RDD2030 is the roadmap of our Medium-Term Management Plan. This is divided into three phases from FY2022 to FY2030 (FY2022 to FY2024: Phase 1, FY2025 to FY2027: Phase 2, and FY2028 to FY2030: Phase 3). Redox technology cultivated through plating will be used to create added value and achieve the goal of “Redox technology as a battery material!” Redox technology for battery materials! To achieve this goal, we are investing in technology to create new business areas and in sales and marketing to deepen our business partners’ relationships with them through Digital Transformation (DX). Although we revised our Medium-Term Management Plan due to the slow recovery of the market in the first phase, we aim to achieve our medium-term ROE target of 10% by returning to the growth path as soon as possible without delaying the recovery of the market.
Medium-Term Management Plan FY2025-2027
Medium-Term Management Plan FY2022-2024
What We Aim for in RDD2030
Redox Technology1 Cultivated in Plating Supports
A prosperous future from the nano-level2
Notes:
1. Redox: Redox is a hybrid of reduction and oxidation, meaning oxidation-reduction
2. 1 nanometer = 1 billionth of a meter
Positioning of the Medium-Term Management Plan (Phase 2)
Under the corporate philosophy of “Contributing to Electronics Through Curiosity for Chemistry”, Phase2 of the Medium-Term Management Plan
for the 2030 Vision “RDD2030” is about to begin.
Positioning of the Medium-Term Management Plan (Phase 2)
Growth Model through Business Domain Expansion
Environmental Awareness and Strategic Direction
| Market Trends |
Semiconductor Growth Toward a Future Society |
| Situation of Our Company |
Gold’s (Au) strength is unwavering, but gold’s surge Increasing mismatch with business areas |
| Competition and Collaboration |
Leverage the strength of scale, Niche-top small companies also exist |
To be Niche Tops Unite to Create a Synergistic Corporate Entity
As a leading gold company, we take leadership to integrate the entire process from the final stage,
transforming into a total process company for the plating process.
Business Strategy
-Keynote Theme: Business Expansion through Investment
Business Expansion through Strategic Investments
Action
| Acceleration of M&A |
- Acceleration of ongoing discussions
- Search for new partners
- Maximize territory through collaboration with multiple companies
|
Active Participation in Technology
Ualliances and Capital Participation |
- Progressing in 9 technical areas
- Expanding participation in consortiums
|
| Investment in Intellectual Intangibles |
- Strengthening the IP portfolio
|
Acquisition of Before/After “Gold” plating process
Acquisition of technology for Other than plating & gold
Acquisition of bases (Overseas / Domestic)
Semiconductor Field Customer Development
Acceleration of Battery Business
Strengthen Business through Investment
Action
| Enhancement of Development Functions |
- Resource enhancement of advanced semiconductors (GaN, SiC, etc.)
- Development and expansion of development facilities
- Advanced and efficient R&D through the use of AI
|
| Reform of Sales Style |
- Improved customer engagement through CRM
- Establishment of an integrated sales style
|
| Development of the JPC Brand |
- Advertising and CSR development
- Improve employee wellbeing
|
Accelerate Develop Technologies in Semiconductor Area
Strengthen Sales Function Quality & Quantity (Overseas/Domestic)
Strengthening Total Process Proposals
Fostering Customer Engagement
Employee Performance Improvement
Enhancement of Execution Capability
Action
| Establishment of a Stable Management Infrastructure |
- Acquisition of specialized personnel
- Expansion of information disclosure
- Strengthening of safety and quality management systems
- Proactive PR, IR, and SR activities
|
| Strengthen Supervision by the Board of Directors |
- Oversight of plan execution
- Operation of the checking process by the CX Progress Committee
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Addressing Consolidated Accounting
Cooperative System Construction Between Locations
Strengthening of Group Management Functions
Engagement with Shareholders and Investors
Reliable Strategy Execution
Sustainability Management Initiatives
Basic Sustainability Policy
- We will conduct business activities based on the premise of making effective use of resources and contributing to the creation of a sustainable society.
- Facing social issues based on the corporate philosophy of “Contributing to Electronics Through Curiosity for Chemistry”, deepening collaboration with stakeholders and building bridges between fine chemicals and electronics.
- The following four material issues will not only reduce the risk of the business but also lead to profit opportunities, recognizing these issues as important management challenges, we will work diligently to address them.
Materiality
Creating Environmentally Friendly Products
- Develop and commercialize environmentally friendly products such as nickel-free and cyanide-free products (continuing).
- We are working with several organizations to bring our knowledge of redox to the rechargeable battery field Conduct evaluation (continuing)
- Revised CSR guidelines.
Promote consideration for the environment and human rights throughout the supply chain (FY2024)
Promotion of Human Capital Management
- New personnel system to define active and autonomous human resources and to recruit and train them, evaluation system, new ways of working, educational programs, etc. are in place (to be developed and expanded).
- Started and continued fixed-point checks through engagement surveys
- We also have growth support and incentive systems that emphasize employee well-being, with the gradual expansion of benefit programs (continuing)
Qualitative Improvement of Intellectual and Intangible Assets
- CRM is used to strengthen information linkage with customers and improve services. (Full-scale operation from FY2025)
- Promotion of paperless operations and improvement of information availability through the introduction of workflow and electronic stamping (through FY2024)
Strengthening of Management Base
- CX Progress Committee consisting of internal and external directors, corporate auditors, and outside experts
- The meeting is held to discuss important themes and check progress in a timely manner.
(Actual in 2024: 12 times →continue to expand)
- Enhance sustainability disclosure (continue to expand)
Annual reports, CG reports, CDP responses, public website, etc.
Sustainability
Management Objectives
Financial Objectives
Financial Policy
- Although business performance is on the way to recovery, operating cash flow (C/F) to be generated during the 3-year period of the Medium-Term Management Plan will be allocated to “investment in Existing Businesses” and “Stable Shareholder Returns”.
- Execute medium- to long-term growth investments by leveraging ample cash reserves and liquidation of strategic equity holdings
Reduction of Policy Stockholdings
ROE Targets
- During the period of this Medium-Term Management Plan (FY2025-2027), we expect to maintain a certain level of net income and ROE in line with the sale of strategic shareholdings.
- Aim for ROE of over 10% in the long term by realizing growth investments and optimizing the capital structure
Optimal Capital Structure, Balance Sheet and C/F Image
- Execute medium- to long-term growth investments by leveraging ample cash reserves and liquidation of strategic equity holdings
- A portion of the proceeds from the reduction of policy shareholdings will be returned to shareholders.
Shareholder Return Policy
Basic Policy (FY2025-2027)
- Balancing capital efficiency and financial soundness for long-term growth
- As a prime market listed company, actively engage in a certain level of shareholder return that is not greatly influenced by immediate business performance
- Adopt a dividend policy with a minimum DOE (dividend on equity ratio) of 5% in addition to the dividend payout ratio
- In the course of optimizing capital adequacy levels, capital-related indicators (ROE, DOE) are calculated on an equity basis.
- Consider implementing share repurchases in a flexible manner, depending on the situation.
Non-financial Targets
|
FY2024 |
FY2027 (Goal) |
| GHG Emissions |
173t* |
150t |
| Energy Consumption |
109t* |
100t |
| Employee Engagement |
65pt |
68pt（+3pt） |
*Preliminary figures
Other Indicators and Targets
| Certification as a Corporation of Excellent Health |
Certification continued. |
| Male Parental Leave Utilization Rate |
100% |
| Ratio of Female Executives |
15% (FY2030) |
| Percentage of Female Executives |
30% (FY2030) |