidiaries (Excluding 
outside directors, audit and super-
visory committee members and 
non-executive directors)*2
Total 7
Directors of subsidiaries (Excluding 
outside directors and part time 
directors)
Total 6
Directors of subsidiaries (Excluding 
outside directors and part time 
directors)
Type and number of shares to be 
issued upon the exercise of the 
stock subscription rights
10,880 shares of common stock*3
32,400 shares of common stock
18,000 shares of common stock
Grant date
January 1, 2019
July 23, 2014
July 22, 2015
Conditions for vesting
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 21, 2018
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 18, 2014
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 17, 2015
Required service period
None
None
None
Exercise period
From January 1, 2019 to July 23, 2058
From July 24, 2014 to July 23, 2054
From July 23, 2015 to July 22, 2055
ALPS LOGISTICS CO., LTD. Third 
Series of Stock Subscription Rights*1
ALPS LOGISTICS CO., LTD. Fourth 
Series of Stock Subscription Rights*1
ALPS LOGISTICS CO., LTD. Fifth 
Series of Stock Subscription Rights*1
Grantees
Total 6
Directors of subsidiaries (Excluding 
outside directors, audit and super-
visory committee members and 
non-executive directors)
Total 7
Directors of subsidiaries (Excluding 
outside directors, audit and super-
visory committee members and 
non-executive directors)
Total 6
Directors of subsidiaries (Excluding 
outside directors and audit and 
supervisory committee members)
Type and number of shares to be 
issued upon the exercise of the 
stock subscription rights
33,100 shares of common stock
27,000 shares of common stock
18,800 shares of common stock
Grant date
July 15, 2016
July 19, 2017
July 20, 2018
Conditions for vesting
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 21, 2016
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 21, 2017
Stock option rights are vested 
after six months has elapsed from 
the date of the general meeting of 
shareholders on June 20, 2018
Required service period
None
None
None
Exercise period
From July 16, 2016 to July 15, 2056
From July 20, 2017 to July 19, 2057
From July 21, 2018 to July 20, 2058
*1 The number of shares is shown.
*2 The classification and number of persons subject to grant are as of the date of initial grant by Alpine Electronics, Inc.
*3 As a result of the share exchange between the Company and Alpine Electronics, Inc. on January 1, 2019, the Company allocated and issued new share acquisition rights based 
on the share exchange ratio to the Company’s stock acquisition rights.
*4 Shares, exercise price and average stock price at exercise have been restated, as appropriate, to reflect the two-for-one stock split on April 1, 2016.
76
77
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

(ii) Movements in stock options (in shares) for the year ended March 31, 2019 were as follows:
(a) Number of stock options (in shares) 
ALPS ELECTRIC CO., LTD. First 
Series of Stock Subscription Rights
ALPS ELECTRIC CO., LTD. Second 
Series of Stock Subscription Rights
ALPS ELECTRIC CO., LTD. Third 
Series of Stock Subscription Rights
Non-vested
As of March 31, 2018
—
—
—
Granted
—
—
—
Forfeited 
—
—
—
Vested
—
—
—
Outstanding as of March 31, 2019 
—
—
—
Vested 
As of March 31, 2018
25,100
11,300
23,900
Vested
—
—
—
Exercised
8,300
3,400
5,100
Forfeited
—
—
—
Outstanding as of March 31, 2019
16,800
7,900
18,800
ALPS ELECTRIC CO., LTD. Fourth 
Series of Stock Subscription Rights
ALPS ELECTRIC CO., LTD. Fifth 
Series of Stock Subscription Rights
ALPS ALPINE CO., LTD. Sixth Series 
of Stock Subscription Rights
Non-vested
As of March 31, 2018
—
—
—
Granted
—
19,000
5,304
Forfeited 
—
—
—
Vested
—
19,000
5,304
Outstanding as of March 31, 2019 
—
—
—
Vested 
As of March 31, 2018
17,000
—
—
Vested
—
19,000
5,304
Exercised
3,200
2,100
—
Forfeited
—
—
—
Outstanding as of March 31, 2019
13,800
16,900
5,304
ALPS ALPINE CO., LTD. Seventh 
Series of Stock Subscription Rights
ALPS ALPINE CO., LTD. Eighth Series 
of Stock Subscription Rights
ALPS ALPINE CO., LTD. Ninth Series 
of Stock Subscription Rights
Non-vested
As of March 31, 2018
—
—
—
Granted
4,624
15,436
11,696
Forfeited 
—
—
—
Vested
4,624
15,436
11,696
Outstanding as of March 31, 2019 
—
—
—
Vested 
As of March 31, 2018
—
—
—
Vested
4,624
15,436
11,696
Exercised
—
—
—
Forfeited
—
—
—
Outstanding as of March 31, 2019
4,624
15,436
11,696
ALPS ALPINE CO., LTD. Tenth Series 
of Stock Subscription Rights
ALPS LOGISTICS CO., LTD. First 
Series of Stock Subscription Rights
ALPS LOGISTICS CO., LTD. Second 
Series of Stock Subscription Rights
Non-vested
As of March 31, 2018
—
—
—
Granted
10,880
—
—
Forfeited 
—
—
—
Vested
10,880
—
—
Outstanding as of March 31, 2019 
—
—
—
Vested 
As of March 31, 2018
—
18,000
15,200
Vested
10,880
—
—
Exercised
—
—
1,600
Forfeited
—
—
—
Outstanding as of March 31, 2019
10,880
18,000
13,600
ALPS LOGISTICS CO., LTD. Third 
Series of Stock Subscription Rights
ALPS LOGISTICS CO., LTD. Fourth 
Series of Stock Subscription Rights
ALPS LOGISTICS CO., LTD. Fifth 
Series of Stock Subscription Rights
Non-vested
As of March 31, 2018
—
—
—
Granted
—
—
18,800
Forfeited 
—
—
—
Vested
—
—
18,800
Outstanding as of March 31, 2019 
—
—
—
Vested 
As of March 31, 2018
33,100
27,000
—
Vested
—
—
18,800
Exercised
3,600
2,600
—
Forfeited
—
—
—
Outstanding as of March 31, 2019
29,500
24,400
18,800
(b) Price information
ALPS ELECTRIC CO., LTD. First Series 
of Stock Subscription Rights
ALPS ELECTRIC CO., LTD. Second 
Series of Stock Subscription Rights
ALPS ELECTRIC CO., LTD. Third 
Series of Stock Subscription Rights
Exercise price
¥1 per share
¥1 per share
¥1 per share
Average stock price upon exercise
¥2,289
¥2,297
¥2,290
Fair value at grant date
¥1,415
¥3,957
¥2,011
ALPS ELECTRIC CO., LTD. Fourth 
Series of Stock Subscription Rights
ALPS ELECTRIC CO., LTD. Fifth Series 
of Stock Subscription Rights
ALPS ALPINE CO., LTD. Sixth Series of 
Stock Subscription Rights*1
Exercise price
¥1 per share
¥1 per share
¥1 per share
Average stock price upon exercise
¥2,333
¥2,100
¥2,022
Fair value at grant date
¥3,053
¥2,944
¥1,417
ALPS ALPINE CO., LTD. Seventh 
Series of Stock Subscription Rights*1
ALPS ALPINE CO., LTD. Eighth Series 
of Stock Subscription Rights*1
ALPS ALPINE CO., LTD. Ninth Series of 
Stock Subscription Rights*1
Exercise price
¥1 per share
¥1 per share
¥1 per share
Average stock price upon exercise
¥2,022
¥2,022
¥2,022
Fair value at grant date
¥1,909
¥968
¥1,604
ALPS ALPINE CO., LTD. Tenth Series 
of Stock Subscription Rights*1
ALPS LOGISTICS CO., LTD. First 
Series of Stock Subscription Rights*2
ALPS LOGISTICS CO., LTD. Second 
Series of Stock Subscription Rights*2
Exercise price
¥1 per share
¥1 per share
¥1 per share
Average stock price upon exercise
—
—
¥901
Fair value at grant date
¥2,319
¥498
¥734
ALPS LOGISTICS CO., LTD. Third 
Series of Stock Subscription Rights
ALPS LOGISTICS CO., LTD. Fourth 
Series of Stock Subscription Rights
ALPS LOGISTICS CO., LTD. Fifth 
Series of Stock Subscription Rights
Exercise price
¥1 per share
¥1 per share
¥1 per share
Average stock price upon exercise
¥901
¥901
—
Fair value at grant date
¥500
¥709
¥812
*1 Shares, exercise price and average stock price at exercise have been restated, as of the initial grant date of Alpine Electronics, Inc.
*2 Shares, exercise price and average stock price at exercise have been restated, as appropriate, to reflect the two-for-one stock split on April 1, 2016.
78
79
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

(3) Estimation of fair value of stock options
The fair value of Stock Subscription Rights of ALPS ALPINE CO., LTD., and ALPS LOGISTICS CO., LTD. granted in the year ended 
March 31, 2019 is calculated as follows: 
(i) Estimation method
The Black-Scholes Model
(ii) Assumptions used in calculations
ALPS ELECTRIC CO., LTD. Fifth Series 
of Stock Subscription Rights
ALPS ALPINE CO., LTD. Sixth Series of 
Stock Subscription Rights
ALPS ALPINE CO., LTD. Seventh 
Series of Stock Subscription Rights
Volatility of stock price
42.537%*1
37.615%*2
35.922%*2
Estimated remaining outstanding 
period
3.18 years*4 
4.50 years*5
4.10 years*5
Expected dividend
¥37 per share*8 
¥25 per share*9
¥30 per share*9
Risk-free interest rate*11
(0.120)%
(0.135)%
(0.040)%
ALPS ALPINE CO., LTD. Eighth Series 
of Stock Subscription Rights
ALPS ALPINE CO., LTD. Ninth Series of 
Stock Subscription Rights
ALPS ALPINE CO., LTD. Tenth Series 
of Stock Subscription Rights
Volatility of stock price
42.221%*2
40.708%*2
39.814%*2
Estimated remaining outstanding 
period
3.59 years*6 
4.07 years*6
5.59 years*6
Expected dividend
¥30 per share*9 
¥30 per share*9
¥30 per share*9
Risk-free interest rate*11
(0.333)%
(0.072)%
(0.061)%
ALPS LOGISTICS CO., LTD. Fifth 
Series of Stock Subscription Rights
Volatility of stock price
20.810%*3
Estimated remaining outstanding 
period
1.60 years*7
Expected dividend
¥18 per share*10
Risk-free interest rate*11
(0.135)%
*1	 The expected volatility is based on actual share prices during 3.18 years from May 25, 2015 to July 24, 2017.
*2	 The expected volatility is based on actual share prices of Alpine Electronics, Inc. for the periods below. 
	
Sixth Series of Stock Subscription Rights 	
From February 8, 2010 to August 5, 2014
	
Seventh Series of Stock Subscription Rights 	 From June 28, 2011 to August 4, 2015
	
Eighth Series of Stock Subscription Rights 	
From December 18, 2012 to July 19, 2016
	
Ninth Series of Stock Subscription Rights 	
From June 25, 2013 to July 20, 2017
	
Tenth Series of Stock Subscription Rights 	
From December 21, 2012 to July 23, 2018
*3	 The expected volatility is based on actual share prices during 1.60 years from December 20, 2016 to July 20, 2018.
*4	 Estimated remaining outstanding period is determined by deducting the average tenure of incumbent directors (excluding audit and supervisory committee members) from the 
average tenure of the retired directors in the past 20 years. 
*5	 Estimated remaining outstanding period is determined by deducting the average tenure of incumbent directors of Alpine Electronics, Inc. (excluding outside directors and part 
time directors) from the average tenure of the retired directors in the past 20 years.
*6	 Estimated remaining outstanding period is determined by deducting the average tenure of incumbent directors of Alpine Electronics, Inc. (excluding audit and supervisory 
committee members, and non-executive directors) from the average tenure of the retired directors in the past 20 years.
*7	 Estimated remaining outstanding period is determined by deducting the average tenure of incumbent directors of the subsidiary (excluding audit and supervisory committee 
members, and non-executive directors) from the average tenure of the retired directors in the past 20 years. 
*8	 Based on actual year-end dividend for the year ended March 31, 2018.
*9	 Based on actual dividend of Alpine Electronics, Inc. for the periods below. 
	
Sixth Series of Stock Subscription Rights annual dividend amount for the year ended March 31, 2014.
	
Seventh Series of Stock Subscription Rights annual dividend amount for the year ended March 31, 2015.
	
Eighth Series of Stock Subscription Rights annual dividend amount for the year ended March 31, 2016.
	
Ninth Series of Stock Subscription Rights annual dividend amount for the year ended March 31, 2017.
	
Tenth Series of Stock Subscription Rights annual dividend amount for the year ended March 31, 2018.
*10	Based on the expected annual dividend amount for the year ended March 31, 2019.
*11	Japanese government bond yield applicable to the estimated remaining outstanding period of the stock options. 
(4) Estimated number of stock options actually forfeited is reflected because the number of stock options that will be forfeited 
in the future cannot be readily estimated.
23. TRANSACTIONS UNDER COMMON CONTROL
(Alpine becoming a wholly owned subsidiary through a simplified share exchange)
The Company resolved at its board of directors meeting held on 
July 27, 2017 to conduct a business integration with Alpine that 
involves a reorganization into a holding company structure (the 
“Business Integration”) and executed a share exchange agree-
ment (the “Share Exchange Agreement”) as of the same date.
Based on a resolution of its board of directors meeting held 
on July 27, 2017, the Company executed a memorandum of 
understanding concerning the implementation of an absorption-
type company split with ALPS HD CO., LTD., a wholly owned 
subsidiary of the Company, under which the Company has its 
rights and obligations concerning its businesses, other than 
those relating to group management and administration and the 
management of its assets, succeeded to by ALPS HD CO., LTD. 
(the “Absorption-type Company Split”). However, the Company 
decided at its board of directors meeting held on February 27, 
2018 to cancel the Absorption-type Company Split, change the 
management structure following the Business Integration from a 
pure holding company structure to an operating holding com-
pany structure, and introduce an in-house company system. The 
Company also executed, as of the same date, pursuant to the 
resolutions of its board of directors meeting held on February 27, 
2018, a memorandum of understanding concerning the amend-
ments to the Share Exchange Agreement with Alpine, which 
includes the deletion of the provisions that assume the imple-
mentation of the Absorption-type Company Split and confirms 
its plan to implement a business integration that involves the 
reorganization into an operating holding company structure. The 
reorganization into an operating holding company structure and 
an in-house company system took effect on January 1, 2019 
(the “Reorganization Date”).
A share exchange (the “Share Exchange”) took effect on 
January 1, 2019 (the “Effective Date of the Share Exchange”), 
and prior to the Effective Date of the Share Exchange, shares of 
common stock of Alpine were delisted from the first section of 
the Tokyo Stock Exchange on December 26, 2018 (the last 
trading day was December 25, 2018).
(1) Overview of the Share Exchange
(i) Name of the wholly owned subsidiary and its main business 
Name of the wholly owned subsidiary Alpine Electronics, Inc. 
Main business    Manufacture and sale of audio equipment 
and information and communication 
equipment 
(ii) Objectives of the Share Exchange
Amid market innovation brought about by the fourth industrial 
revolution, by conducting the Business Integration, the Company 
and Alpine (the “Companies”) aim to keep contributing to people’s 
lives in the areas of electronics and communication by focusing 
on the electronic components business and the automotive 
infotainment business, and to transform the combined entity into 
a sustainable value creating corporate group to become a 
corporate group with sales of one trillion yen.
Specifically, the Company will push forward with the 
advancement and fusion of input device, sensing device and 
communication device technology, which are the Company’s 
core technologies and products, by using Alpine’s development 
and system design capabilities. In enhancing its automotive HMI 
system integration business, Alpine will leverage the Company’s 
sensing device and communication device technology. In addi-
tion to automotive business such as integrated HMI cockpit 
system and four domains known as CASE (Connected, 
Autonomous, Shared & Services, Electric), the Companies will 
also promote collaboration in new business domains including 
EHII (Energy, Healthcare, Industry, IoT) and alliances with other 
companies to ensure realization of post-integration synergies. 
In order to accelerate the Business Integration, in addition to 
sharing management resources such as the Companies’ human 
resources and technologies, the Companies will move to a 
holding company structure under which the Companies will work 
on full-scale cooperation, such as strengthening of their ability as 
a group to propose solutions to and conduct sales vis-a-vis their 
customers, development of employees through cross-business 
collaboration, such as engineers and sales personnel, and use of 
the Company’s fund-raising capability, network and monozukuri 
capability. The Companies believe that, coupled with other 
measures, such as promotion of mutual use of production 
bases, streamlining of back-office departments through infra-
structure sharing, cooperation with suppliers through joint 
procurement of parts, strengthening of the procurement capac-
ity, and reinforcement of global operations, the above measures 
can maximize the synergy effects on businesses of the 
Company’s entire group.
(iii) Effective date of the Share Exchange 
January 1, 2019
(iv) Method of the Share Exchange
In the Share Exchange, the Company became the wholly owning 
parent company and Alpine becomes a wholly owned subsidiary. 
The Share Exchange was conducted by means of a simplified 
share exchange under Article 796, paragraph (2) of the Companies 
Act, which does not require an approval by shareholders at a 
shareholder’s meeting.
The Share Exchange Agreement was approved at an 
extraordinary general meeting of shareholders held on December 
5, 2018 by Alpine, and the Share Exchange became effective as 
of January 1, 2019.
(v) Name of the Company after the integration 
Alpine Electronics, Inc. (the “integrated company”)
80
81
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

(2) Matters concerning acquisition price
(i) Purchase price of the acquired company 
Acquisition consideration common stock	
¥49,048 million
	 Acquisition price	
	
¥49,048 million
(ii) Details of Allotment in the Share Exchange
The Company 
(Wholly Owning Parent Company)
Alpine 
(Wholly Owned Subsidiary)
Details of allotment in the 
Share Exchange 
(the “Share Exchange Ratio”)
1
0.68
Number of shares to be 
delivered in the Share 
Exchange
The Company’s Common Shares: 22,973,364 shares 
(The Company delivered 1,900,000 shares of its 
treasury stock for the allotment of shares through the 
Share Exchange.)
(iii) Method for the calculation of the Share Exchange Ratio
In order to ensure fairness and reasonableness of the calculation 
of the Share Exchange Ratio used in the Share Exchange, each 
of the Company and Alpine decided to separately request an 
independent third-party financial advisor to analyze the Share 
Exchange Ratio. The Company appointed Nomura Securities 
Co., Ltd. and Alpine appointed SMBC Nikko Securities Inc. 
respectively, as independent third-party financial advisors.
Based on the results of due diligence that the Companies 
conducted on each other as well as calculation reports on the 
share exchange ratio provided by their third-party financial 
advisors, the Company and Alpine carefully negotiated and 
discussed the Share Exchange Ratio comprehensively taking 
into account factors such as the financial conditions, condition 
of assets, future prospects and other factors. As a result, the 
Companies determined that the Share Exchange Ratio is appro-
priate and would serve the interests of their shareholders and, at 
the meetings of the board of directors of the Companies, the 
Companies resolved to execute the Share Exchange Agreement, 
which sets forth the Share Exchange Ratio.
(3) Overview of accounting treatment
It accounted for as a transaction under common control in 
accordance with “Accounting Standard for Business 
Combinations” (Accounting Standards Board of Japan Statement 
No. 21, September 13, 2013) and “Implementation Guidance on 
Accounting Standard for Business Combinations and Accounting 
Standard for Business Divestitures” (Accounting Standards 
Board of Japan Guidance No. 10, September 13, 2013).
(4) Matters concerning a change in the Company’s equity 
under a transaction with non-controlling interests
(i) Main reason for a change in capital surplus 
Acquisition of additional shares of subsidiary
(ii) Increase in capital surplus due to a transaction with 
non-controlling interests 
¥70,515 million
Note: Alpine received requests for share buybacks from certain shareholders of 
Alpine pursuant to Article 785, paragraph (1) of the Companies Act. As the 
parties have not agreed on the purchase price, the amount noted above was 
determined as if the shares were purchased at fair value determined based on 
reasonable available information.
24. PER SHARE INFORMATION
Per share information as of and for the years ended March 31, 2019 and 2018 is as follows:
 yen
U.S. dollars
2019
2018
2019
Net assets per share 
¥1,731.36 
¥1,537.37
$15.60
Net income attributable to owners of parent per share
	
Basic
110.19
241.91
0.99
	
Diluted 
110.14
241.82
0.99
Basis for calculation of net assets per share is as follows:
Millions of yen,  
except share data 
Thousands of 
U.S. dollars, 
except share data
2019
2018
2019
Total net assets 
¥395,360
¥415,872
$3,562,123
Amounts deducted from total net assets:
30,014
114,695
270,421
	
Subscription rights 
361
333
3,253
	
Non-controlling interests 
29,652
114,362
267,159
Net assets attributable to common stock 
365,346
301,176
3,291,702
Number of common stock used in calculation of net assets per 
share (Thousand shares)
211,016
195,904
211,016
Basis for calculation of net income attributable to owners of parent per share is as follows:
Millions of yen,  
except share data 
Thousands of 
U.S. dollars, 
except share data
2019
2018
2019
Basis for calculation of net income attributable to owners of 
parent per share 
Net income attributable to owners of parent
¥  22,114 
¥  47,390
$199,243 
Amounts not attributable to common stock 
—
—
—
Net income attributable to owners of parent regarding 
common stock
22,114
47,390
199,243
Average number of shares outstanding during the year 
(Thousand shares)
200,694
195,904
200,694
Adjustments to net income attributable to owners of parent 
in calculating diluted net income per share:
—
—
—
Increase in number of shares of common stock (Thousand shares): 
94
73
94
Stock subscription rights 
94
73
94
Description of dilutive securities which were not included in the 
calculation of diluted net income per share of common stock as 
they have no dilutive effects
—
—
—
82
83
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Millions of  yen
Reportable segments
Other
(Note 1)
Total
Adjustments
(Note 2)
Consolidated
(Note 3)
Year ended March 31, 2019
Electronic
components
Automotive
Infotainment
Logistics
Total
Net sales
External customers
 ¥468,605 
 ¥303,593 
 ¥  66,888 
 ¥839,087 
 ¥12,244 
 ¥851,332 
¥           —
 ¥851,332 
Inter-segment sales and transfers
15,663 
7,576 
38,031 
61,271 
14,993 
76,265 
(76,265)
—
Total
484,269 
311,170 
104,919 
900,359 
27,238 
927,597 
(76,265)
851,332 
Segment income
29,607 
13,921 
4,722 
48,250 
1,430 
49,681 
(39)
49,641 
Segment assets
473,866 
218,143 
75,603 
767,614 
44,057 
811,672 
(135,955)
675,717 
Segment liabilities
198,580 
79,632 
25,082 
303,295 
37,818 
341,114 
(60,758)
280,356 
Other items
Depreciation
33,995 
7,412 
2,287 
43,695 
455 
44,150 
37 
44,188 
Increase in tangible and intangible 
fixed assets
33,210 
13,597 
5,533 
52,341 
562 
52,903 
24 
52,928 
Millions of  yen
Reportable segments
Other
(Note 1)
Total
Adjustments
(Note 2)
Consolidated
(Note 3)
Year ended March 31, 2018
Electronic
components
Automotive
Infotainment
Logistics
Total
Net sales
External customers
 ¥514,031 
 ¥267,638 
 ¥  64,666 
 ¥846,336 
 ¥11,981 
 ¥858,317 
¥         —
 ¥858,317 
Inter-segment sales and transfers
13,860 
7,643 
40,306 
61,810 
14,174 
75,985 
(75,985)
—
Total
527,892 
275,281 
104,972 
908,146 
26,155 
934,302 
(75,985)
858,317 
Segment income
52,929 
13,735 
4,932 
71,597 
1,701 
73,299 
(1,391)
71,907 
Segment assets (Note 4)
413,678 
217,405 
76,137 
707,221 
38,688 
745,910 
(76,035)
669,874 
Segment liabilities (Note 4)
180,039 
61,720 
26,807 
268,567 
32,024 
300,592 
(46,590)
254,001 
Other items
Depreciation
26,307 
7,034 
2,183 
35,526 
453 
35,979 
25 
36,004 
Increase in tangible and intangible fixed 
assets
61,235 
8,611 
5,584 
75,431 
662 
76,093 
60 
76,154 
25. SEGMENT INFORMATION
Business segments
The operating segments of the Company are components for which discrete financial information is available and whose operating 
results are regularly reviewed by the Board of Directors to make decisions about resource allocation and assess performance.
The Company organizes group companies based on products and services and implements business activities based on its 
comprehensive strategies.
The reportable segments are classified by products and services taking into account the commonality of the types of products and 
markets. The three reportable segments of the Companies are “Electronic components,” “Automotive Infotainment,” and “Logistics”.
The “Electronic components” business involves the development, manufacturing and marketing of a variety of electronic components. 
The “Automotive Infotainment” business involves the development, manufacturing, and marketing of audio, information and communication 
equipment. The “Logistics” business involves the provision of transportation, storage and forwarding services.
The accounting policies of the segments are substantially the same as those described in Note 2. SUMMARY OF SIGNIFICANT 
ACCOUNTING POLICIES.
Segment income of the reportable segments is based on operating income. Inter-segment sales and transfers are determined on the 
basis of actual transactions.
Reportable segment information of the Company for the years ended March 31, 2019 and 2018 is summarized as follows:
Thousands of U.S. dollars
Reportable segments
Other
(Note 1)
Total
Adjustments
(Note 2)
Consolidated
(Note 3)
Year ended March 31, 2019
Electronic
components
Automotive
Infotainment
Logistics
Total
Net sales
External customers
 $4,222,047 
 $2,735,318 
 $602,649 
 $7,560,023 
 $110,316 
 $7,670,349 
 $             —
 $7,670,349 
Inter-segment sales and transfers
141,121 
68,258 
342,652 
552,041 
135,084 
687,134 
(687,134)
— 
Total
4,363,177 
2,803,586 
945,301 
8,112,073 
245,409 
8,357,483 
(687,134)
7,670,349 
Segment income
266,754 
125,426 
42,544 
434,724 
12,884 
447,617 
(351)
447,257 
Segment assets
4,269,448 
1,965,429 
681,169 
6,916,065 
396,946 
7,313,019 
(1,224,930)
6,088,089 
Segment liabilities
1,789,170 
717,470 
225,984 
2,732,634 
340,733 
3,073,376 
(547,419)
2,525,957 
Other items
Depreciation
306,289 
66,781 
20,605 
393,684 
4,099 
397,784 
333 
398,126 
Increase in tangible and intangible fixed 
assets
299,216 
122,507 
49,851 
471,583 
5,064 
476,647 
216 
476,872 
Notes:
1. “Other” includes business segments not included in the reportable segments, and includes the development of information systems, office services, financial and leasing businesses.
2. “Adjustments” of segment income, segments assets, and liabilities include the reconciliations relating to reclassifications due to consolidation and elimination of inter-segment 
profit and loss.
3. Segment income is reconciled with operating income in the consolidated financial statements.
4. “Partial Amendments to Accounting Standard for Tax Effect Accounting” (Accounting Standards Board of Japan Statement No. 28, February 16, 2018) has been applied from the 
beginning of the fiscal year ended March 31, 2019. Financial position figures are those after applicable retrospective adjustments.
Related information
1.Geographical information
(1) Net sales
Millions of  yen
Year ended March 31, 2019
China
Japan
America
Germany
Other
Total
¥167,809 
¥158,237 
¥136,435 
¥80,659 
¥308,190 
¥851,332 
Millions of  yen
Year ended March 31, 2018
Japan
China
America
Germany
Other
Total
¥156,461 
¥155,371 
¥135,482 
¥83,732 
¥327,269 
¥858,317 
Thousands of U.S. dollars
Year ended March 31, 2019
China
Japan
America
Germany
Other
Total
$1,511,929 
$1,425,687 
$1,229,255 
$726,723 
$2,776,737 
$7,670,349 
Note: Net sales information above is based on customer location.
84
85
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

(2) Property, plant and equipment
Millions of  yen
As of March 31, 2019
Japan
China
Other
Total
¥112,858 
¥38,404 
¥36,382 
¥187,646 
Millions of  yen
As of March 31, 2018
Japan
China
Other
Total
¥109,142 
¥44,046 
¥32,702 
¥185,891 
Thousands of U.S. dollars
As of March 31, 2019
Japan
China
Other
Total
$1,016,830 
$346,013 
$327,795 
$1,690,657 
2. Information on major customers
This information is not required to be disclosed because net sales to any customer were less than 10% of the net sales on the 
consolidated statements of income and comprehensive income for the years ended March 31, 2019 and 2018.
Impairment loss on property, plant and equipment by reportable segment	
Impairment loss on property, plant and equipment by reportable segment for the years ended March 31, 2019 and 2018 was 
summarized as follows:
Millions of  yen
Year ended March 31, 2019
Electronic 
components
Automotive 
Infotainment
Logistics
Other
Eliminations
Total
 ¥1,583 
 ¥— 
 ¥255 
 ¥— 
 ¥— 
 ¥ 1,839 
Notes: “Other” includes financial, leasing and servicing businesses.
Millions of  yen
Year ended March 31, 2018
Electronic 
components
Automotive 
Infotainment
Logistics
Other
Eliminations
Total
 ¥0 
 ¥275 
 ¥—
 ¥—
 ¥— 
 ¥ 275 
Notes: “Other” includes financial, leasing and servicing businesses.
Thousands of U.S. dollars
Year ended March 31, 2019
Electronic 
components
Automotive 
Infotainment
Logistics
Other
Eliminations
Total
 $14,263 
 $— 
 $2,298 
 $—
 $—
 $16,569 
Amortization and balance of goodwill by reportable segment
As the amounts are immaterial, the related disclosure is omitted.
Gain on negative goodwill by reportable segment
There was no gain on negative goodwill for the years ended March 31, 2019 and 2018.
86
87
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

● Sales
● R&D
● Production
Notes: 	1. “Others” refers to shares held by Alps Alpine Co., Ltd. and unclaimed 
shares stored by the Japan Securities Depository Center, Inc.
	
2. “Individual investors” refers to shares held by individuals and Alps Alpine’s 
employee shareholding association.
	
3. As a result of the share exchange conducted on January 1, 2019, the total 
number of outstanding shares increased 21,073,364.
Corporations
3.4%
Securities 
Companies
4.8%
Foreign Investors
39.8%
Individual Investors
11.7%
Financial  
Institutions
36.6%
Others
3.7%
Stock Information (As of March 31, 2019)
No. of Authorized Shares 	 500,000,000
No. of Issued Shares 	
219,281,450 
	
(including 8,264,481 
treasury stock)
No. of Shareholders 	
40,296
Stock Listing	
Tokyo Stock Exchange First 
Section (Code: 6770)
Share Registrar 	
Mitsubishi UFJ Trust and Banking 
Corporation
Breakdown of Shareholders
Top 10 Shareholders
Name
No. of shares (thousand)
Shareholding ratio (%)
The Master Trust Bank of Japan, Ltd. (Trust account)
	
29,723
	
14.08
UBS AG LONDON A/C IPB SEGREGATED CLIENT ACCOUNT
	
16,158
	
7.65
Japan Trustee Services Bank, Ltd. (Trust account)
	
15,593
	
7.38
JP MORGAN CHASE BANK 385151
	
6,372
	
3.01
BNYM SA/NV FOR BNYM FOR BNY GCM CLIENT ACCOUNTS M LSCB RD
	
6,024
	
2.85
J.P. MORGAN BANK LUXEMBOURG S.A. 1300000
	
4,939
	
2.34
Japan Trustee Services Bank, Ltd. (Trust account 5)
	
4,084
	
1.93
Trust & Custody Services Bank, Ltd. (Securities investment trust account)
	
3,688
	
1.74
Mitsui Life Insurance Company Limited
	
3,591
	
1.70
STATE STREET BANK WEST CLIENT-TREATY 505234
	
3,459
	
1.63
Note: The shareholding ratio is calculated after deducting treasury stock (8,264,481).
Share Price and Trading Volume

(Thousands of shares)
240,000
120,000
480,000
360,000
200
100
400
300
0
0
’14 
Apr.
Jul.
Oct.
Jul.
Apr.
Oct.
Jul.
Apr.
Oct.
Jul.
Apr.
Oct.
Jul.
Apr.
Oct.
Mar.
’15 
Jan.
’16 
Jan.
’17 
Jan.
’18 
Jan.
’19 
Jan.
 Alps Alpine share price (left)  
 Nikkei average (left)  
 Trading volume (right)
(Yen)
Fiscal 2014
Fiscal 2015
Fiscal 2016
Fiscal 2017
Fiscal 2018
High
	
3,135
	
4,205
	
3,600
	
3,845
	
3,390
Low
	
1,061
	
1,647
	
1,621
	
2,506
	
1,949
Price at fiscal year-end
	
2,903
	
1,962
	
3,155
	
2,608
	
2,310
Note: The closing price on April 30, 2014 equals 100.
Corporate Data (As of March 31, 2019)
Company Name	
Alps Alpine Co., Ltd.
Headquarters	
1-7, Yukigaya-otsukamachi, Ota-ku, Tokyo 
	
145-8501, Japan
	
TEL: +81-3-3726-1211
Website	
https://www.alpsalpine.com/e/
Representative	
Toshihiro Kuriyama, Representative Director,  
President & CEO
Established 	
November 1, 1948
Capital Stock 	
¥38.730 billion
Employees 	
41,840 (consolidated) 
	
  Electronic Components Segment (worldwide): 21,468 
	
  Automotive Infotainment Segment (worldwide): 13,192 
Facilities	
R&D 	
 Japan: 11 
Overseas: 15 (6 countries)
	
Production 	
 Japan: 9 
Overseas: 20 (11 countries)
	
Sales 	
 Japan: 20 
Overseas: 63 (22 countries)
Global Structure
219,281,450 
shares issued
88
89
Integrated Report 2019
ALPS ALPINE CO., LTD.
Message to  
Our Stakeholders
Introduction
Value Creation  
at Alps Alpine
Business Integration Synergies 
in the Value Chain
Alps Alpine’s  
Growth Strategy
ESG Initiatives
Financial Section
Corporate Data /  
Stock Information

Inquiries about this report:
Corporate Planning Office
Alps Alpine Co., Ltd.
1-7, Yukigaya-otsukamachi, Ota-ku, Tokyo 145-8501, Japan
TEL: +81-3-3726-1211
Website: https://www.alpsalpine.com/e/