- Power Systems Unit
- Power Systems International Unit
- Elevator & Escalator Operation & Marketing Unit
- Power Marketing, Japan Unit
Supported by 32 offices worldwide, this division is developing a business model centered on EPC* and trading of power generation and transmission plants, elevators and other equipment. We are also actively developing business involving investment in areas such as on-site power generation.
In the year ended March 2011, orders for EPC projects were sluggish overseas due mainly to the impact of the strong yen. However, EPC projects for Japanese electricity utilities and the on-site power generation business grew steadily. We also took steps that we hope will lead to medium- to long-term growth. One illustration is the start of activities to develop offshore transmission business overseas.
In the year ending March 2012, we are determined to take part in EPC projects in Japan and overseas, including projects to construct emergency thermal power generation facilities that will contribute to Japan's reconstruction following the major natural disaster. At the same time, we will promote business undertakings involving investment. Together, these actions are directed at strengthening our earnings drivers.
This division is engaged in an elevator business with Mitsubishi Electric Corporation. In this business, we are endeavoring to expand earnings by optimizing the portfolio of overseas sales businesses to achieve greater efficiency.
The Kansai Electric Power Co., Inc.'s Sakaikou Power Station was completed in September 2010. This LNG-fired plant with an output of 2 million kW, achieves generating efficiency of 58%, one of the highest levels in the world.
Elevators at the headquarters building of the Securities Commission of Malaysia. MC helped supply 12 elevators, including observation elevators, with glass walls for this building.
- Smart Community Business Integration Unit
- Engineering Business Unit
- Plant Project Business Unit
- Transportation Infrastructure Business Unit
- Industrial Machinery & Equipment Business Unit
- Construction & Mining Equipment Project Unit
Working in the basic industry and infrastructure sectors, this division seeks to leverage MC's resources and capabilities to propose best-fit solutions for satisfying customers worldwide while helping them realize their plans. In the fiscal year ended March 2011, transportation infrastructure-related businesses were added to the division's existing responsibilities in oil, gas, chemical-related, steel and other plants, and machinery and equipment sold in large volumes, including construction machinery and machine tools. The division's fundamental policy is to contribute to the development of the Japanese economy and the rest of the world over the medium to long term in cooperation with customers, business partners and other parts of MC. Under this fundamental policy, the division is committed to taking the necessary actions to target growth going forward.
In the year ended March 2011, we saw an increase in projects, particularly in the plant and transportation infrastructure fields, flow from an improving business environment, driven by growth in emerging economies such as China, India and Brazil. Additionally, in sales of machinery and equipment in large volumes, an upturn in contracts in emerging markets led to a noticeable improvement in the business environment.
In the year ending March 2012, the appreciating yen, stiffer competition with overseas companies and other factors are expected to make for a challenging operating environment. However, as in the year ended March 2011, growth in demand is expected in the plant and transportation infrastructure fields as well as machinery and equipment sold in large volumes, led by emerging markets. We will take the necessary actions to capture this growth.
Rail cars like this will be delivered for Cairo Metro Line 3 from 2011 through 2013.
An event open to the public at MC Machinery Systems.
- Ship Unit
- Defense Systems Unit
- Space & Integrated Defense Systems Unit
This division is involved in shipping, as well as aerospace-related businesses.
In the ship-related business, MC conducts wide-ranging business activities in four pivotal businesses: trading centered on sales and purchases and brokering transactions of newly built ships and marine machinery; chartering of company-owned vessels; ship finance; and offshore business. We are developing our business globally by taking advantage of the strengths of each business, which fit together organically.
In the year ended March 2011, the business environment remained difficult due to the impact of a sluggish marine transport market caused by the 2008 global financial crisis, and the impact of the extremely strong yen. However, our operating results grew strongly, backed by contracts for some large new projects, and our ship charter business. Looking ahead, we intend to bolster our earnings structure by expanding new businesses so that we are less susceptible to market conditions in the marine transport market.
As for aerospace and defense business, we aim to contribute more to Japan's national security. We plan to do this by providing defense equipment and services as well as by complying with new procurement methods based on the National Defense Program Guideline that was approved in December 2010. Moreover, we are involved in space-related businesses that cater to social needs. This includes satellite imagery-related services provided through MC business investee Japan Space Imaging Corporation.
MC owns and operates approximately 35 vessels, mainly bulkers. Pictured is the Pleasant Sky.
MC provides Earth imagery collected by a commercial satellite operated by U.S.-based GeoEye that has the highest resolution in the world of 0.41 meters.
- Motor Vehicle Asean & South West Asia Unit
- Motor Vehicle North Asia Unit
- Motor Vehicle Europe, Middle East & Africa Unit
- Motor Vehicle Americas & Australia Unit
- Motor Vehicle Domestic Operation Unit
This division conducts business through a broad-based value chain encompassing automobile distribution and auto loan operations. The products concerned are motor vehicles produced by Mitsubishi Motors Corporation (MMC) and Mitsubishi Fuso Truck & Bus Corporation.
The business environment in the year ended March 2011 saw healthy growth, supported by a recovery in the global auto market, and strong economic conditions in emerging markets. In Indonesia, which is the most important market for this division, the auto market in the year ended March 2011 posted record sales on the back of high economic growth. In this expanding market, MC affiliate PT. Krama Yudha Tiga Berlian Motors (KTB) sold 117,000 units, setting a new record.
The Motor Vehicle Business Division also regards China as a strategically important region, in the mid- to long- term. In this market, Mitsubishi Motor Sales (China) Co., Ltd., a joint venture with MMC, saw their sales grow steadily. Similarly, Russia is another strategically important region. Here, MC affiliate Rolf Import (RI) is the importer and distributor of MMC vehicles, and their sales are making a steady recovery from the effects of the global financial crisis.
We look to further enhance the value of our business activities by strengthening the value chain centered around our core automotive distribution business in these growth markets.
- Thai & ASEAN Unit
- Europe, Middle East, Americas & Oceania Unit
This division is developing a wide range of businesses with Isuzu Motors Limited in Thailand, extending from the development and production of pickup trucks, a mainstay Isuzu Motors product, to export and sales to around 100 countries worldwide. The division is also involved in exporting Isuzu trucks from Japan and sales in countries around the world.
In the year ended March 2011, the division's markets staged a recovery, most noticeably in emerging markets. As a result, the number of vehicles sold in Thailand reached 160,000 units, representing a year-on-year increase of approximately 20%. Furthermore, exports of vehicles from Thailand jumped roughly 70% to 60,000 units. On the back of these much higher sales and exports, the division's earnings increased.
In Thailand, which is the most important market for this division, we have built a broad-based value chain centered on the sales business over a period of more than 50 years. This value chain extends from upstream operations (development, parts manufacture and vehicle assembly) to downstream operations (services and automobile finance). The business has established Isuzu as the leading brand in the commercial vehicle market in Thailand.
Besides Thailand, the division has invested in businesses in the ASEAN region, Europe, Mexico and Australia. We are using business experience and know-how gained in Thailand to grow further in other countries around the world.
We continue to work with Isuzu Motors to boost the competitiveness of the product range. We will also reinforce the export and sales system for next-generation vehicles. In these and other ways, we aim to strengthen and expand our earnings drivers.