Omron 2014 Annual Report Download - page 25

46 Omron Corporation Integrated Report 2014 47
■ Past Performance and Forecast
Ever-growing emerging markets
Business Strategy and Outlook for Fiscal 2014
We will transform into a value-creating company and strengthen our management platform.
■ Breakdown of Sales by Product Line (Fiscal 2013)
In fiscal 2013, growth was notable in China.
See notes on page 38.
24%
Switches
(Power Window Switches
and Power Seat Switches)
24%
Motor Controls
(Electric Power Steering Controllers
and Power Slide Door Controllers)
■ Worldwide Automobile
Production (unit basis)
7
6
5
4
3
2
1
0
Q1Q2Q3Q4Q1Q2Q3Q4
FY2012 FY2013
Middle
East, Africa
South
America
Asia
Japan
China
North
America
EU
Millions
52%
Other
(Passive Entry / Push Engine
Start Systems and Keyless
Entry Systems)
(Billions of yen)
FY2010 FY2011 FY2012 FY2013 FY2014
(Forecast)
Net sales 84.3 85.0 97.6126.6128.5
Japan 28.4 28.9 30.228.425.0
Overseas 55.9 56.1 67.498.2103.5
Americas 23.9 21.5 25.033.337.5
Europe 2.6 2.4 2.83.33.5
Asia Pacific 14.2 16.2 19.529.228.5
Greater China 9.1 9.5 13.925.427.0
Direct exports 6.2 6.5 6.27.27.0
Operating income 4.2 2.7 5.09.19.2
Operating income margin 4.9%3.2%5.1%7.2%7.2%
R&D expenses 5.3 6.6 7.08.2
Depreciation and amortization 2.1 2.1 2.43.4
Capital expenditures 2.0 5.2 5.56.7
Electric Power
Steering Controllers
Power Window Switches
In fiscal 2014, AEC is targeting net sales of ¥128.5
billion, up 1.5% year on year, and operating income
of ¥9.2 billion, up 1.3%. In Japan, we expect lower
sales due to the consumption tax hike and to some
customers transferring production abroad. Over-
seas, we forecast higher sales due to robust de-
mand in North America as well as strong demand
in China and other Asian countries.
We achieved double-digit sales growth through
fiscal 2012 and fiscal 2013. Now, taking VG2020
into view, we will tackle the challenges of trans-
forming into a value-creating company that pro-
actively addresses social issues through fiscal
2016. In fiscal 2014, the first year of the EARTH-1
STAGE, we will further shorten planning and devel-
opment processes and work on the development
of products that anticipate market demand. We will
increase sales by standardizing our existing prod-
ucts and implementing sales and marketing tailored
to burgeoning emerging markets. In addition, we
will work to strengthen our management founda-
tion, for example our human resources, in order to
globalize businesses more efficiently.
Automotive Electronic
Components Business (AEC)
Production and sales of electronic components
for automobiles
Source: Internal survey
Market Share
（FY2013）
Body Control Units for Miniature
Vehicles (Japan)
Approx. 50%
16%
Source: IHS Automotive
Segment Information
Fiscal 2013 in Review
The robust market and new products for North
America, Asia Pacific, and Greater China con-
tributed to a strong performance.
In Japan, sales decreased because some custom-
ers transferred production overseas. This offset the
favorable effect of government economic mea-
sures, the continuation of tax breaks for eco-
friendly automobiles, and the surge in demand
before the consumption tax hike.
Overseas, sales were up significantly overall due
in part to the weak yen. Although the European
market trended toward recovery, the automobile
industry remained weak. However, the accelerated
recovery in North America, continued strong mar-
ket expansion in China and other countries in Asia,
and successive new product launches contributed
to the sales increase.
Operating income increased substantially year on year
due to higher sales and the impact of yen depreciation.
Katsuhiro Wada
Managing Officer
President and CEO,
OMRON Automotive Electronics Co., Ltd.
% of Net Sales
（FY2013）
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