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CSR Report

Fujikura Group CSR Report 2012
[ISO 26000 Core Subject] Organizational Governance

Business Performance and Business summary in Fiscal 2011

Company Profile

Company name Fujikura Ltd.
Established 1885
Incorporation 1910
Paid in Capital 53.0 billion (as of March 31, 2012)
Net Sales 509.0 billion (FY2011, Consolidated)
President & CEO Youichi Nagahama
Head Office 1-5-1, kiba, koto-ku,Tokyo 135-8512 Japan
Plants Sakura,Suzuka, Numazu, Ishioka
R & D Tokyo, Sakura, Suzuka
Branch/Business office Osaka, Nagoya, Fukuoka, Hiroshima, Sendai, Saporo, Takamatu, Numazu
Overseas U.S.A, U.K, Singapore, Malaysia, Thailand, China, Vietnam, India, Russia, etc.
Number of Employees 50,463 (Consolidated, as of March 31, 2011)
Main Business Optical Fiber Cable, Optical Tele System, Tele System, Electronics & Auto, Automotive Components, Metal Cable & System, Magnet Wires, Metal Wires, etc.

Global Fujikura Group

Introduction of our businesses

Society, industry and our Group

Business Performance in Fiscal 2011

Posting decreases in both net sales and operating income, badly affected by the March earthquake and the flooding in Thailand

In fiscal 2011, we were placed in a very severe business environment. Specifically, the first half included the aftermath of the Great East Japan Earthquake, while in the second half, we were badly affected by the flooding in Thailand. Additionally, during this time, the yen remained very strong in the foreign exchange market.

Under these circumstances, the Fujikura Group's net sales came to 509 billion yen, down 2.4% year on year. Specifically, sales decreased in the telecommunications business but increased in the automotive components business and the metal cable and systems business. In the electronics business, we recorded a substantial decrease in sales due to the Thailand flooding in October 2011, which caused the suspension of our flexible printed circuit (FPC) and other component manufacturing bases in the country.

Regarding profit, in the telecommunications business, operating income decreased by 50% year on year due to increased competition in Japan and decreases in sales from exports caused by the strong yen, while in the metal cable and systems business, operating income increased as a result of cost reductions and other efforts. In the automotive components business, operating income slightly decreased year on year due to fragmentation of the supply chain caused by the Great East Japan Earthquake in the first half of the term. In the electronics business, we faced severe difficulties in the second half of the term due to the flooding in Thailand, which caused the suspension of our electronic component manufacturing bases in the country. In total, our consolidated operating income decreased by 20.8% year on year to 13.3 billion yen, while ordinary income also decreased by 44.2% to 9.1 billion yen. Net loss came to 6.2 billion yen as a result of posting a special loss of 23.4 billion yen caused by the flooding in Thailand and a special profit of 15.4 billion yen (received as insurance money for the damage in Thailand).

Net Sales (Consolidated)

Operating Income (Consolidated)

Net Income (Consolidated)

Total Assets (Consolidated)

Number of Employees (Consolidated)

Net Sales by Segment (Consolidated)

Capital Investment

The Fujikura Group (Fujikura and its consolidated subsidiaries) made a capital investment of 33.4 billion yen (on a basis of tangible and intangible fixed assets received) under its basic strategies of "concentrating managerial resources in growth fields" and "enhancing craftsmanship in monozukuri (manufacturing)."

Capital investment made in fiscal 2011
Telecommunications 5.4 billion yen Invested in enhancement of optical fiber manufacturing facilities to respond to favorable demand for optical fibers in emerging economies
Electronics & Auto 20.1 billion yen Invested in recovery from the Thailand flood damage and in the improvement of wire harness-related facilities in the automotive components business
Metal Cable & Systems 3.2 billion yen Invested in improving metal cable-related manufacturing facilities
Others 4.7 billion yen Invested in the refurbishing the Gotanda Building
Total 33.4 billion yen

Research and Development

Creating a low-carbon society by making use of environmental energy technologies

A range of technologies have been developed for the creation of a low-carbon society. Fujikura is also developing a wide spectrum of environmental energy technologies for both materials and products, to deliver even more environment-friendly products toward the protection of the global environment.

Dye-sensitized solar cells

Dye-sensitized solar cells (DSCs) represent environment-friendly next-generation solar cells. They can be manufactured through a simple printing process without using hazardous materials or consuming much energy. The DSCs developed by Fujikura have the world's highest power generation performance. Unlike conventional solar cells, these cells produce electricity by making use of a phenomenon where the dye molecules on the oxidized titanium surface absorb light and emit electrons. Thanks to this power generation mechanism, the cells can generate power efficiently even in dark locations. DSCs are attracting much attention as optimal power generation devices developed in the topical field of energy harvesting (transformation of energy that has not effectively been utilized into electricity).

The wireless CO2 sensor, which is powered by DSCs for low-illumination applications, can be used to monitor CO2 concentration, humidity and temperature in a room without the need for wiring or replacing batteries. The sensor helps increase air conditioning efficiency by showing the best timing for ventilation.

Wireless environmental sensor

The DSC module for outdoor use can generate power even under unfavorable conditions, such as in the shady areas produced by buildings and in areas that face north. The module is therefore suitable for use as a power source for small devices used outdoors or near a window.

DSC module for outdoor use

Fujikura has been efficiently conducting research and development of high-temperature superconductors for more than 20 years since high-temperature superconductivity was discovered in 1986. During this period, we have kept the world's No.1 position in terms of superconducting wire performance, and are reaching the final stage of commercialization as a result of remarkable quality improvements and the stabilization of manufacturing processes achieved in recent years. Now, under these circumstances, we have started mass production of superconducting wires and are making efforts to further increase their performance, quality, length, and cost competitiveness so that they can be used in a wider range of applications. Yttrium-based superconducting wires are excellent in terms of critical current properties and mechanical and magnetic properties, and we are beginning to conduct verifications for the use of the wires in superconducting cables, current-limiting devices, and motors. We will repeat demonstration and verification tests to provide the market with highly reliable superconducting wires that can be used in various industrial machines, thereby contributing to the creation of a low-carbon and highly energy-efficient society.

Yttrium-based high-temperature superconductors

R&D Laboratories

Optics and Electronics Laboratory (Sakura, Chiba)

Optics and Electronics Laboratory
(Sakura, Chiba)

Environment and Energy Laboratory/Electron Device Laboratory (Sakura, Chiba)

Environment and Energy Laboratory/Electron Device Laboratory
(Sakura, Chiba)

Optical Cable System R&D Center (Sakura, Chiba)

Optical Cable System R&D Center
(Sakura, Chiba)

Electronics Components R&D Center (Sakura, Chiba)

Electronics Components R&D Center
(Sakura, Chiba)

Power & Telecommunication Cable System R&D Center (Sakura, Chiba and Suzuka, Mie)

Power & Telecommunication Cable System R&D Center
(Sakura, Chiba and Suzuka, Mie)