Alpine 2013 Annual Report Download - page 4

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Dear Shareholders
Thank you all very much for your support, and
greetings to you all as we present our forty-seventh
financial statements.
During the fiscal year ended March 31, 2013, despite a
moderate recovery in the U.S. economy, the business
environment remained harsh because of such factors
as the appreciation of the yen, which continued into
the latter half of the fiscal year, the prolonged
European debt crisis, and slower economic growth in
emerging countries. Within Japan, apprehension about the outlook for overseas economies and the return
to normal from special demand that had arisen from the switchover to digital terrestrial TV broadcasting
contributed to overall economic weakness. Under these circumstances, we strengthened our lineup of new
products and worked to expand sales while also striving to secure sales by making all-out efforts to provide
a stable supply of products to automakers and other means. Nevertheless, our business results for the fiscal
year were characterized by a rise in income and a fall in profits, reflecting intensified price competition as
well as a change in the composition of sales and a rise in material procurement costs.
Although conditions were harsh, we worked aggressively to strengthen our presence by expanding sales
and production structures in the markets of emerging countries with growth potential. We also established
a research and development company specializing in cloud computing in the U.S. and worked to develop
new products that link in-car IT products with mobile devices such as smartphones. In China, which is now
the world’s largest auto market, sales of Japanese auto brands decreased as a result of unwillingness among
consumers to buy those, but we worked to strengthen our business with overseas luxury automakers, which
have shown remarkable growth in the Chinese market, while also expanding our business with Chinese
automakers. In Japan, we won two important awards. We were honored with the prestigious Grand Prix for
our domestically available “Alpine Style” at the Nikkan Auto Parts Awards and we also took top place in
an authoritative customer satisfaction survey.
It is predicted that the business environment will remain difficult against the background of an economic
slump in Europe and uncertainty about the economic prospects of emerging countries. There are also signs
of improvement, however, including the stimulation of domestic private consumption and correction in the
appreciation of the yen brought about by “Abenomics,” which is the term used for economic measures
taken by the current Japanese administration under Prime Minister Shinzo Abe. Under these
circumstances, on the basis of our tireless efforts to improve quality, cost, and delivery dates, we will
continue to promote company-wide activities to lower cost prices while also developing and expanding
sales of products that satisfy our customers in order to improve business results. Industries related to
automobiles have gone through considerable changes in line with the transformation of car manufacturing
and the growing use of electronics in automobiles at automakers. We are treating these changes as
opportunities for business expansion, and we will continue to aim for manufacturing operations that are
well-adapted to periods of change.
We humbly ask you, our shareholders, for your continued support and encouragement.
June 2013
Toru Usami
President & CEO