Top Message

To Our Shareholders and Investors

In May 23, 2011, TOYO Engineering celebrated the 50th anniversary of its founding. We would like to thank our shareholders and many others for their support and cooperation over the years. In the year of this important milestone, we intend to once again revisit our roots as an engineering company in planning our first steps toward another half century of strong growth. We look forward to your continued support and encouragement.

In fiscal 2010, TOYO made strategic initiatives to expand its engineering, procurement, and construction (EPC) orders in emerging country markets and to improve profitability. Focusing on these markets, we aggressively implemented marketing activities to win orders in the energy, hydrocarbon, and infrastructure fields. To support the expansion of operations in growth markets and to ensure our competitiveness, we further developed our global operations (Global Toyo) and gave priority to investing business resources to strengthen our overseas companies’ capability to handle EPC projects.
Specifically, we acquired a new operating base in Canada and reinforced our operating base in Brazil. We worked to establish a common project management system for our overseas bases and to improve our quality, safety, sanitation, and environment management. At the same time, we maintained our efforts to reduce indirect expenses, revising organizations and business procedures and endeavoring to reduce head office fixed expenses and project expenses.

Despite the above strategic initiatives, consolidated net sales decreased 10.5% from the previous fiscal year, to ¥155.6 billion. Operating income decreased 47.9%, to ¥6.8 billion, while ordinary income declined 51.5%, to ¥7.0 billion. Consolidated net income amounted to ¥3.7 billion, falling 47.1% from a year earlier.

As approved by the annual general meeting of shareholders held on June 23, 2011, TOYO will pay a year-end dividend of ¥5.00 per share.

March 2011
Yutaka Yamada
President & CEO