Topura Eyes Global Fastener Output Expansion for Auto

Topura, Japanese major fastener maker, eyes capital expenditure for output capacity expansion of domestic and overseas plants at total 1.1 billion yen toward fiscal 2015 ending in March 2016. Topura recognized capacity expansion is necessary when Japanese automakers are raising operations rapidly. The firm hurries formal decision of detailed capacity expansion plans along reviewing the middle-term management plan started in April 2011. Topura aims to raise overseas sales ratio to 20-30% and the overseas sales value to approximately 10 billion yen. In Thailand, the firm plans to start operation of Topura Thailand in October 2012, which is a new subsidiary established in May 2011.

Topura estimates its consolidated net sales at 14.8 billion yen for April-September 2011 with recurring profit 110 million yen. Both net sales and recurring profit would decrease year-on-year. In the second half year, the demand is expected to maintain high level for screw and bolt applied to automobiles when Nissan Motor plans to increase the output, one of Topura’s main customers. Topura forecasts the consolidated net sales could increase by 23% to 18.3 billion yen for October-March from the same period of the previous fiscal year.

In Japan, the firm already decided additional investment at 30 million yen for Hatano factory within fiscal 2011. Now and then Topura reviews supply conditions at domestic and overseas productive sites and seeks the most effective supply network. The productive network involves Tokai and Osaka factories in Japan while overseas factories in the U.S.A., China and Thailand. Topura plans to install additional screw manufacturing machines if necessary.

Topura Thailand starts construction of the plant within this year. The plant is scheduled to manufacture mainly thin diameter screw such as M6 and supply the products to Japanese customers’ local plants as well as American and European users. Topura Thailand’s sales in Thailand are estimated at approximately 200 million yen in fiscal 2011 while the subsidiary targets annual net sales 1.8 billion yen and sales volume 300 tonnes per month in fiscal 2013.