Toray Industries (3402) Investor Day 2026 Part 2 summary

Portfolio priorities and prior performance

• Strategy combines growth and structural reform, with ROIC discipline, higher-value products, stronger cost competitiveness and innovation addressing social needs.

• Several businesses missed FY2025 targets but improved earnings versus FY2022; cited pressures included weaker end-market demand, delayed market adoption and lower chemical spreads.

Resins and chemicals

• FY2028 targets: revenue ¥380bn and operating profit ¥39bn, versus FY2025 revenue ¥341.1bn and profit ¥30.8bn; growth and restructuring are planned in parallel.

• Automotive engineering plastics sales are targeted to rise 12% from FY2025 to FY2028; xEV-related sales are planned to grow 80%, with local development, higher-value products and broader customer coverage.

• PPS growth priorities include xEV, vehicle cooling and industrial water applications; global integration and early full utilization of the new Korean polymerization plant are intended to strengthen cost competitiveness.

• Fine chemicals will expand MDCB in India and China, DMSO in semiconductor and high-price markets, Thiokol LP in certified applications, and polymer microparticles through 3D-printing partnerships.

• Animal pharmaceuticals plan overseas expansion and broader product indications; Rapros approval and launch in Europe and the US, plus global production and new-product development, are priorities.

Films

• FY2028 targets: revenue ¥300bn versus FY2025 ¥305.9bn, operating profit ¥29bn versus ¥14.5bn, and ROIC 7% versus 4%.

• Strategy shifts from commodity plastic films toward functional films that continually improve customer value; resources will focus on upgraded products and integrated coating or metallizing, while high-risk lines are reduced or exited.

• Growth priorities are process and release films for electronics and semiconductors, ultra-thin OPP capacitor film for xEVs, and high-barrier packaging that extends shelf life and reduces plastic use.

• OPP capacitor film held over 60% global share; capacity rose 1.4x after the FY2025 Tsuchiura line start, with another Nasu line planned for FY2026 and ~34% additional capacity.

• Structural reform targets include completing BSF production consolidation and returning European and US film operations to sustained profitability; the Nasu ultra-thin OPP line is scheduled to start in 2027.