1Financial Results Briefing
for FY2019
The 96th period（Apr. 1st, 2019-Mar. 31, 2020)

May 20, 2020

Contents

１．Financial Results for FY2019
２．Approaches for the NewCoronavirus
3. Approaches for Mid-to-Long Term

Caution in handling this document
Future forecasts, including this document, were judged according to the current information. Actual financial
results might be considerably different from the forecast mentioned here depending on the Japanese orinternational economic situation, business trends related to our company, and any risk or indefinite factors
involved in fluctuation of exchange rates.

23An Outline of Our Business and Main Products
Founded in 1930, Ranked as ”A-Stable”,
8 Plants in Japan, 18 Companies in 8 Countries
Stamping & Molding Products BusinessWe manufacture stamping products, which have the molding
technology of ultra-high-tensile material that achieves bothweight reduction and high rigidity, and resin products, which
provide a variety of products with film decoration technology
and NV performance control technology. [USA・China・Taiwan・Thailand]

Front PillarLower

Valve Products Business

It consists of valve products that have multiple top share productsin the world, TPMS products for tire pressure monitoring systems
that are in increasing demand worldwide, and forging products. We
also manufacture valves for the aircraft, industrial machinery andenergy industries. [USA・France・Belgium・UK・China・Taiwan・
S-Korea・Thailand]

Tire Valve Related

Hybrid Battery
Case
Valve Core

Tubeless
Valve

TPMS
TransmitterFood Hinge

Car Air Conditioner Related

Charge ValveEngine CoverSpline Plate
For PHV

Oil PanWheel CapCap Center Ornament

Relief valve

Compressor Parts

Parts for other than Automobiles

Fuel Valves

Valves forAircrafts

IndustrialValves4１．Financial Results for FY2019
２．Approaches for the NewCoronavirus
3. Approaches for Mid-to-Long Term

25

第２Ｑ 連結業績
1-1 ２-１
Consolidated
Results
Sales and Operating Income increased（Record high）,
Parent company net income decreased due to extraordinary
losses, Forecast for FY2020 is undecided［million yen］

2019
2018
RecordJan,2020
Announced

Results

145,030

160,000

Record10,307

10,000Record11,767

Consolidated/No
n-consolidated

Year-on-year rate

Announced Figure Level

Gain&Loss%change

Gain&Loss%change

165,969

1.8

20,939

14.4%

5,969

3.7%

10,511

2.0

204

2.0%

511

5.1%11,000

11,1301.5△637

△5.4%

130

1.2%

8,730

8,000

7,256

1.8

△1,473△16.9%

△744

△9.3%

Operating Profit Margin

7.1%

6.3%

6.3%

△0.8%

0.0%

ＲＯＥ

9.3%

―

7.5%

△1.8%

―

ＲＯＡ

5.7%

―

5.2%

△0.5%

―

1,590

―

1,614

24―

Sales
Operating Income
Ordinary Income※1 Parent Company
Current Net Income

HighRecord
High
RecordHigh

RecordHigh(Operating Income Base)Net Assts per Share（yen）

HighHigh※ 1.It is the abbreviation of the official name: Net Income attributable to parent companay shareholders.

1-2 Consolidated Sales & Profit Increase/Decrease Factors

6Sales Expansion of New Products and Increase in Sales Volume
Contributed Significantly to the Increase in Sales and Profits
Operating Income+0.2 billion yen【営業利益】

Ordinary Income△0.6 billion yen

Current term net profit△1.5 billion yen【経常利益】（億円）【親会社株主に帰属する

111

当期純利益】（億円）

105 117 +2

103+21△20+57△18償却費（型以外）増
18年度

為替
△11差
経△10 損費 販
材 △4増 売料価 価格 格

△13労務費増拡販・販売物量増

原価改善営業利益増△8△3 +3為替差損持 そ分 の法 他
投資利益減

19年度

18年度

19年度（億円）

87 △6経常利益減

18年度△13△1減
損
損
失その他

+6 72

法人税等減

19年度

7

1-3 Consolidated Segments Sales for FY2019
Sales by Business
OthersValve（ One hundredmillion yen ）2Asia（ One hundredmillion yen ）

292

518
31％

Sales by Region

18％

Japan

1,659

Stamping&Molding

1,138
69％
【Stamping & Molding】 Stamping & molding
products for automobiles【Valve】Tire valves, air conditioning valves, TPMS
【Others】 Information, services

1,659
Europe andAmerica

777
47％

589
35％【Japan】 Chubu, Kyushu, and Tohoku【Europe and America】 U.S. France, Belgium【Asia】 Taiwan, S. Korea, Thailand, China

1-４ Business Segment：Stamping & Molding Business
Sales Increased Due to New Product Sales,
Profit Decreased Due to the Increase in Depreciation, etc.

Operating IncomeSales（One hundredmillion yen）

6%
4%
1,138 2%（+133） 0%

1,200

1,000

2.4%

3.6%

2.5%

4.3% 3.4%

1,004（+172）

800

50832
744600（One hundredmillion yen）

40708

42.7（+22.3） 38.7（△4.0）

30400

25.4

20200

1000'15'16'17'18'19

20.4

17.6

'15

'16

'17'18'198

91-５ Business Segment：Valve Business
Sales & Profit Increased Due to the Full Year Consolidationof Schrader U.S. and France

Sales（One hundredmillion yen）

25%

500

518（+75）442

400

300（+99）

320

326

20%

19.1%

18.8% 17.3%
13.6% 12.7%

15%

10%

70
60

342

Operating Income（One hundredmillion yen）

61.1

61.2

65.7
60.0 （+5.7）
59.4（+0.5）'15'16

'1750
40

200

30
20

100

1000'15'16'17'18'19'18'19

101-６ Regional Segment: Japan
Sales Increased. Profit Decreased Due to the Increase in
Depreciation and Exchange Loss etc.

Sales

(One hundredmillion yen）

Operating Income

80015%10%

777 5%700709

600
500630557

9.8% 9.3% 8.9% 8.0%
6.8%（+68）

0%（+78）

60

577

50400

(One hundredmillion yen）

54.6

53.9

55.8

'15

'16'1740300

56.8（+0.9） 53.0（△3.7）

30

200

20

100

1000'15'16'17'18'19'18'19

111-７

Regional Segment: Europe and America

Sales & Profit Increased Due to the Full Year Consolidationof Schrader U.S. and France（ One hundred
million yen ）Sales

Operating Income
10%600
589（+147）500

7.5% 4.8%
4.4% 3.7%0%
25

442

400

5%

4.2%

（ One hundredmillion yen ）（+152）

20300
290

273

22.0

17.8

15237

200

10100

19.3 （+2.7）（+5.4）

13.8
11.5

5

0

0
'15

'16

'17'18'19'15

'16

'17

'18

'19

12

1-８ Regional Segment: Asia
Profit Slightly Increased Despite a Decrease in Sales
Due to Exchange Rate Differences（ One hundred
million yen ）Sales

Operating Income
15%

300

298 292（+41）（△6）

250257
237

200

10%

5%

7.7% 8.1%
2.8%0%25221

3.5%

5.9%

（ One hundred
million yen ）

23.1

20

23.5（+15.8）（+0.4）

150

15
100

12.9

1050

50'15

'16

'17

'18

'19

8.4

7.2

0'15

'16

'17

'18

'19

1-９ Consolidated Capital Investment/Depreciation
Increased Depreciation Due to Strategic Capital Investment（ One hundred
million yen ）≪Capital Investment≫

250

234.5
208.3

200

33.8

219.7
47.8

166.3
31.0

150
119.8
100

27.6

61.3

73.5
0

'15

21.3

Europe &America

49.3

Japan

163.8

89.9

141.9

140

60

'18

80.0
23.7

84.1
22.2

24.1

'190

24.7

23.933.4
25.9

13.1

9.6

40

113.1 112.4'1799.1

10.0

20'16

127.0

120

80

45.2

≪ Depreciation ≫160100

59.4

18.7
50Asia（ One hundredmillion yen ）

46.2

52.2

'15'16

61.8

'17

77.1

83.7

'18'1913

1-10 Strategic Capital Investment

14

Promoted Strategic Investment such as Ultra High Tensile, TPMS etc.

≪ Capital Investment ≫(Annual)（ One hundredmillion yen)

250

208.3

219.7
32.3

200

234.5
Valve

34.1

■ Valve Business
Extending TPMS Line（USA・CN）
SCHRADER Synergy Investment（USA・FR）

55.2

Strengthening Forging Competence（JPN）

150

Stamping &Molding

100≪Main Items≫

188.0

200.7

Strengthening Aluminum Die-Casting
Competence（KOR）■ Stamping & Molding Business
A Large-class Press for Cold ultra High Tensile

153.4（JPN・USA・CHN・TWN・THA）

50

Hot Stamping（JPN・USA）
and Other Investment for new Products

0'17'18'19

1-11 Consolidated Cash Flow
3 Billion yen Decreased in Free Cash Flow
（100millionyen）

15

1-12 Returns for Stockholders
A dividend payout ratio increased（Undecided for FY2020）■Annual Dividend
FY2019 plan Annual：30yen（Mid-term：16yen
FY2020 plan UndecidedTerm end：14yen）

16

1-1317＜Reference＞Individual Results［million yen］

2019
2018
Record
過去

7.6%

6,146

5,212

△934

△15.2%

7,871

7,370

△501

△6.4%

5,895

4,038

△1,856△31.5%

3330△3△9.1%

7.4%

5.8%

△1.6%

ＲＯＥ

8.3%

5.5%

△2.8%

ＲＯＡ

4.5%

3.4%

△1.1%

1,191

1,208

16

Operating Income

RecordOrdinary Income

RecordHighHigh

RecordCurrent Net IncomeHigh
Dividend（per share）
OperatingProfit

Margin(Operating Income Base)Net Assts per Share （円）

16.5%

1,200

8.4%

4.8%

800600400

Record High≪Sales & Sales Growth Rate≫1,400
1,000%change

6,338

High
最高

83,562

Gain&Loss

89,901

Sales

100 million yen

Year-on-year rate

Results

717

661

20%
7.6%

835

899

10%

'16'17Slaes'18'19
Sales Growth Rate

8.1%

≪Operating Income & Operating Income Ratio≫

8.1%

80

40-10%

20-20%

010%
7.4%

8%
5.8%

600%

200
0

100 million yen
100

53.6

58.3

61.4

52.1

6%
4%
2%
0%

'16'17

Operating Income'18'19

Operating Income Ratio

18

１．Financial Results for FY2019

２．Approaches for the NewCoronavirus

3. Approaches for Mid-to-Long Term

2-1 Countermeasures Against the New Coronavirus

Gaining a Solid Foothold GLOCALly byPreventing Being Infected and Maintaining
Our Production System as a Top Priority■Preventing being infected
・Carrying out health management foremployees and their families in Japan andoverseas

・Implementing countermeasures to avoid 3C’s
■ Maintaining employment & supply chain
・Maintaining employment by making use ofleave system and public funds
・Communicating with suppliers■Production system adapted to changes
・Global mutual complement and reducing supply risk
・Simulation assuming the onset of COVID-1919

2-2 Countermeasures against the new coronavirus
Gaining a Solid Foothold GLOCALly by Preventing Being Infectedand Maintaining Our Production System as a Top Priority■Taking future fund management into account・Fund management by a whole group・Setting a commitment line with banks■Cooperate with employees, their families, andlocal community GLOCALly
・Close cooperation with the government
・Formulate and thoroughly establish internal action
guidelines and deepening the ties

20

21

１．Financial Results for FY2019

２．Approaches for the New
Coronavirus

3. Approaches for Mid-to-Long Term

3-1 Strategy from Short-Term Measures to Mid-to-Long termAcceleration & Prioritization■Cost reduction & Streamline■Business structure reform■Manufacturing is aboutdeveloping people223-2 Efforts in Stamping & Molding Business
Strengthening Molding Techniques andStructural Analysis Technology To a Higher Grade■Expanding the forming area ofweight reduction technology
・Developed cold forming and mass producing techniques for 1470MPamaterials
・Expansion of hot stamping forming techniques
・Expansion of the utilization of Aluminum Friction Stir Welding (FSW)(※)FSW：Friction Stir Welding

・Reducing the weight of resin parts around the engine■Developing of crash analysis technology
・Built a crash analysis model in the state of assembling・Optimum structure & cost reduction23

3-3 Efforts in Valve Business

24
22

Creating Synergy with Schrader and Diversifying Technologies■Synergy activities
・Production：Sharing a cost reduction thoroughly
・Development：Accelerating development of new products
・Sales：Building business foundation by expanding
sales channels■Forge stamping: Composite
technology to increase strength and reduce weight・Developed a new method combining sheet metal forming and cold forging■Die casting: Weight reduction and developmentof the variable product type・Built an integrated manufacturing system for compressor parts3-4 Function development by deepening core technology

25

Deepened Functions and Their Application■Deepening TPMS technology
・Next generation function and productdevelopment
・Application of sensing and wireless technology
・Load / Wear / Road surface detection
etc.

■Resin: Application of Soundproofing &anti-vibration technologies
Boomingnoise

HighLowMid・Deepening NVH technology
・EV motor noise andRoad noise

noise regulation in EuropeEngine
transmission
soundsWind noise

Tire pattern noise
Gearnoise

Brake noise

Human audible range(※)NVH Performance：It is a performance that reduces Noise, Vibration and Harshness

3-5 Effort for Utilizing IoT & AI
Utilizing Big data

■Prediction system forequipment and dies・Analyzing load, deflection, vibration etc. by AI
・Predicting failure and production defects
Prediction System for Dies

■Introducing image
inspection system
・Automating and inlining visual inspection
・Utilizing inspection data (big data) for
structural analysis

Image Inspection26

3-6 Towards Mid-to-Long term

Brand Slogan

・Aim to sustainable growth・Manufacturing is aboutdeveloping people

・Sharing with stakeholders

27