SIIX CORPORATION Always respond to customer needs with the spirit of "We Care".
SIIX Corporation
2023
Integrated Report
Global Business Organizer
SIIX is globally developing one-stop services from procurement to logistics and manufacturing, centered on the functions of an electronic parts trading company.
1 | Knowing SIIX | SIIX Principles (Corporate Philosophy) | |
Knowing SIIX
Value Creation Story | Business Overview | ESG | Financial Information |
Navigation buttons:
Link to a related page | Link to an external |
in the report | website |
2
SIIX Principles (Corporate Philosophy)
Corporate
Theme
The Corporate Theme is the SIIX business concept.
Provide the best merit for business through the best business organizing.
Corporate
Target
The Corporate Target is the vision of an extremely high-level corporation which we strive to be.
We will become a company that organizes customer needs in all elds around the world to give all stakeholders a sense of afnity and charm as a global business organizer that creates business.
Corporate
Mission
The Corporate Mission is the mission SIIX should try to achieve in terms of society.
We contribute to the activation of the social system and the progress of humankind by pursuit of the effective use of the world's resources.
Corporate
Style
The Corporate Style is what our company should always consider very important as to how we should be as a corporation.
1st filter:
Challenging, Speedy and Fair
2nd filter:
Sophisticated, Creative and Simple
INDEX
Key Points in Each Section
Knowing SIIX
SIIX Principles (Corporate Philosophy) | 1 | Explanation of the overview of | ||
the SIIX | Group, including its | |||
History of Value Creation | 3 | |||
Corporate | Philosophy, history, | |||
Global network | 5 | and global network | ||
SIIX in Numbers [nancial and non-nancial highlights] | 7 |
Value Creation Story
Message from the Chairman | 9 | Explanation of the medium- to | |
long-term vision of the SIIX | |||
Value Creation Process | 13 | ||
Group, featuring interviews with | |||
Message from the President | 15 | top management | |
Reection of 2022, the 2nd Year of the Medium-Term | |||
Business Plan (2021-2023) | 19 | ||
Message from the Chief Accounting Ofcer | 21 |
Business Overview
Value Chain | 23 | Explanation of the current business | |
Automotive-related equipment / Industrial equipment / | overview | ||
Home appliances / Information devices / Others | 25 |
ESG
Corporate Governance | 29 | Explanation of the SIIX Group's |
Message from Director | 35 | initiatives related to sustainability |
Environmental Conservation | 39 | |
Society | 43 |
Financial Information
Consolidated Financial Summary | 47 | Basic information about the SIIX | |
Consolidated Financial Statements | 49 | Group, including corporate data | |
and nancial information | |||
Corporate Data | 54 |
Editorial policy
We have issued the 2023 Integrated Report to explain in an easy-to-understand way the nancial and non-nancial aspects of SIIX's business strategy and management foundation to our stakeholders. Please refer to our ofcial website for detailed information.
https://www.siix.co.jp/en/
Going forward, we will continue to work toward the realization of a sustainable and global co-creation society through our main business.
Disclaimer
Business forecasts, outlooks, strategies and targets stated in this report, except for those relating to the past or present facts, are forward-looking statements and based on information currently available to the company and plans, expectations and judgments based on certain assumptions deemed reasonable. Accordingly, please understand that actual results may differ from the disclosed business forecasts, etc. due to variable factors with various uncertainties such as economic conditions.
Period and scope
Period：FY2022
(January 2022 - December 2022)
Some sections of this report include information during and after December 2022.
Scope：SIIX and its subsidiaries and afliates
Information disclosure and communication
Financial Information | Non-nancial information | |||||||||||||
Integrated report | ||||||||||||||
Annual securities report | Consolidated Financial Results | Financial results brieng materials | Shareholder report | Corporate governance report | ||||||||||
Website | ||||||||||||||
Top page | IR information (Investor Relations) | Sustainability |
https://www.siix.co.jp/en/ | https://www.siix.co.jp/en/ir/ | https://www.siix.co.jp/en/sustainability/ |
3 | Knowing SIIX | History of Value Creation | |
Knowing SIIX
Value Creation Story
Business Overview
ESG
Financial Information
4
History of Value Creation
History of SIIX | The company was founded on July 1, 1992, when major ink-maker Sakata Inx Corporation's Overseas Business Department, in charge of trading, became independent. We marked the 30th anniversary in 2022. As a "global business organizer" that connects various needs and seeds in the world, we have created and |
offered different types of new value without being bound by industry or eld boundaries. The company has the willingness to take on new challenges under the slogan of "Make an !mpact," as well as to work closely with all stakeholders under the spirit of "We care." We will thus respond swiftly to our customers' needs. | |
From 1957
Commenced trading activities overseas
The foundation of the company traces back to when an export section was created in the trading division of Sakata Shokai Co., Ltd (currently Sakata Inx Corporation), the ink-maker that was the company's predecessor, and exports of electronic components to the Philippines began. The company has constructed its business model with a focus on "overseas business" since the initial stages of its founding.
From 1979
Commenced EMS business
In 1979, when the term EMS (electronics manufacturing services) did not exist, SIIX started this business overseas (Singapore) and became a pioneer in the Japanese EMS industry.
From 1992
Expanded business mainly in Asia
The company spun off from Sakata Inx and changed its name to SIIX Corporation. Supported by the increasing global demand for electronics manufacturing services, SIIX established production and sales bases in China, ASEAN countries, and Europe, thereby expanding its business.
From 2010
Expansion of global network
SIIX further expanded its network of bases to respond to the needs of a larger number of customers. The company also focuses on Joint Design Manufacturing (JDM) to connect needs and seeds around the world as a global business organizer.
History of SIIX
1957 The company's founder Murai who was in charge of export in the trading division of Sakata Shokai (currently Sakata Inx Corporation) set his eyes on the future prospects of the electronic components market and started exporting electronic components made in Japan to the Philippines (founding of the company)
1960s Invested in an electronic musical instruments manufacturer and became an exporter of its products
Commenced the export of motorcycles, chemical products, transport machinery, etc. to the Philippines
Established the company's rst joint-venture company in the Philippines to strengthen sales of motorcycles and chemical products
1970 Commenced full-edged OEM production and export of electronic organs
Established Hammond International Japan Inc jointly with Hammond Inc in the U.S.
1974 Commenced assembly and production of motorcycles with Kawasaki Heavy Industries, Ltd. using local capital
1977 Started trilateral trade in Singapore which was groundbreaking in its time
1979 Established a joint venture company in Singapore to start the circuit board mounting business
Became a pioneer of SIIX's EMS business
1982 Became a sales distributor of PANAFACOM and started sales of computers overseas, mainly in Europe
Commenced overseas sales of CRT monitors under the Sakata brand
1988 Commenced circuit board mounting business in Thailand (became our current mainstay factory)
1990 Established a joint venture company in the Philippines and commenced production of wire harnesses for automobiles
1992 Spun off from Sakata Inx and established Sakata Inx International
1993 Commenced circuit board mounting business with a joint venture in Guangdong Province, China (leading to the current Dongguan Factory)
1994 Commenced circuit board mounting business in Batam, Indonesia (leading to the current Batam Factory)
1996 Commenced sales of components to major Japanese manufacturers of automotive-related equipment
After making a full-edged entry into the eld of automotive-related equipment, the company started receiving outsourcing contracts for materials procurement, circuit board mounting, assembly, and other processes from a variety of customers around the world, allowing it to expand and grow the automotive-related equipment sector into the main business area of the company
1997 Commenced production of LCD modules for European mobile phone manufacturers
1998 Company name changed to SIIX Corporation
2000 Established a semiconductor design and development company and commenced development and manufacture of LCD driver ICs for mobile phones (sold in March 2005)
Achieved sales of 100 billion yen
Listed in the Second Section of the Tokyo Stock Exchange
2001 Established a joint venture company in Shanghai, China and commenced the EMS business
Established a joint venture company in Slovakia and commenced the EMS business
Commenced VMI service for major Japanese manufacturers of automotive-related electronic components
2002 Commenced EMS business for automotive-related equipment at the Thai Factory
2010 Established the company's rst domestic manufacturing subsidiary in Sagamihara City, Kanagawa Prefecture
Established a manufacturing subsidiary in Jakarta, Indonesia
2012 Marked the 20th anniversary of its establishment Established a manufacturing subsidiary in Shanghai Established a sales subsidiary in Indonesia
2013 Established a manufacturing subsidiary in the Philippines Established a manufacturing subsidiary in Mexico Achieved sales of 200 billion yen
2014 Established the company's rst joint venture company for plastic molding and die manufacturing in the Philippines
Established Nagoya Sales Department in Sakae, Naka-ku, Nagoya City
2015 Established a joint venture company with GD Midea Heating & Ventilating Equipment Co., Ltd.
Established a joint venture company with a medical device development company in Singapore and entered the robotics eld
2016 Established the Detroit Branch in the U.S. Established a manufacturing subsidiary in Hungary
2017 Established a second joint venture company with GD Midea Heating & Ventilating Equipment Co., Ltd.
Established a manufacturing subsidiary in Hubei Province, China Established a sales subsidiary in Hanoi, Vietnam
2019 Established a sales subsidiary in Kuala Lumpur, Malaysia
2021 Integrated management of a sales subsidiary and a manufacturing subsidiary in Thailand
2022 Listed in the Prime Market of the Tokyo Stock Exchange
Marked the 65th anniversary of its founding, and the 30th anniversary of its establishment
2023 Integrated management of a sales subsidiary, a manufacturing
Social changes and issues
1960s | Period of high economic growth in Japan | Late | |
1970s | Two oil crises | 1980s | Trade friction |
Late | |||
1990s | Burst of the bubble economy | ||
2005 Listed in the First Section of the Tokyo Stock Exchange and the Osaka Securities Exchange
2007 Opened a logistics center in Thailand
2009 Patented a new method of circuit board mounting
1995 Great Hanshin-Awaji Earthquake
2008 Collapse of Lehman Brothers
subsidiary, and a die molding subsidiary in the Philippines
2011 Great East Japan Earthquake
2018 U.S.-China trade friction
2020 Spread of COVID-19
2021 Semiconductor chip shortages
5 | Knowing SIIX | Global network | |
Knowing SIIX
Value Creation Story
Business Overview
ESG
Financial Information
6
Global network
Global deployment with 50 bases in
Meeting domestic demand in
Main businesses | ● Composition of sales by segment |
15 countries worldwide
The ability to provide a variety of outsourcing options to our customers through our extensive and organic network of overseas bases is one of the strengths of SIIX. We have established bases in approximately 50 locations in 15 countries worldwide that can assist in the global business development of our customers, from materials procurement to manufacturing and distribution.
(As of the end of December 2022)
9
10
China in the future
China
60,806 | 75,039 (million yen) | ||||
FY2021FY2022
- SIIX (Shanghai) Co., Ltd.
- SIIX EMS (Shanghai) Co., Ltd.
- SIIX HUBEI Co., Ltd.
- SIIX EMS (DONG GUAN) Co., Ltd.
- SIIX H.K. Ltd.
- SIIX TWN Co., Ltd.
Sales and distribution of electronic components, etc.
Sales of electronic components, etc.
Circuit board mounting, assembly and processing of devices and components
Plastic molding and die manufacturing Branch ofce / representative ofce
*★ indicates a non-consolidated subsidiary
Preparations to expand domestic production in Japan
Americas
17.7％
48,915million yen
Europe
5.7％
15,822million yen
ASEAN
31.2％
86,420million yen
Japan |
18.3％ |
50,626million yen |
Net sales |
276,825million yen |
China |
27.1％ |
75,039million yen |
11
*Other than the above, consolidated net sales of 277,031 million |
Contact for major European corporations
Europe
1 2
14 13 12
Japan
48,748 | 50,626 (million yen) | ||||
4 | yen include 206 million yen that does not belong to any | |
3 | reportable segment. | |
5
6
14,673
15,822 (million yen)
19
15 | 17 |
16 |
FY2021 | FY2022 |
7
FY2021FY2022
9 SIIX Europe GmbH
- SIIX EMS Slovakia s.r.o.
- SIIX Hungary kft.
18
20
23 24
Support for decentralized production needs, coordination with cutting-edge technologies
2221
26 25
- SIIX Corporation
- SIIX Electronics Co., Ltd.
Solar panels in operation around the world
ASEAN
64,953 86,420
(million yen)
We have been working on the installation of solar panels on the roof of our factories since FY2021 in order to supply a part of the electric power used in our business activities. By the end of FY2022, solar panels were installed at
8
Enhanced support for western corporations in Mexico
FY2021FY2022
18 | Thai SIIX Co., Ltd. | 24 | PT SIIX Electronics Indonesia | ||||
19 | SIIX Vietnam Company Limited | ★ | 25 | PT. SIIX EMS INDONESIA | |||
20 | SIIX Malaysia Sdn.Bhd | ★ | 26 | PT. SIIX Trading Indonesia | |||
- SIIX Phils., Inc.
- SIIX EMS PHILIPPINES, INC.
- SIIX Singapore Pte. Ltd.
our factories in China (Shanghai and Dongguan), Mexico, and Indonesia (Karawang) and began operation. We will proceed with the installation at other factories in sequence to further reduce greenhouse gas emissions.
Solar panels at Indonesia Factory
Americas
37,613 | 48,915 (million yen) | ||||
FY2021FY2022
- SIIX U.S.A. Corp.
- SIIX U.S.A. Corp. Detroit Branch
- SIIX U.S.A. Corp. Irvine Branch
- SIIX MEXICO, S.A DE C.V. ★
- SIIX EMS MEXICO, S. de R.L de C.V.
- SIIX do Brasil Ltda. ★
7 | Knowing SIIX | SIIX in Numbers [financial and non-financialhigh-lights] | |
SIIX in Numbers [nancial and non-nancialhigh-lights]
Knowing SIIX | Value Creation Story | Business Overview | ESG | Financial Information | 8 | ||||||
Financial data
Net sales / Operating income / Operating income margin
- Net sales (million yen) ■ Operating income (million yen) ● Operating income margin (%)
Profit attributable to owners of parent / Net income per share (EPS)
- Prot attributable to owners of parent (million yen) ● Net income per share (yen)
Capital-to-asset ratio
- Capital-to-assetratio (%)
D/E ratio
- D/E ratio
Operating income margin 3.2
%
277,031 | ||||
242,804 | 223,037 | 226,833 | ||
8,625 | 181,598 | 8,929 | ||
3.6 | 5,506 | 4,452 | 4,954 | 3.2 |
2.5 | 2.5 | 2.2 | ||
2018 | 2019 | 2020 | 2021 | 2022 |
Operating cash flow / Investing cash flow / Financing cash flow
■ Operating CF (million yen) ■ Investing CF (million yen)
- Financing CF (million yen)
Prot | 4,733million yen |
attributable to | |
owners of parent |
6,414 | ||||
131.45 | 4,561 | 4,733 | ||
3,695 | 96.53 | 100.11 | ||
78.21 | ||||
1,724 | ||||
36.48 | ||||
2018 | 2019 | 2020 | 2021 | 2022 |
EBITDA / Capital investment
- EBITDA (million yen) ■ Capital investment (million yen)
Capital-to-asset ratio | 37.5% | |||||
40.5 | 40.3 | 38.8 | 38.8 | 37.5 | ||
2018 | 2019 | 2020 | 2021 | 2022 |
Rate of ordinary income to total assets / Return on equity
● Rate of ordinary income to total assets (%) ● Return on equity (%)
D/E ratio 0.8
0.8 0.8 0.8
0.7
0.6
2018 | 2019 | 2020 | 2021 | 2022 |
Dividend per share / Payout ratio
■ Dividend per share (yen) ● Payout ratio (%)
Operating | 5,567 |
cash ow | million yen |
13,280 | |||||
7,991 | 8,945 | 5,567 | 6,676 | ||
966 | 2,923 | 1,291 | 869 | ||
(6,515) | (7,765) | (8,892) | |||
(9,602) | (6,034) | ||||
(8,106) | |||||
2018 | 2019 | 2020 | 2021 | 2022 |
EBITDA 16,643million yen
16,643 | ||||
12,861 | 10,983 | 11,084 | 10,845 | |
10,498 | ||||
9,082 | 9,515 | |||
7,483 | ||||
5,573 | ||||
2018 | 2019 | 2020 | 2021 | 2022 |
Return on equity 6.6%
11.4 | ||||
6.5 | 6.5 | 7.5 | ||
6.6 | ||||
4.0 | ||||
3.1 | 4.4 | |||
3.0 | 3.8 | |||
2018 | 2019 | 2020 | 2021 | 2022 |
Payout ratio 31.0%
79.5 | ||||
27.0 | 28.0 | 29.0 | 30.0 | 31.0 |
35.8 | 31.0 | |||
31.1 | ||||
20.5 | ||||
2018 | 2019 | 2020 | 2021 | 2022 |
Non-financial data
Please refer to the Society section ( p.43) for detailed information on our initiatives in social issues.
Total CO2 emissions (Scope1, 2, 3)
2022 605,901t
(653,434t in 2021)
Actual solar panel power generation
2022 2,837MWh
(2,010MWh in 2021)
Ratio of women in management positions*
2022 32.2%
(32.4% in 2021)
Ratio of local employees in management positions*
2022 77.3%
(77.3% in 2021)
*Operation at factories in China (Shanghai and Dongguan), | *Management position: job level above the rank of a manager in |
Mexico, and Indonesia (Karawang). | each consolidated company |
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Siix Corporation published this content on 06 October 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 06 October 2023 00:23:05 UTC.
