Presentation Transcripts

While we were unable to update our medium-term plan last year due to the cloudy outlook, this year we've revised it as shown here.

Profit drivers for the next fiscal year will include, first of all, aircraft parts whose sales will start bouncing back in the second fiscal half. Then various new businesses, such as stealth products, will come in to the picture as they do every year. Thirdly, bearings, motors, analog semiconductors, and OISs, which we call the "three spears plus one," will continue to grow, all of which will bring net sales up to more than 100 billion yen.

I noted earlier that we have the capability to generate 100 billion yen in operating income. The machined components business will see a 10-billion-yen increase on a quarterly basis even if sales to the aviation industry don't recover, and will generate 52 billion yen once the aviation slump is over. The electronic devices and components business will generate 25 billion yen despite declining LED backlight sales. Last fiscal year Mitsumi analog semiconductor operating income topped 10 billion yen, so we can expect them to bring in 15 billion yen this fiscal year, and when combined with OIS, game, and other products, its overall operating income should total 30 billion yen. If you add 8 billion yen from U-Shin and subtract adjustments totaling 15 billion yen, the total comes to 100 billion yen.

If you add in stress factors, such as aviation-related factors and the downturn in production due to the shortage of parts, just as we did last year, you should get the figure for this fiscal year. At the moment, the exchange rate is favorable and there has been strong interest in our products, so we expect it to be on the high side this fiscal year.