Nippon Chemi-con Corporation · TSE:6997
Nippon Chemi-con — Investor Presentation (2026)
36 slides from Nippon Chemi-con's investor presentation, 2026
Slide 1: 11th Medium-term Management Plan
11th Medium-term Management Plan TSE Prime Market, Securities code:6997 NIPPON CHEMI‐CON CORPORATION 2026 0
Slide 2: Contents
Contents 1. Analysis of our External Environment and Reflecting on the 10th Medium-term Management Plan P. 2 2. Medium to Long-term Management Vision and a Summary of our 11th Medium-term Management Plan P. 6 3. Summary of Business Strategy P.10 4. Summary of Financial Strategy P.18 5. Appendix P.23
Slide 3: Analysis of External Environment and Reflecting on the 10th Medium-term Management Plan
1. Analysis of our External Environment and Reflecting on the 10th Medium-term Management Plan NIPPON CHEMI‐CON CORPORATION 2026 2
Slide 4: Megatrends, Changes in the Social Environment, and our Contributions to Society
Megatrends, Changes in the Social Environment, and our Contributions to Society ◼ Contribute to society through our business activities by responding to the changes in society and industry anticipated based on megatrends Megatrends Changes in society and industry Our contributions to society Global
Slide 5: Summary of the Aluminum Electrolytic Capacitor Market
Summary of the Aluminum Electrolytic Capacitor Market ◼ The electronic components and the aluminum electrolytic capacitor markets are projected to see continued growth driven by the electrification of mobility devices, software control and upgrades accelerating the adoption of software defined vehic
Slide 6: Reflecting on the 10th Medium-term Management Plan
Reflecting on the 10th Medium-term Management Plan ◼ While we achieved a certain level of results on an individual policy level, overall we fell significantly short of the KPI for the 10th Medium-term Management Plan due to changes in market conditions triggered by geopolitical factors and a decline
Slide 7: Medium to Long-term Management Vision and Summary of 11th Medium-term Management Plan
2. Medium to Long-term Management Vision and a Summary of our 11th Medium-term Management Plan NIPPON CHEMI‐CON CORPORATION 2026 6
Slide 8: Medium to Long-term Management Vision and Positioning of the 11th Plan
Medium to Long-term Management Vision and How we Position the 11th Medium-term Management Plan ◼ In light of our results from the 10th Medium-term Management Plan, we formulated policies and business strategy for our 11th Medium-term Management Plan to promote the realization of our Medium to Long-t
Slide 9: Business policies for realizing Medium-term Business Vision and Management Goals
Business policies for realizing our Medium-term Business Vision and Management Goals ◼ Aim for medium and long-term business growth by implementing business strategy that is aligned with market characteristics to increase sales and market share Medium-term business vision by market Market characteri
Slide 10: Overall Business Strategy for the 11th Medium-term Business Plan
Overall Business Strategy for the 11th Medium-term Business Plan ◼ We outline rebuilding our business foundation to center on strengthening the competitiveness of our aluminum electrolytic capacitor business as our policy for the 11th Medium-term Business Plan. We will achieve medium- and long-term
Slide 11: Summary of Business Strategy
3. Summary of Business Strategy NIPPON CHEMI‐CON CORPORATION 2026 10
Slide 12: Improve Break-even Sales Ratio by Reforming Business Revenue Structure
Business Strategy: Improve Break-even Sales Ratio by Reforming Business Revenue Structure ◼ Aim for shift to business revenue structure that is highly adaptable to market fluctuations by improving our break-even sales ratio through cost restructuring that reduces fixed costs and sales measures for i
Slide 13: Cost Restructuring: Optimal Production Structure
Business Strategy: Cost Restructuring | Strengthen Market Competitiveness by Establishing an Optimal Production Structure ◼ Improve market competitiveness through the medium- and long-term consolidation of production and shifting to overseas production to establish a production structure that is opt
Slide 14: Cost Restructuring: Material Procurement and Logistics & Inventory
Business Strategy: Cost Restructuring | Optimal Location for Material Procurement and Logistics & Inventory Management ◼ Support business revenue growth driven by an optimized production structure by promoting local procurement and strengthening logistics & inventory management Strengthen market com
Slide 15: Approach to Growth Markets
Business Strategy: Approach to Growth Markets ◼ Strengthen profitability by securing orders for high-capacitance aluminum electrolytic capacitors for the AI server market, which is expected to be highly profitable Global AI server demand forecast Approach to AI Server Market 17,938 18,669 (Unit: k
Slide 16: Approach to Recapturing Mass Market Share
Business Strategy: Approach to Recapturing Mass Market Share (General Purpose Products) ◼ Aim to recapture share in each target market through cost restructuring centered on optimal production to increase market competitiveness Automotive Approach to recapture share: Build optimal manufacturing foot
Slide 17: Market Approach Based on Building a Business Structure in the ASEAN Region
Business Strategy: Market Approach Based on Building a Business Structure in the ASEAN Region ◼ Strengthen sales structure by shifting sales management functions in the ASEAN region from Singapore to Thailand, where the manufacturing bases of our major customers are concentrated ◼ Aim to increase pr
Slide 18: Creating Business Earnings through Cost Structure Reform and Marginal Profit Expansion
Business Strategy: Creating Business Earnings through Cost Structure Reform and Marginal Profit Expansion ◼ Through cost restructuring and marginal profit expansion, we will build an earnings structure resilient to market fluctuations and achieve operating profit of ¥14.0bn in FY2028. ② ③ ④ Local
Slide 19: Summary of Financial Strategy
4. Summary of Financial Strategy NIPPON CHEMI‐CON CORPORATION 2026 18
Slide 20: Financial Strategy Policy in the 11th Medium-Term Business Plan
Financial Strategy: Financial Strategy Policy in the 11th Medium-Term Business Plan ◼ Establish a stable revenue base through growth investments, and build a financial foundation that is resilient to change and flexible by redeeming Class A shares and improving our financial structure Financial Stra
Slide 21: Financial Strategy: Cash Allocation
Financial Strategy: Cash Allocation ◼ While considering business characteristics and the external environment, we will allocate roughly 40% of cash flow from operating activities towards business investments, with the remaining 60% to go towards building our financial foundation ◼ We will resume com
Slide 22: Promote a Plan focused on Cost of Capital and ROE
Financial Strategy: Promote a Medium-term Management Plan focused on Cost of Capital and ROE ◼ By implementing each business strategy initiative, we aim to achieve an ROE exceeding the cost of equity (10-11%) in the final year of the 11th Medium-term Management Plan and enhance corporate value Key i
Slide 23: Financial & Non-financial KPI
11th Medium-Term Management Plan | Financial & Non-financial KPI ◼ By implementing business, financial, and non-financial strategies, we aim to achieve sustainable improvements in corporate value through growth and evolution toward our future vision FY2025 Results FY2028 forecast FY2026 forecast (Fi
Slide 24: Appendix
5. Appendix NIPPON CHEMI‐CON CORPORATION 2026 23
Slide 25: Identifying Material Issues and Initiatives in the 11th Plan
Identifying Material Issues and Initiatives in the 11th Medium-term Management Plan ◼ We aim to improve corporate value and contribute to society by implementing initiatives through business strategies that are aligned with the material issues we identify Corporate Philosophy, Purpose, Material Issu
Slide 26: Environmental Strategy: Strengthening Response to Climate Change
Non-Financial Strategy: Environmental Strategy – Strengthening Response to Climate Change ◼ Aiming to reduce CO2 emissions through energy conservation and the promotion of renewable energy adoption, in order to achieve carbon neutrality (CN) Medium- to Long-Term Environmental Targets for Achieving C
Slide 27: Human Resource Strategy, Governance Strategy
Non-Financial Strategy: Human Resource Strategy, Governance Strategy ◼ Transform our corporate culture and build a strong management platform by strengthening governance functions that are linked to our human resource strategy Human resource strategy for transforming our corporate culture Strengthen
Slide 28: DX Strategy: Achieving Highly Linked Business Activities
Non-financial Strategy: DX strategy – Achieving Highly Linked Business Activities – ◼ Implement DX to achieve rapid business execution, create new value, and build a strong management platform Promote DX to realize highly linked business activities and create value Quality Realize rapid business act
Slide 29: Financial Strategy: Capital Procurement Summary
Financial Strategy: Capital Procurement Summary ◼ To both secure investment capital and maintain a sound financial foundation, finance capital by issuing new class shares to the Development Bank of Japan (DBJ) Secure investment capital during the new Medium-term Maintain the financial foundation est
Slide 30: Financial Strategy: Need for Equity Financing
Financial Strategy: Need for Equity Financing ◼ Securing long-term, stable financing is essential for enhancing profitability through strategic investments in growth markets outlined in the new Medium-Term Management Plan. ◼ In addition to building shareholders’ equity through retained earnings, eq
Slide 31: Response Policy for Class Shares
Financial Strategy: Response Policy for Class Shares ◼ The cash redemption of Class A shares allocated to JIS will be carried out before the redemption premium increases ◼ Issue new class shares to the DBJ to secure growth investment capital and maintain a sound financial foundation during the 11th
Slide 32: Comparison of New and Existing Class Shares
Financial Strategy: Comparison of New and Existing Class Shares ◼ Mitigating Potential Stock Dilution Risks and Reducing Cost of Capital ◼ We are evaluating our Redemption Policy for new class shares based on our operating environment and financial soundness during the period of the new Medium-Term
Slide 33: Addressing Common Share Dilution Risk
Financial Strategy: Addressing Common Share Dilution Risk ◼ While the combined dilution rate of Class B and Class D shares is estimated to be up to approximately 15%, we will work to minimize dilution risk through an increase in stock price driven by improved business earnings (As of May 22, 2026) (
Slide 34: Reasons for Selecting Capital Procurement Method
Reasons for Selecting Capital Procurement Method ◼ Having considered financial soundness, the absence of common share dilution, and the certainty of capital procurement, we chose a capital policy of selecting capital financing through a third-party allocation of new class shares Monetary redemption
Slide 35: Use of Procured Capital
Use of Procured Capital ◼ Investments to strengthen profitability in growth markets and mass markets (general purpose products) as outlined in the new Medium-term Management Plan ◼ Use procured capital to strengthen profitability in each market and achieve business growth Specific purpose of use of
Slide 36: Disclaimer
Disclaimer This material has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail. The projected performance figures in this material are based on information ava