Message from the President

Hiroshi Mihara Regarding the results for the fiscal year ending March 31, 2018, the KOITO Group’s net sales increased over the previous fiscal year due to increase in new orders and a shift in automobile lamps to LED.
 As for profits, operating income, recurring profit, and net income all increased as a result of the sales growth and rationalization effect in Japan and overseas. As a result, KOITO marked the sixth consecutive fiscal year of record high business performance.

 Regarding the outlook for the fiscal year ending March 31, 2019, despite the expansion of new orders and the market transition to LED automobile lamps in Japan and overseas, net sales are expected to decrease. This is attributable to non-consolidation of Shanghai Koito in March, 2018.
 As well as on the net sales, due to the effect of Shanghai Koito’s non-consolidation, operating income, recurring profit, net income are all expected to decrease.

 For the purpose of sales expansion of automotive lighting equipment in the mid- and long-term perspective, the KOITO Group is pursuing to reinforce its production capacity in the five major regions of the world (Japan, North America, Europe, China, and Asia); KOITO’s manufacturing subsidiary, NAL do Brasil, is scheduled to commence operations in May, 2018, and KOITO MALAYSIA is scheduled to commence operations in 2019. Moreover, KOITO will strengthen its development capability, and respond to the future changes in mobility, such as connectivity, autonomous driving, sharing, and electric vehicle.
 With a view to expanding market share, the KOITO Group will continue to strive to win orders, expand its production capacity, enhance productivity, reinforce its mutually complementary supply network, and establish business systems that can quickly respond to changes in the market, and promote compliance and corporate governance to establish an even more reliable corporation.

 Under our corporate message, “Lighting for Your Safety”, the KOITO Group, as an automotive lighting and electrical equipment manufacturer, is committed to create new value sought by customers. Moreover, we will continue to contribute to the development of the automotive industry and of the society through providing safe, reliable, and trustworthy products and services.
 As a leading automotive lighting equipment manufacturer, we will continue to develop the newest and the best technologies, improve the performance and quality of our products, promote training for employees to raise their performance and skills, as well as staying true to our basic stance to adopt the perspective of customers to supply products and services that meet their expectations.
 We would greatly appreciate your continuous understanding and support.
April 2018
President
Hiroshi Mihara