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&
Net Sales
(Billions of yen)
300
250
200
150
100
Others
A.L.M.T.
Hard Metal
50
0
Special
Steel Wires
302 282 228 278 278
2008 2009 2010 2011 2012
R&D Expenses
and as a Percentage
of Net Sales
R&D Expenses
R&D Expenses / Net Sales
(Billions of yen) (%)
6
2.5
3
1.4 1.4
1.8
1.5 1.5
2.0
1.5
1.0
0.5
0
4 4 4 4 6
2008 2009 2010 2011 2012
0
Capital
Expenditure
(Billions of yen)
35
30
25
20
15
10
5
0
21 23 9 14 31
2008 2009 2010 2011 2012
Issues Being Tackled in Fiscal 2013
In the hard metal business, we established a cutting tool
production and sales company in Indonesia and sales companies
in Turkey and Brazil in order to bolster our marketing capability in
emerging markets and cut costs by utilizing overseas production
bases. In Japan, meanwhile, we are promoting the recycling
of tungsten, the primary material in hard metal tools, and are
working to ensure the stable procurement of raw materials.
With regard also to sintered parts, we established a new
production base in Indonesia, where automobile production
is growing, which manufactures automobile and motorcycle
engine parts and transmission parts, etc. to increase our market
share in Indonesia.
Concerning special steel wire springs and steel cords, we
are similarly working to increase sales and boost production in
order to meet increased global automotive-related demand.
In its heat sink business, A.L.M.T. Corp. is increasing sales
by developing new products used in vehicles and mobile phone
base stations, as well as for power control and LED boards.
Strategic Topics
Launch of Cutting Tools Featuring Nano-Polycrystalline
Diamond “Sumidia Binderless”
Nano-polycrystalline diamond “Sumidia Binderless,” which has been
developed by Sumitomo Electric, is a diamond material produced by firmly
and directly bonding together
fine grains of several tens of
nanometers. This material has
greater hardness than singlecrystal
diamonds, and overcomes
the drawback inherent to singlecrystal
diamonds, namely the
tendency to split (cleave) in a
specific direction. Drawing on
these outstanding characteristics,
Sumitomo Electric and A.L.M.T.
have launched cutting tools using
“Sumidia Binderless” as the
cutting edge material.
Annual Report 2012
SUMITOMO ELECTRIC
29