Aluminum Electrolytic Capacitor Business Capacitor ......The industrial equipment market, the main...

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Aluminum Electrolytic Capacitor Business Aluminum Electrolytic Capacitor Business Aluminum Electrolytic Capacitor Business Electric Double Layer Capacitor Business FY2018 earnings and future initiatives Net sales of aluminum electrolytic capacitors during FY2018 increased 5.2% year on year to 118.4 billion yen. Sales of products for the automotive electronics market were favorable and sales of conductive polymer capacitors and hybrid capacitors, both high value-added products, were particularly strong. The automobile industry is facing a paradigm shift towards the creation of new business models. Amid such an environment, the CASE (Connected, Autonomous, Shared & Services, and Electric) strategy of auto manufacturers suggests a continuous and growing need for electronic components. In response to this trend, we will advance the development of new products as we aim to further expand sales. The industrial equipment market, the main market for large size aluminum electrolytic capacitors, got off to a favorable start in FY2018 thanks to a stimulated factory automation (FA) market, particularly in China. However, during the second half of the year, the impact of US-China trade friction and other factors caused a rapid deceleration of the Chinese economy, resulting in a tumultuous year for FY2018. Looking at the market going forward, the adoption of IoT in industrial equipment and the dissemination of industrial robots is expected to drive medium and long-term demand for aluminum electrolytic capacitors. Additionally, the ICT market is on the verge of the full-scale launch of 5th generation mobile communication systems (5G), so we also expect increased demand for products for use in communication base stations. 118,407 million yen FY2018 Sales grew for automotive electronics market, high value-added products favorable Nippon Chemi-Con is the world’s largest manufacturer of aluminum electrolytic capacitors. Our products are used in a broad variety of applications, from consumer electronics to industrial devices, automobile and avionics, and medical device. 84.0% Composition of net sales (FY2018) Net sales Aluminum Electrolytic Capacitor Business 23 CHEMI-CON REPORT 2019 Chapter 3 Introduction of Main Businesses Introduction of Main Businesses The following is an introduction of FY2018 performance and initiatives for aluminum electrolytic

Transcript of Aluminum Electrolytic Capacitor Business Capacitor ......The industrial equipment market, the main...

Page 1: Aluminum Electrolytic Capacitor Business Capacitor ......The industrial equipment market, the main market for large size aluminum electrolytic capacitors, got off to a favorable start

Aluminum Electrolytic Capacitor Business

Aluminum Electrolytic Capacitor Business

Aluminum Electrolytic Capacitor Business

Electric Double Layer Capacitor Business

FY2018 earnings and future initiatives Net sales of aluminum electrolytic capacitors during FY2018 increased 5.2% year on year to 118.4 billion yen. Sales of products for the automotive electronics market were favorable and sales of conductive polymer capacitors and hybrid capacitors, both high value-added products, were particularly strong. The automobile industry is facing a paradigm shift towards the creation of new business models. Amid such an environment, the CASE (Connected, Autonomous, Shared & Services, and Electric) strategy of auto manufacturers suggests a continuous and growing need for electronic components. In response to this trend, we will advance the development of new products as we aim to further expand sales. The industrial equipment market, the main market for large size aluminum electrolytic capacitors, got off to a favorable start in FY2018 thanks to a stimulated factory automation (FA) market, particularly in China. However, during the second half of the year, the impact of US-China trade friction and other factors caused a rapid deceleration of the Chinese economy, resulting in a tumultuous year for FY2018. Looking at the market going forward, the adoption of IoT in industrial equipment and the dissemination of industrial robots is expected to drive medium and long-term demand for aluminum electrolytic capacitors. Additionally, the ICT market is on the verge of the full-scale launch of 5th generation mobile communication systems (5G), so we also expect increased demand for products for use in communication base stations.

118,407 million yen

FY2018

Sales grew for automotive electronics market, high value-added products favorable

Nippon Chemi-Con is the world’s largest manufacturer of aluminum electrolytic capacitors. Our products are used in a broad variety of applications, from consumer electronics to industrial devices, automobile and avionics, and medical device.

84.0%

Composition of net sales

(FY2018)

Net sales

Aluminum Electrolytic Capacitor Business

23 CHEMI-CON REPORT 2019

Chapter 3 Introduction of M

ain Businesses

Introduction of Main Businesses The following is an introduction of FY2018 performance and initiatives for aluminum electrolytic capacitors, the Nippon Chemi-Con Group’s largest business, and electric double-layer capacitor business, a new business that is growing as the second pillar of management.

Page 2: Aluminum Electrolytic Capacitor Business Capacitor ......The industrial equipment market, the main market for large size aluminum electrolytic capacitors, got off to a favorable start

Aluminum Electrolytic Capacitor Business

Aluminum Electrolytic Capacitor Business

Aluminum Electrolytic Capacitor Business

Aluminum Electrolytic Capacitor Business

Electric Double Layer Capacitor Business

Electric Double Layer Capacitor Business

Electric Double Layer Capacitor Business

FY2018 earnings and future initiatives Net sales of electric double-layer capacitors during FY2018 increased slightly year on year to 4.4 billion yen. The ratio of total net sales was 3.1%, largely unchanged from the previous fiscal year and indicating that we are maintaining stable earnings in recent years. The majority of electric double-layer capacitors we produce are used in automotive applications such as braking energy recovery systems. Currently, we supply products to two manufacturers in Japan, from whom we have received high praise for our quality and reliability. In FY2018, as part of our efforts to expand operations, we started the commercialization and mass production of the DKA Series, which uses a radial lead-type terminal shape. This format is smaller than the screw terminal-type product we previously mass produced. Capable of being soldered directly onto electronic boards, the DKA Series is a product that contributes to space-saving designs. Applications for the DKA Series includes controlling vehicle door locks and use in emergency power backup systems. We will also propose the use of the DKA Series in other applications such as IoT devices and the peak assist power supplies installed in portable devices. Moving forward, we expect societal interest in high-performance electricity storage devices to grow. Nippon Chemi-Con will continue our development efforts related to electric double-layer capacitors and other power storage devices as we aggressively pursue solutions for solving issues related to environment problems and energy.

Electric Double Layer Capacitor Business

Net sales 4,430 million yen

FY2018

Expand product mix provided to automobile manufacturers

Environmental and energy issues are driving increased interest in power storage devices. Nippon Chemi-Con plans to develop electric double-layer capacitors into a business that rivals our aluminum electrolytic capacitor business.

3.1%

Composition of net sales

(FY2018)

24 CHEMI-CON REPORT 2019

Chapter 4 Corporate Social Responsibility

OtherChapter 2 Nippon Chem

i-Con’s VisionChapter 1 About Nippon Chem

i-ConChapter 3 Introduction of M

ain BusinessesChapter 5 Financial Inform

ation

Introduction of Main Businesses The following is an introduction of FY2018 performance and initiatives for aluminum electrolytic capacitors, the Nippon Chemi-Con Group’s largest business, and electric double-layer capacitor business, a new business that is growing as the second pillar of management.