OMRON to Withdraw from the Backlight Business
- September 10, 2019
Kyoto, JapanーOMRON Corporation (Headquarters: Shimogyo-ku, Kyoto; President and CEO: Yoshihito Yamada) today announced that OMRON PRECISION TECHNOLOGY Co., Ltd., a wholly owned subsidiary of OMRON (hereinafter referred to as "OPT"), has decided to withdraw from the backlight business as of the end of fiscal 2019 (March 31, 2020).
OPT and its group companies have experienced a difficult situation in their backlight business. Consequently, OMRON has continued to promote structural reforms for this business. However, market conditions for the backlight business have been changing even more significantly than expected, which made us recognize that it would be difficult for us to maintain this business. Accordingly, we reached the decision to withdraw from the backlight business as of the end of fiscal 2019 (March 31, 2020). With this decision, OPT group's production base in Dongguan, China has discontinued its operations.
About OPT's backlight business
OMRON PRECISION TECHNOLOGY, Co., Ltd., a wholly owned subsidiary of OMRON Corporation, and its group companies are engaged in the design, manufacture, and marketing of small- and medium-sized LCD backlight units mainly for use in mobile devices such as smartphones.
Impact on the OMRON Group's financial results
The impact that the withdrawal from this business will have on our overall financial results for the present fiscal year ending March 31, 2020 will not be material.
About OMRON PRECISION TECHNOLOGY Co., Ltd. and Its Group Companies
President and Representative Director: Ken Tanikawa
Headquarters: 6-1-1 Fujimi, Tsurugashima City, Saitama Prefecture 350-2288, Japan
Capital: JPY 448 million
Employees: 125 (As of September 3, 2019)
OMRON PRECISION TECHNOLOGY (Hong Kong) Co., Ltd.
OMRON PRECISION TECHNOLOGY (Dong Guan) Co., Ltd.