OSG Corporation is a comprehensive cutting tool manufacturer. We produce and sell taps, endmills, drills, forming tools and other special products. Our tools are essential requirements for manufacturers producing industrial products. We provide high value-added cutting tools and excellent after-sales service with the various kinds of manufacturing industries all over the world.
In order to achieve our long-term vision, "to become a global top manufacturer of hole-making cutting tools", we will continue to invest our managerial resources in market development in especially the emerging countries.

Summary of the financial results for FY2012

In terms of our management environment for the fiscal year, the demands for cutting tools were growing in Japan, North America, and Korea, whereas the demand in China was affected by economic slowdown. Although the business environment in Europe had been severe, OSG was aggressively cultivating the market. Net sales for FY2012 was 84,083 million yen, 3.9% increase year over year. Operating profit was 13,954 million yen (13.4% increase, year over year), and net profit was 7,138 million yen (20.9% increase, year over year). In Japan and China, we experienced a downturn in demand from the 4th quarter of the fiscal year, but net sales and operating profit in Japan and the Americas were above the FY2011 level. In Europe and Asia, net sales and operating profit were below the FY2011 level. The overseas sales ratio decreased by 1.7% to 48.0% due to the higher sales in Japan.
OSG will continue to enhance its competitiveness and expand overseas production of carbide drills in order to increase our market share.
One of OSG's policies is to visit our customers and communicate with them more than any others. We believe that to strengthen mutual trust is necessary for us to achieve a long-term growth.

Corporate Principle "Global Presence"

Since we established the first overseas subsidiary in the U.S. in 1968, we have established sales, production, and technical support network and provided high-quality and high-performance products and technical support in 29 countries. With over 40 years experience of developing new markets and human assets, OSG has been promoting global market development.

Tool Communication

We regard our tool as a "bridge" between our customers and us. We always try to put ourselves in customers' place. It helps us to develop, design, produce, and deliver the products our customers really want. We communicate with our customers every day through the tools.
We regard communication as important. Based on the communication with our customers, we will provide proper tools and excellent after-sales service that delight them.

March, 2013