Medium-term Business Plan | Investor Relations

2023 Mid-term Business Plan (FY2021-FY2023)

We have formulated a new medium-term business plan for the three-year period from FY2021 to FY2023.

Assumed Changes to Existing Business Environments

Estimated number of vehicles sold worldwide (estimated by Fuji Oozx)

OOZX Purpose

To contribute to the development of industrial infrastructure and the prosperity of regional society through manufacturing

OOZX Goals 2030（Where we should be in 10 years' time）

Practicing ESG management based around automobile parts and contributing to the future of the automotive society
Stepping up to the core growth of new businesses

Management Policies

Reform of business structure with an eye to the future

Reform toward a sturdy structure to strengthen global competitiveness
Explore new businesses and step toward growth

Secure stable profits in the automobile parts business

Realize an optimal cost structure
Improve customer reliability compared to competitors and gain opportunities to increase market share

Start new business and grow to a core

Expand marketing for the market and formulate a business strategy
Business investment and growth strategy

Contribute to society by promoting efficient operations and management

Strengthen the management base (work style reforms, DX promotion, financial improvements)
Practice ESG management (SDG initiatives, CO₂ reduction)

Management indices (FY2023)

Net Sales

¥23.0 billion

Operating Profit

¥2.7 billion

Operating Profit Margin

12%

Numerical Targets

Improve profitability by promoting rationalization of the engine valve business
Aggressive investment centered on new businesses and ESG
Aim for a consolidated dividend payout ratio of 30% or more in returning profit to shareholders

	Numerical Targets
	FY2021^※	(Of which, April 2021–March 2022)	FY2022	FY2023
Operating Profit on Sales	¥23,000 million	¥21,500 million	¥22,000 million	¥23,000 million
Operating Profit	¥2,200 million	¥1,800 million	¥2,400 million	¥2,700 million
Net Income for the Year	¥1,350 million	¥1,050 million	¥1,700 million	¥1,900 million
Operating Profit on Sales	10%	8%	11%	12%
Capital Investment	¥1,500 million	-	¥2,000 million	¥2,000 million
Consolidated Dividend Payout Ratio	20%	25%	30%	30% or more

※Due to the unification of the fiscal year-end in FY2021, overseas subsidiaries have a 15-month settlement.

Important Measures

Improving the competitiveness of existing businesses

Sales expansion activities	Entering into Western markets
Cost reductions	Multi-skilled work, productivity improvements Smart line production equipment
Developing new technologies	Developing valves for high exhaust temperatures Supporting the spread of carbon-neutral fuel

Starting new businesses

Synergy with existing technology	Develop applications and study commercialization of valve production technology Utilize forging and hollow processing technologies
Investing into promising businesses	Explore growth areas and make strategic investments Realize early commercialization, including R&D investments and M&A
Contributing to regional communities	Revitalize regional economies through business

ESG management

SDGs	Undertake initiatives with People, Prosperity, and the Planet set as critical issues
Carbon neutrality	Introduce and expand renewable energy, expand energy-saving measures Promote 3R (Reduce, Reuse, Recycle) for industrial waste
Work style reforms	Promote a diverse range of work styles DX promotion

SDG Initiatives

Fuji Oozx's important issues：People、Prosperity、Planet

Important Issue	Theme	Main Activities	2023 Target	2030 Target
People	Diverse range of work styles	Providing co-working space	Provide space
	Diverse range of work styles	Improving the rate of male employees who take childcare leave	4% or more	7% or more
	Healthcare	Providing a healthy and diverse range of meals	A variety of dining and sports facilities
Prosperity	New product development	Developing environmentally friendly valves	Establish manufacturing technology	Productization
	New product development	Developing products for new fields	Establish manufacturing technology	Productization
	Adoption of IoT, AI	Building smart production lines	Build a model line	Smart production plants
Planet	CO₂ reduction	Introduction of renewable energies	20% reduction of CO₂ emissions	50% reduction of CO₂ emissions
	Waste reduction	Promoting the 3Rs for industrial waste	50% reduction
	Waste reduction	Reducing food loss	30% reduction	Zero waste

Figures such as the business forecasts described herein are prepared based on the information currently available.
Actual business performance may differ significantly from those predicted due to future changes in the business environment. As such, complete reliance on the figures as a basis for making decisions regarding investment, etc., is not recommended.
Predicted figures are subject to change without notice. The Company shall not assume any responsibility for the results of using the information found herein.