Olympus 2013 Annual Report Download - page 22

40 OLYMPUS Annual Report 2013 41OLYMPUS Annual Report 2013
Review of Business Segments
Fiscal 2013 Business Results and Activities
In the life science fi eld, we introduced the new FV1200 and
FV1200MPE into our lineup of FLUOVIEW laser scanning
microscopes, which are used to conduct advanced life
science research. The industrial fi eld, meanwhile, saw the
launch of the IPLEX TX, the world’s thinnest industrial
articulating videoscope with a tip diameter of 2.4mm. Also in
the industrial fi eld, sales were strong of the 45MG ultrasonic
thickness gage. Regardless of these efforts, overall net sales
were down in the Life Science & Industrial Business due to
the impacts of limited capital expenditure and budget delays
among public research institutions stemming from the global
economic recession.
In fi scal 2013, we took steps to improve operational
effi ciency and rationalize production sites through such
means as closing a plant in the Philippines and consolidating
sites in Nagano Prefecture, in Japan. However, these efforts
were unable to absorb the impacts of the lower net sales,
and operating income decreased in the Life Science &
Industrial Business accordingly.
Business Environment and Projections
Starting in the fourth quarter of fi scal 2013, we began seeing
improvement in the business environment on the back of a
recovery trend in capital expenditure. This recovery was
stimulated by an upward turn in global economic conditions
and the depreciation of the yen, a result of the economic
stimulus measures instituted by the new government
administration in Japan. In response to the improved
business environment, we will work to address recovering
demand through the introduction of new products in hopes
of expanding our market share.
The biological research market is projected to expand
following the acceleration of research targeting the practical
application of induced pluripotent stem cells (iPS cells) and
the infl uences of the BRAIN Initiative in the United States.
Challenges and Business Strategies
Initiatives will be accelerated in the life science fi eld with the
aim of maximizing the benefi ts of the production structure
reforms advanced in fi scal 2013, and we will establish a
revenue base that is responsive to changes in the business
environment. At the same time, we will promote sales of
high-margin, high-value-added products to enhance
profi tability. In the industrial fi eld, the competitive position
Olympus has established in current areas of operation will be
leveraged to drive expansion into new fi elds. By introducing
new products into new fi elds, we will increase the scale of
our earnings.
TOPICS
Launch of Laser Scanning Microscopes Allowing for High-Resolution,
3D Cell Observation
A common research technique in the life sciences is the use of live cells to elucidate
the role and function of proteins or nerves and to search for these applications in the
drug discovery or other new fi elds. Laser scanning microscopes are frequently used
to conduct research in this fi eld for their capabilities to produce 3D images of
detailed cell structures. This is because they can obtain depth-direction information
diffi cult to acquire using a conventional microscope. Our FLUOVIEW series of laser
scanning microscopes employ the Company’s optical technologies to provide 3D
images with high contrast.
In fi scal 2013, Olympus introduced two new additions to its FLUOVIEW series:
the FLUOVIEW FV1200 biological laser confocal scanning microscope and the
FLUOVIEW FV1200MPE multi photon laser scanning microscope. These
microscopes feature superior rigidity and ease of use, higher sensitivity, and lower
noise when compared with other models, and they have also been adapted to meet
researchers’ needs stemming from greater diversity of research subjects and longer
observation periods. These new microscopes represent Olympus technology that is
supporting iPS cell and other advanced life science research.
LIFE SCIENCE &
INDUSTRIAL
BUSINESS
0
30
60
90
120
44.5
56.3
42.7
49.8
38.9
46.6
45.8
54.2
2011/3 2012/3 2013/3 2014/3
(Forecast)
5.4
6
3.5
4
8.6
7.0
7
2011/3 2012/3 2013/3 2014/3
(Forecast)
8
0
4
8
12
16
0
3
6
9
12
(%)
FLUOVIEW FV1200MPE multi photon laser
scanning microscope
Proactive Expansion of the Product Portfolio
Energy
Aviation and transportation
Metals and manufacturing
Research and
pathological diagnosis
Resources and recycling
Microscopes
Technology/Product
Customer Bases
Endoscopes Ultrasound X-ray analysis
We will effectively expand business fields based on the needs of customers and technologies/products by leveraging the
Olympus Group’s global infrastructure.
Development of new markets
in new industries
Sales expansion by entering
untapped industries
Development of new business
 elds through the acquisition of
new technologies and products
Development of new markets in
new industries
Development of new business
fields through acquisition of new
technologies and products
Shinichi Nishigaki
President,
Life Science &
Industrial Group
Message from the Group President
We will contribute to society by leveraging the strengths of our technology development
capabilities and high market share to respond to a diverse range of needs.
In the life science  eld, the Company is advancing structural production reforms in pursuit of higher pro tability. At the
same time, new business areas are being proactively explored in the industrial  eld. Looking ahead, we will strengthen
sales of new products in conjunction with the recovery of business conditions as we target a higher market share.
Net Sales
(¥ Billion)
Operating Income / Operating Margin
(¥ Billion)
Operating income (left) Operating margin (right) Life science Industrial
FLUOVIEW FV1200 biological laser
confocal scanning microscope