Dainichiseika

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To Our Shareholders and Investors

Dainichiseika Group, positioned at midstream in the chemical industry, develops and provides new products in collaboration with its customers. We handle a diverse range of products, including pigments, synthetic resins, and polymers derived from natural substances. Our offerings are used on products spanning a broad range of industries, from items related to daily life, such as textiles and food packaging, to industrial materials, including automotive components, electrical equipment parts and construction materials, as wells as information-related materials.

As a result, we have built a portfolio that is relatively impervious to economic fluctuations. Amid a changing economic environment, we aim to strengthen the portfolio for the Group’s continuous growth and to realize medium- to long-term corporate value.

Capital Investments

We are continuing our efforts from the previous year to invest in products that we expect to grow domestically and internationally, and in improving technological and manufacturing efficiencies.
We introduced an enterprise resource planning (ERP) system in Japan and at several overseas locations. Additionally, in October 2018, we adopted a system in Japan for responding to an ongoing logistics issue. Utilizing these new systems, we are promoting logical business management, and we plan to progressively implement ERP systems at overseas locations that are still not using them.

Financial Data

Targeting ROA of 5% or higher as a management objective, we pursue policies introduced from a medium- to long-term perspective. We sustain our operations by maintaining a focus on ordinary income. In response to changes in the domestic market, we are shifting our weight toward growth products and products that differentiate us from other companies, and thereby strengthening profitability. Going forward, we will continue measures to augment our corporate value, and intend to provide stable shareholder returns.

I thank our shareholders and investors for the trust they have placed in our Group to date. We aim to remain worthy of your trust going forward.

President & Representative Director Koji Takahashi