Sekisui Chemical (4204) Investor presentation summary

Vision and long-term strategy

• Aims to double business by 2030, targeting ¥2 trillion in sales and an operating profit margin of 10% or higher, centered on ESG management and innovation for sustainability.

• Roadmap includes three phases: Drive 2022 (FY20–22), Drive 2.0 (FY23–25), and Accelerate 2028 (FY26–28), culminating in Vision 2030.

• Focus areas include innovative mobility, residential, advanced lifeline, and life science frontier, with strategic foresight and organizational capability emphasized.

Review of previous medium-term plan (Drive 2.0)

• Achieved record net sales and operating profit, but fell short of some FY25 targets due to market downturns and one-off expenses.

• Over ¥1 trillion in net sales from products enhancing sustainability; operating profit margin improved but missed target.

• Strategic innovation advanced in perovskite solar cells, aeronautical materials, and next-gen communication, though some commercialization was delayed.

• 75% of management resources allocated to growth-driving and potential businesses, with major investments in electronics, mobility, and housing.

• Materiality targets for governance, DX, environment, human capital, and innovation largely achieved.

Capital allocation and shareholder returns

• Strategic investments and shareholder returns exceeded cash generated; proactive use of debt and green bonds.

• Cumulative total return ratio reached 68%, with 16 consecutive years of dividend growth and progressive dividend policy.