MESSAGE

“The manufacturing expertise of Made in Matsuoka”
Raising productivity and quality as our two wheels,
we will accelerate our growth as a whole group

Our group perform sewing of pieces of clothing as well as development and processing of materials in our factories, deployed in five Asian countries, mainly for Japanese customers.

On May 2021, our group formulated a medium-term management plan “Vision 2025”. In the fiscal year ending on March 2023 of Phase 1 (fiscal year ending in March 2022 to fiscal year ending in March 2023), we have engaged in “further diversification of supply chains (production base network)” and “further reinforcement of ‘high quality manufacturing expertise’” for the “preparation term of post-corona.”

In the apparel industry, due to the lockdown of post-corona, it has become difficult to secure workers in production sites and confusion arose in the supply chain with the decrease in the number of sewing factories, the so called “making places.” In order to avoid the effects and the geopolitical risks during the corona period, apparel manufacturers have further reviewed and optimized their places of production. Since our company have been working on shifting production bases from China to ASEAN member countries and recruiting workers as planned, it has become our receiver to diversify risks. For our financial results for the last fiscal year for phase 1 ending on March 2023, the profit had been squeezed due to prefrontal expenses of the completion of factory constructions in Vietnam and Bangladesh and due to the increase in production costs from yen depreciation. However, we have steadily increased orders through meeting customer needs of shifting production from China to ASEAN member countries. We will continue on to increase our advantage while steadily recruiting workers and strengthening our order taking activities.

During the last two years of phase 1, large investments were executed and new factories were established in Vietnam and Bangladesh with an eye on post-corona. Although the construction was during the corona period, in which we were not able to enter the countries, it had successfully made it to completion and we were able to start preparations for phase II of the medium-term management plan, positioned as the “new growth phase.” Since the production rate of our own company increased by establishing the new factory, clarifying “the manufacturing expertise of Made in Matsuoka” and raising the proficiency level of each worker recruited at our new factory will be our large theme from now on. We will enhance our competitiveness by achieving quality level above and beyond required by our customers and increasing our productivity while expanding our production amount.

For the Phase II of the medium-term management plan, starting from this fiscal term, we are considering to make it a period of challenge for the entire group, pursuing our ideal Matsuoka state as a manufacturer and increasing our productivity and quality. In order to set our foundation, we have been increasing our board of directors and reinforcing our management structure to strive forward as a whole group to successfully achieve the medium-term management plan.

We would appreciate your continued support.