Asahi Yukizai (4216) Investor presentation summary

Corporate profile and business overview

• Operates in three main segments: Valve & Piping Systems, Resin, and Water Treatment & Natural Resources Development, with FY2023 sales of 87.4 billion yen and 1,718 employees.

• Recognized as a leading niche top company, selected among the 2020 Top 100 Global Niche Companies in the materials/chemical category.

• Global presence with manufacturing and sales bases in Japan, China, India, Mexico, and the USA; overseas sales ratio increased to 41% in FY2023.

• History of innovation, including the world's first thermoplastic valves and ongoing expansion into semiconductor and environmental markets.

Segment performance and growth drivers

• Valve & Piping Systems Divisions contributed 57.5 billion yen in FY2023 sales, with strong demand in corrosion-sensitive industries and semiconductors.

• Resin Divisions generated 22.3 billion yen in FY2023, focusing on electronic materials for semiconductors, foaming, and foundry materials.

• Water Treatment & Natural Resources Development Divisions posted 7.7 billion yen in FY2023 sales, leading in geothermal drilling and recycled water facilities.

• Semiconductor-related products and overseas business expansion are key growth drivers, supported by strategic investments in new plants and modernization.

Financial performance and forecasts

• FY2023 sales reached 87.4 billion yen with an operating profit of 15.6 billion yen, and an operating profit ratio of 18%.

• FY2024 forecast targets sales of 87 billion yen and operating profit of 12 billion yen, recalculated at 150 JPY/USD.

• Dividend forecast for 2024 is 110 yen per share, with a payout ratio of 24.8%.

• 1Q FY2024 saw a YoY decline in sales and profit, with sales down 3.8% and operating profit down 31.2%.