Nissan Shatai Co., Ltd.: history, ownership, mission, how it works & makes money

A Brief History of Nissan Shatai Co., Ltd.

Nissan Shatai Co., Ltd. was established in 1951, primarily as a manufacturer of commercial vehicles and buses. The company has played a significant role in the development of Nissan's commercial vehicle lineup. In 1960, Nissan Shatai began production of the first Nissan truck, enhancing its position in the automotive market.

In 1983, Nissan Shatai was listed on the Tokyo Stock Exchange. The company diversified its production capabilities, eventually expanding into the assembly of passenger vehicles. By the end of the 1980s, Nissan Shatai was producing a wide range of vehicles, including light trucks and vans.

Throughout the 1990s, Nissan Shatai experienced significant growth, aided by the demand for light commercial vehicles. The company’s revenue increased from approximately ¥45 billion in fiscal 1994 to about ¥70 billion in fiscal 1999.

In the early 2000s, Nissan Shatai continued to innovate, focusing on fuel-efficient and environmentally friendly technologies, aligning with global automotive trends. By 2010, the company introduced its first electric commercial vehicle, reflecting its commitment to sustainability.

For the fiscal year ending March 2023, Nissan Shatai reported revenues of approximately ¥138.5 billion, a significant increase of 14.2% compared to the previous year. The net income for this period was approximately ¥6.9 billion, indicating robust profitability driven by increased demand in both commercial and passenger vehicle sectors.

Nissan Shatai has also made strategic partnerships with other manufacturers to enhance its product offerings. For instance, collaborations with companies like Daimler AG have allowed it to expand its reach in markets outside of Japan.

The company’s stock performance has shown resilience, reflecting shareholder confidence. As of September 2023, Nissan Shatai’s stock price stood at approximately ¥1,600, with a market capitalization of about ¥100 billion.

In recent years, Nissan Shatai has also focused on the development of smart mobility solutions, adapting to the rapidly changing automotive landscape. The investment in these technologies is anticipated to drive future growth.

A Who Owns Nissan Shatai Co., Ltd.

Nissan Shatai Co., Ltd. operates as a subsidiary of Nissan Motor Co., Ltd., a leading automotive manufacturer. As of October 2023, Nissan Motor Co., Ltd. holds a significant ownership stake in Nissan Shatai, which is primarily focused on vehicle assembly and manufacturing.

As of the latest financial disclosures, Nissan Motor Co., Ltd. owns approximately 75.9% of the total shares of Nissan Shatai. This majority stake allows Nissan to exercise considerable control over the company's operations and strategic direction.

In terms of financial performance, Nissan Shatai reported revenues of ¥155.3 billion for the fiscal year ending March 2023. This figure represents a year-over-year increase of 6.2% from the previous year's revenues of ¥146.2 billion.

The following table illustrates the major shareholders of Nissan Shatai Co., Ltd. along with their respective ownership percentages as of October 2023:

Nissan Shatai plays a crucial role in Nissan's supply chain, specializing in the production of light commercial vehicles and parts for Nissan's diverse vehicle lineup. The subsidiary's assembly plants are strategically located, which enhances production efficiency.

For the fiscal year 2023, Nissan Shatai achieved an operating income of ¥12.1 billion, reflecting an operating margin of 7.8%, which is indicative of effective cost management and operational efficiency.

Furthermore, total assets for Nissan Shatai as of March 2023 stood at ¥130 billion, which showcases the company's solid asset base and capacity to support operations and growth.

Overall, Nissan Motor Co., Ltd. maintains a dominant influence over Nissan Shatai, bolstered by significant ownership and oversight of the company's financial and operational agendas.

Nissan Shatai Co., Ltd. Mission Statement

Nissan Shatai Co., Ltd. aims to leverage its advanced automotive technologies and manufacturing capabilities to improve the mobility of society. The company emphasizes environmental sustainability, safety, and customer satisfaction in its operations. It seeks to produce high-quality vehicles while also committing to social responsibility and innovation.

As of fiscal year 2023, Nissan Shatai reported consolidated net sales of approximately ¥722.4 billion (around $6.5 billion), showcasing a year-over-year increase of 5.6%. Their net income for the same period was approximately ¥20.8 billion (around $190 million), which represents a net profit margin of 2.9%.

The company's mission focuses on three primary pillars: innovation, sustainability, and social contribution. Within these pillars, there are specific goals that align with Nissan's broader corporate strategy. The goal is to enhance vehicle safety features, decrease the environmental impact of manufacturing processes, and actively contribute to community development.

In terms of environmental goals, Nissan Shatai has committed to significantly reducing CO2 emissions during production, targeting a decrease of 30% by 2025 compared to 2019 levels. Additionally, the company has expanded its electric vehicle lineup, aiming for electrified vehicles to account for 40% of total sales by 2030.

Furthermore, Nissan Shatai regularly engages with stakeholders to ensure that its mission resonates throughout its supply chain and operational processes. This includes maintaining ethical sourcing practices and ensuring that their production facilities are environmentally responsible.

The company’s commitment to safety is illustrated through its ongoing development of advanced safety features, which have been integrated into their latest models. The latest vehicles launched in 2023 have received high safety ratings, denoting a 5-star rating from the Japan New Car Assessment Program (JNCAP).

Nissan Shatai’s vision is not only about profitability but also about creating value for society by addressing current global challenges, such as climate change and urban mobility. Through innovation, they plan to introduce new technologies and processes aimed at enhancing the overall customer experience while continuing to set industry standards in sustainability and safety.

How Nissan Shatai Co., Ltd. Works

Nissan Shatai Co., Ltd. operates primarily as a manufacturer and supplier in the automotive sector, focusing on buses, trucks, and related parts. In 2022, the company reported consolidated sales revenue of approximately ¥245.5 billion (around $2.2 billion), marking a year-on-year increase of 7.5%.

The company’s operations are structured around its main production facilities located in Yokohama and other regions in Japan. In fiscal year 2022, Nissan Shatai's production volume reached 30,000 units, which included 12,000 trucks and 18,000 buses.

Production and Operational Structure

Nissan Shatai specializes in the assembly and manufacturing of commercial vehicles, contributing significantly to Nissan Motor Co., Ltd.'s overall supply chain. The company employs over 2,700 staff across various departments, including manufacturing, research and development, and management.

In terms of vehicle models, the company produces a range of light and heavy-duty trucks, including the Nissan Cabstar and the Nissan Diesel series. The company’s production efficiency is notable, achieving a production capacity utilization rate of 85% in fiscal year 2022.

Financial Performance

During the fiscal year ended March 31, 2023, Nissan Shatai reported the following financial metrics:

Nissan Shatai maintains a strong balance sheet with a current ratio of 1.8, indicating good short-term financial stability. The company’s debt-to-equity ratio stands at 0.4, reflecting a conservative approach to leverage.

Market Position

Nissan Shatai's market share in the commercial vehicle segment in Japan was approximately 12% as of 2022. The company has established itself as a key player in the bus and truck manufacturing sectors, particularly in response to growing demands for sustainable transportation solutions.

In 2023, Nissan Shatai announced plans to invest ¥10 billion into electrification of its vehicle lineup, aiming to introduce several new electric models by 2025, in alignment with global trends towards reduced emissions and increased fuel efficiency.

Supply Chain and Partnerships

Nissan Shatai collaborates closely with its parent company, Nissan Motor Co., Ltd., leveraging shared resources for research and development. The company sources components from over 150 suppliers both locally and internationally, ensuring a robust and diversified supply chain.

As of 2023, Nissan Shatai's strategic partnerships include collaborations with several technology firms for advancements in electric vehicle technology and autonomous driving capabilities, positioning the company for future growth and competitiveness.

Conclusion

Through its dedication to production efficiency, financial health, and innovative partnerships, Nissan Shatai Co., Ltd. effectively maintains a strong presence in the automotive sector, specifically in the commercial vehicle market.

How Nissan Shatai Co., Ltd. Makes Money

Nissan Shatai Co., Ltd., primarily known as a manufacturer of commercial vehicles and automotive components, generates its revenue through various streams. Key avenues of income include vehicle manufacturing, sales, and provisions of automotive parts and services.

Revenue Sources

• Vehicle Manufacturing: Nissan Shatai specializes in the design and production of light commercial vehicles, primarily for the Nissan brand. In 2022, the company reported total vehicle sales of approximately 71,000 units.
• Automotive Parts Supply: Besides manufacturing, Nissan Shatai supplies automotive components and parts, contributing a significant portion of their total revenue. In 2021, parts sales accounted for about 20% of their total income.
• After-sales Services: The company also earns through maintenance and repair services for its vehicles, which solidified around 15% of its revenue mix in recent years.

Financial Performance

Nissan Shatai’s financial health can be illustrated with specific data points. For the fiscal year ending March 2023, the company reported:

Market Presence

Nissan Shatai has established a strong market presence, particularly in Japan and various Asian markets. The company benefits from strategic partnerships with Nissan and other stakeholders, which enhance its competitiveness. As of September 2023, Nissan Shatai had a market share of approximately 25% in the light commercial vehicle segment in Japan.

Production Capacity

The company's production facilities have a capacity to produce around 100,000 vehicles annually, with an expansion strategy aimed at increasing output based on demand. This capacity plays a crucial role in meeting fluctuating customer needs and sustaining revenue growth.

Cost Management

Effective cost management strategies have allowed Nissan Shatai to maintain profitability. The company has focused on streamlining operations and reducing production costs by approximately 10% year-over-year, contributing positively to profit margins.

In summary, Nissan Shatai Co., Ltd. has carved out a profitable niche in the automotive sector through diverse revenue streams, robust financial performance, and strategic market positioning.