Nachi Reports First Half 2003 Results

Nachi-Fujikoshi Corp. (Japan) reported first half 2003 operating results, for the period ended May 31, 2003. Sales for the half were ¥72.3 billion (USD $619.3 million), up 9% from first half 2002. Net profit improved dramatically in 2003, reaching ¥183 million ($1.6 million) and reversing the ¥152 million ($1.3 million) loss suffered in the first half of 2002. Nachi attributed the improvement to improved bearing sales to auto and motorcycle manufacturers, and for hydraulic equipment. In particular, sales in the Asian region grew 42% to ¥9.4 billion. Sales in Europe and North America remained sluggish. For the full year, Nachi pushed its forecast sales to ¥142.5 billion ($1.22 billion) and net profits to ¥1.5 billion ($12.8 million), more than double 2002's total profit. Looking forward to 2004, Nachi said it will increase spending on plant and equipment by 30%, to ¥8 billion, from ¥6 billion in 2003. Expansion and production capacity increases are planned for Toyama and Higashi-Toyama, both in Japan, along with plants in Thailand, Brazil, and the Czech Republic.