Achieving the Medium-Term Management Plan Targets

「Under the previous medium-term management plan for fiscal 2021 through fiscal 2025, the earnings structure improved through rationalization, including business withdrawals and the consolidation of sites, and the shift toward higher value-added products. However, the company was unable to offset soaring raw material costs associated with geopolitical risks and other factors and did not achieve its originally targeted earnings level. Taking this result seriously, the company formulated a new medium-term management plan designating the 5 years from fiscal 2026 as a period of structural reform.」

「Based on the five-year medium-term management plan for fiscal 2021 through fiscal 2025, which ends in the current consolidated fiscal year, we are focusing on improving our manufacturing capabilities and reshaping our business portfolio. During the interim consolidated accounting period, we accelerated efforts to strengthen the earnings power of core businesses by maintaining appropriate prices and to concentrate resources on growth areas, while improving our fundamentals through rigorous inventory and quality management,」

「Operating profit for fiscal 2024 (the fiscal year ending March 2025) was ¥829 million, meaning that the revised fiscal 2025 target was achieved ahead of schedule. Operating profit for fiscal 2025 (the fiscal year ending March 2026) is forecast at ¥900 million.」

「Because the management targets for the final year of the plan had diverged from current performance, the target figures were revised on 6 June 2024. The fiscal 2025 targets are sales of ¥34.0 billion, operating profit of ¥800 million and ROE of at least 6.0%. Performance in fiscal 2023 was sales of ¥32.8 billion, operating profit of ¥300 million and ROE of 1.3%.」

「In accordance with the medium-term management plan for the fiscal years ending March 2022 through March 2026, our Group is advancing a transformation of its business structure to achieve sustainable management. Regarding the review of our earnings structure, we will streamline and rebuild unprofitable businesses while prioritizing resources for new businesses, including products that reduce environmental impact and products with high environmental value, such as biomass-derived products. In terms of developing new businesses, we are focusing on the biomass business. We will grow 3 brands, including the biomass-derived cosmetic ingredient 「リカナチュラ」, which contributes to solving environmental issues, the biomass-derived lubricant 「エヌジェルブ」 and the biomass-derived plasticizer 「グリーンサイザー」.」

「In accordance with the medium-term management plan for the fiscal years ending March 2022 through March 2026, our Group is advancing a transformation of its business structure to achieve sustainable management. Regarding the review of our earnings structure, we will streamline and rebuild unprofitable businesses while prioritizing resources for new businesses, including products that reduce environmental impact and products with high environmental value, such as biomass-derived products.」

「In accordance with the medium-term management plan for the fiscal years ending March 2022 through March 2026, our Group is advancing a transformation of its business structure centered on sustainability. While prioritizing resources for new businesses with high environmental value, such as biomass-derived products, and accelerating their monetization, we will accelerate efforts to streamline and rebuild unprofitable businesses.」

「Against this backdrop, our Group is pursuing initiatives to achieve the target set out in the medium-term management plan launched in fiscal 2021: “Boldly take on challenges related to the environment, society and people (life), and aim to become a value-creating company.”」

「Against this backdrop, our Group is pursuing initiatives to achieve the target set out in the medium-term management plan launched in fiscal 2021: “Boldly take on challenges related to the environment, society and people (life), and aim to become a value-creating company.” To reduce the environmental impact of our business activities, we have begun procuring renewable energy and are reforming our research and development processes, including by concentrating development resources in fields that address environmental issues. The new crystallization nucleating agent “ＲｉＫＡＣＲＹＳＴＡ,” launched in June 2022, has received favorable evaluations from molding processors for contributing to shorter cycle times and energy savings in the molding and processing of polyolefin resins.」

「To reduce the environmental impact of our business activities, we began procuring renewable energy and are reforming our R&D processes, including by concentrating development resources in fields that address environmental issues. In June 2022, we developed and launched a new nucleating agent that contributes to shorter cycle times for polyolefin resins and leads to energy savings.」

「In line with the business strategies set out in the medium-term management plan launched in April 2021, we are expanding sales of high-value-added products, including resin raw materials for mobility and electronic materials and resin modifiers for medical devices, while advancing product development aimed at addressing environmental challenges and coexisting with the global environment.」

「We are pursuing business strategies aimed at achieving the targets of the medium-term management plan that began in April 2021.」