The medium-term business plan implemented in FY 2009 (year ending March 31, 2009) was also affected by a major decline in demand due to the sudden global recession. At the end of that fiscal year, the company unfortunately had to temporarily set aside its numerical targets, as then-existing conditions varied greatly from those on which the plan had been premised. On the one hand, in FY 2010 (year ending March 31, 2010) we dealt with the upheaval in the economic environment, focused on further reducing costs, and worked to maintain earnings. At the same time, we addressed the twin issues of concentrating managerial resources in growth markets and growth regions, and of streamlining group operations (both of which are medium-term business planning tasks that are central to the acceleration of commercial growth); all this has steadily laid the groundwork for a return to expansion.
One of our main achievements has been in the growth market of electronics (which includes semiconductors, liquid-crystal displays, solar cells, and LEDs): the construction of an integrated gas supply system for new, large-size liquid-crystal display complexes. In addition, in the LED market (which has exhibited remarkable growth) we have worked to expand our business by investing in large-scale production machinery for compound semiconductor manufacturing (MOCVD: Metal Organic Chemical Vapor Deposition) equipment, in tandem with the development of gas supply and the required peripheral devices. Finally, we have rapidly launched upstream manufacturing projects for special gases and monosilane (a phenomenal increase in demand for these is anticipated for use in thin-film solar cells and liquid-crystal displays), and have laid the foundations for business expansion.
In terms of growth regions, since our company’s merger we have expanded our production base for liquefied gas in North America, purchased a regional distributor, and acquired helium rights. We have actively proceeded to concentrate management resources in the region, achieved a sales volume of 17% CAGR after FY 2004 (year ending March 31, 2004), and continued to steadily expand our business and strengthen our presence. We are also advancing rapidly with large-scale production capability increases in the Asian region (which includes China, experiencing remarkable economic growth) by expanding our liquefied gas production capability, acquiring large-scale on-site gas supply projects, and expanding our special gas facilities. Thus, we are making use of the growth potential of the market to expand our business.
In the domestic Japanese economy (where stable growth can be expected in industries such as iron and steel, chemicals, and electronics), we are working to achieve greater economic efficiency by integrating group companies and reorganizing priority facilities, and we are achieving tangible successes.
Fiscal 2011 (year ending March 31, 2011), which marks the 100th anniversary of the company’s founding, is also a vital year for laying the foundations for the next medium-term business plan. In addition to continuously supplying industrial gases in a safe and stable manner, we are also contributing, through gas technology, to the realization of a wealthy society in conjunction with every kind of industry. |
