OSG, solid sales in Europe and the Americas in FY2023

April 2, 2024

OSG held its 111th annual general meeting of shareholders on February 16 at a hotel in Toyohashi, Aichi Prefecture (=photo). The company reported a 3.6% year-on-year (YoY) increase in consolidated net sales for the fiscal year ending November 2023, reaching a record 147,703 million yen. Despite this growth, operating income decreased 9.6% YoY to 19.8 billion yen, while net income decreased 13.5% YoY to 14,307 million yen. The overseas sales ratio increased to 67.0%, up 2.1 points from the previous year, partly due to the weak yen.

In terms of regions, conditions in the Asia region and Japan remained challenging as manufacturing companies in China adjusted production and some companies suspended operations due to the pandemic. In contrast, exports to the Americas, Europe and Africa remained strong due to the recovery trend in the automobile and aircraft industries.

The fiscal year ending November 2024 is the last year of the company’s three-year medium-term management plan. The original target had been to achieve operating income of 30 billion yen within this period, but due to the slowdown in the Chinese economy, the company has shifted to a policy of aiming to achieve the target in the next fiscal year and beyond. Norio Ishikawa, Chairman and CEO of OSG, referred to his recent business trip to China in his opening remarks, saying, “It was a great result to hear from various people that the bottom of the economy has been seen”.