For immediate release
February 7, 2022
Notice regarding Medium-Term Business Plan
Tokyo, February 7, 2022 - KH Neochem Co., Ltd (TSE: 4189, President and CEO: Michio Takahashi, "KH Neochem") announced that KH Neochem Group has formulated the 4th Medium-Term Business Plan covering the three-year period from the fiscal year ending December 2022 to the fiscal year ending December 2024.
KH Neochem Group has been contributing to solving social issues by providing products that are useful for the environment and people's lives. In the 4th Medium- Term Business Plan, we will further accelerate this movement by positioning "Driving sustainable management" as our basic policy and pursuing the following three basic strategies.
Basic Strategies
- Further Growth in the Strategic Domains
- Medium- to Long-Term Initiatives to Resolve Social Issues III. Improvement of business framework
In addition, we have set numerical management targets of achieving accumulated consolidated operating income of 48.6 billion yen, accumulated consolidated EBITDA of 63.5 billion yen, and ROE of 15% or higher for the three-year period.
For details, please refer to the attached document, "4th Medium-Term Business Plan: Driving Sustainable Management."
Financial forecasts and other forward-looking statements included in this document are based on the information currently available to KH Neochem and certain assumptions deems reasonable, and KH Neochem makes no commitments regarding their achievability. Actual business results may differ materially from the forecast due to variety of factors.
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4th Medium-term
Business Plan
(2022 -2024)
Driving Sustainable Management
February 7, 2022
KH Neochem Co., Ltd.
Contents
1 VISION2030
- Review of 3rd Medium-term Business Plan
- The 4th Medium-term Business Plan
Recognition of the Business Environment
Basic Policy and Basic Strategy
StrategyⅠ Further Growth in the Strategic Domains
StrategyⅡ Medium- to Long-Term Initiatives to Resolve Social Issues
StrategyⅢ Improvement of business framework
Investment Plan
Financial and Capital Strategy
Numerical Management Targets
2
VISION 2030
A Leading Global Specialty Chemical Company
Ambitions
1 Providing specialty chemicals that contribute to the reduction of global warming and to a better quality of life
- Expansion of products with the largest global share and new businesses in three strategic domains
- Top-classprofitability in the chemical industry (Operating income margin of 15%)
2018 CY | Taking on |
Net Sales 101.2 bn yen | |
Operating Income 10.9 bn yen | New Challenges |
2030 CY
Net Sales 180 bn yen Operating Income over 25 bn yen
3rd medium-term plan 4th medium-term plan 5th medium-term plan 6th medium-term plan
2019 | 2030 | 3 |
Review of 3rd Medium-term Business Plan
Even under coronavirus crisis, we achieved not only the management targets for the
final year of the medium-term business plan but also record high earnings
2021 | |||
（Plan） | （Actual） | ||
Net Sales | 110.0 | 117.1 | |
bn yen | bn yen | ||
Operating | 13.5 | 19.7 | |
income | bn yen | bn yen | |
Return on | 18% | 28% | |
Equity | |||
Equity ratio | 47% | 45% | |
Net Sales | Operating Income |
（bn yen） | （bn yen） |
101.9 | 94.2 | 12.0 | 9.6 | |
5.6 | ||||
105.8 | 77.3 | 11.8 | ||
110.0 | 117.1 | 13.5 | 19.7 | |
Plan | Actual | Plan | Actual | |
2019 | 2020 | 2021 | 4 | |
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