AGC (5201) Company Presentation summary

Corporate profile and business overview

• Operates globally with 186 subsidiaries, 70% of sales and employees outside Japan, and net sales of ¥2,067.6 billion in FY2024.

• Business segments include Chemicals, Electronics, Architectural Glass, Automotive, Life Science, Ceramics & Others.

• Holds top global or regional market shares in float glass, automotive glass, caustic soda, PVC, and fluorinated resins.

• Core philosophy emphasizes innovation, operational excellence, sustainability, and integrity.

• Value creation focuses on economic and social value, targeting ROE of 10%+ and sustainable growth.

Strategic direction and management

• Pursues an "ambidextrous strategy" balancing core and strategic businesses for resilience and growth.

• Vision 2030 aims for a sustainable society and continuous evolution through differentiated materials and solutions.

• Medium-term plan "AGC plus-2026" targets ROE of 8%+ by 2027, with strategic business OP of ¥180B+ in 2026.

• Business portfolio transformation prioritizes asset efficiency, growth, and carbon efficiency.

• Strengthens management foundation via digital transformation, governance, and human capital development.

Financial performance and targets

• Operating profit for 2026 projected to rise 40% from 2024, with Life Science returning to profit.

• Strategic businesses expected to drive 50%+ of group operating profit by 2026.

• Large investment round ends in 2025; focus shifts to cash generation and strategic allocation from 2026.

• Maintains stable dividends (target DOE ~3%) and flexible share buybacks, with a 50%+ total return ratio.

• ROE has been volatile, impacted by impairment losses and business transfers, but improvement measures are underway.