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Latest Update : Aug.26, 2022

Back to Financial Results (FY3/2023)

Investor Meeting Presentation for 1Q FY 3/2023 held on August 5, 2022

Table of Contents

First of all, our ball bearing business is in very good shape. I have been told that sales of bearings for automotive applications grew about 14% last year and should increase by over 19% this year. Although the growth in automobile production is slowing, the number of bearings used per vehicle is increasing, and we believe that our market share is quickly rising. I think this is a stamp of approval from the automotive industry for our ability to always supply outstanding products.

While some have expressed concern about the slowdown in the data center market, the bottom line is that our bearings sales figures have not declined one bit. According to statistics on investments in property, plant and equipment in China this year, investments in real estate have indeed declined, but data communications investments are reported to have grown by about 20% in the first half of the current fiscal year. There is really nothing to worry about since we will be selling large quantities of fan motors and bearings as investments in data centers grow in China and elsewhere.

We've also seen a recovery in the aircraft industry, especially for Airbus.
While we expect to see some ups and downs this year, we believe the machined components business will remain strong and generate more than 50 billion yen in operating income. We've already made investments to increase production capacity for ball bearings by 5 million units, taking us from 365 million units to 370 million units. I believe that we can achieve an operating income of 60 billion yen, which is one of our goals for machined components, in a year or two.

20page (total 53pages)

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