Financial Report for Fiscal
Year Ended March 31, 2020
May 18, 2020

1

Contents
1. FY ended 03/2020 Results

2. FY ending 03/2021 Plan
3. Medium-term Management Plan
4. Company Overview

2

Contents
1. FY ended 03/2020 Results

2. FY ending 03/2021 Plan
3. Medium-term Management Plan
4. Company Overview

3

Overview of FY ended 03/2020 Results Achieved all-time highs in orders, sales, and profit.
• Large-scale investment in electronics manufacturing industry domestically and in Taiwan
recovered in the second half.
• Service Solutions was strong in the electric power and water supply and sewage fields andgeneral industry.
• Improved plant-related earnings and expansion in solutions both contributed to the increase.
(Unit: Billion JPY)

103.8
18.7

85.0

95.0
19.0

Operating Income

Sales

Orders
104.9
18.5

92.2
18.4

86.4
76.0

73.8

96.0

96.5

19.0

18.5

77.0

77.9

9.9
0.9
6.5

6.6

1.3

1.4
8.9

5.1

5.2

03/2019

03/2020

03/2020

03/2019

03/2020

03/2020

03/2019

03/2020

03/2020

ActualPlan

ActualActualPlan

ActualActualPlan

Actual■ Water Treatment Engineering■ Performance Products
4

FY ended 03/2020: Impact of Spread of 2019 novel coronavirus Infection

・Despite some issues regarding logistics and movement of people since
February 2020, the impact has been limited.
Domestic・Despite a decrease in some customer factory operating rates due todecreases in exports and inbound demand, the impact on full-year results
was negligible.

Overseas

・The results of overseas subsidiaries are calculated in December, so
there was no impact on results for the year ended March 2020.

5

Results for Year Ending March 2020
March 2019
ActualMarch 2020
Initial Plan

March 2020
ActualYear-on-Year

Actual-toForecast

Orders

103.8

95.0

104.9

+ 1.1

+ 9.9

Sales

92.2

96.0

96.5

+ 4.2

+ 0.5

Gross profit margin

22.9

23.4

27.2

＋4.3

＋3.8

(%)

(24.8%)(24.4%)(28.3%)(+ 3.4pt)(+ 3.9pt)

SG&A1

16.3

16.8

17.3

+ 1.0

+ 0.5

Operating income
ratio

6.5

6.6

9.9

+ 3.3

＋3.3

(7.1%)(6.9%)(10.3%)(＋3.2pt)(+ 3.4pt)

Ordinary income

6.5

6.5

9.9

＋3.3

＋3.4

Profit attributableto owners of theparent company

4.4

4.4

7.1

＋2.7

＋2.7

Unit: Billion JPY(%)

1: SG&A = Selling, General, and Administrative expenses

6

FY ended 03/2020: Orders by Region
 Despite slowdown in China, orders domestically and in Taiwan recovered in the second
half.
• Domestic large-scale semiconductor-related project, the largest in our company’s history;order in second half for advanced investment project related to a foundry in Taiwan.
• Semiconductor investment slowed down in China, impacted by trade friction with the US.
(Unit: Billion JPY)

Orders Overseas
by region

Orders(Domestic/Overseas)
1,200

103.8
1,000

74.0
800

16.1

88.0
19.6

200

23.0

57.9

29.8
40%

7.4

22.3%
68.3

74.0

16.1

21.5%

28.7%
21.8%

22.5

50%

30%

600

400

29.8

95.0

104.9

24.2%
72.0

20%

82.3
10%

5.5
4.2
6.4

0

19.6
4.6
7.8

6.9

23.0
6.0
6.0

15.4

7.2

11.0

22.5
4.3
3.1
15.0

0%

03/2017 03/2018 03/2019 03/2020 03/2020
Plan

Domestic

Overseas

ActualOverseas Ratio

03/2017 03/2018 03/2019 03/2020 03/2020
Plan

TaiwanChina

ActualSE Asia/Other
7

FY ended 03/2020: Sales by Region Surpassed preceding year and plan on back of domestic sales expansion.
• Domestically, Service Solutions performed well in the electronics and general industries, andin the water supply and sewage field.
• Overseas sales were impacted by the slowdown in semiconductor investment in China, inspite of year-on-year expansion in Taiwan.
(Unit: Billion JPY)

Sales
(Domestic/Overseas)

1,200

1,000

81.1

79.2

19.2

16.9

800

92.2
24.1

96.0

23.7%
200

61.8

62.2

96.5

25.0

21.5
30%

22.3%
26.1%

21.5%

50%

40%

600

400

68.1

Sales Overseas
by region

26.0%
71.0

6.2
20%

74.9

0

19.2
2.0

16.9
5.0

24.1

25.0

6.1

6.0

7.6

6.5

10.2

12.5

21.5
5.5
4.4

5.1
10%

10.9

6.7

11.5

0%

03/2017 03/2018 03/2019 03/2020 03/2020
Plan

Domestic

Overseas

03/2017 03/2018 03/2019 03/2020 03/2020

ActualOverseas Ratio

Plan

TaiwanChina

ActualSE Asia/Other8

FY ended 03/2020: Sales by Segment/Customer
Water Treatment Engineering Service Solutions such as facility renovation were strong.
Plant: Essentially the same as the preceding year in general industry due to strong performance inService Solutions such as renovation projects.
Service Solutions: Strong performance in spite of delays in orders for large-scale electronics
projects.
Electric Power/Water Supply and Sewage: Sales expanded, centered on domestic solutions.
Sales by Customer

Sales by Segment
900

100%

73.8

800

700

600

64.1
30.8

61.4
28.3

37.3

77.0
41.0

77.9
36.5

60%

500

51.9%

53.8%

49.4%

300

200

33.3

33.0

36.4

46.8%
36.0

53.1%
41.3

11.0

11.2

23.0

24.6

55.8%

53.9%

61.4

10.1

11.9

24.7

26.6

11.2
23.4

39.8%

43.4%

25.5

26.6

50%

400

77.0

80%

70%

40%

30%

20%

77.9

73.8
64.1

90%

(Unit: Billion JPY)

52.9%
39.0

43.0

41.9

100
10%

0

0%

03/2017 03/2018 03/2019 03/2020 03/2020
Plan
Service Solutions

Plant

ActualService Solutions Ratio

03/2017 03/2018 03/2019 03/2020 03/2020
Electric Power/Water Supply and Sewage
General Industry
Electronics Industry
Electronics Industry Ratio

Plan

Actual9

FY ended 03/2020: Sales by Segment
Performance Products Secured sales essentially the same as the preceding year despite falling short of theplan.
Standard Equipment/Filters: Product renewal was successful in spite of decreases in exports
and factory operating rates.
Water Treatment Chemicals: Sales overseas increased in spite of decreases in exports andfactory operating rates.
Food Products: Performance was strong despite a slight decline in sales.
(Unit: Billion JPY)

Sales by Segment

19.0

17.7

18.4

5.4

5.3

5.4

5.8

6.1

6.3

6.2

6.0

6.4

6.9

7.3

7.1

03/2017

03/2018

03/2019

03/2020

03/2020

Plan

Actual16.9
5.4

Food ProductsStandard Equipment/Filters

5.4

18.5
5.1

Water Treatment Chemicals
10Prospective Analysis of FY ended 03/2020 Operating Income Achieved all-time high of ¥9.9 billion in full-year operating income.
• Plant profitability improved due to cost reductions and higher order profitability.
• Service Solutions saw increased profit due to increased sales and in spite of increased
SG&A.
• Increases in SG&A such as R&D investment and structural reinforcement contributed todecreased profit for Performance Products.
Operating Income (Year-on-Year)
Water Treatment Engineering

Performance Products

SG&A

Sales change

Profit margin change(Unit: Billion JPY)

9.9
0.9

+2.7
+1.0
△0.3

6.5
1.3
5.1

03/2019

Effect of profit
marginimprovement

Effect ofsales
increase

SG&A
increase

Plant

Service
Solutions

Performance
Products

8.9

03/2020

11

Contents
1. FY ended 03/2020 Results

2. FY ending 03/2021 Plan
3. Medium-term Management Plan
4. Company Overview

12Prerequisites for FY ending 03/2021 Plan
The plan reflects all impacts of the spread of infection from the coronavirusthat can presently be anticipated.

Electronics
Industry・Backorders on which sales for this period are based are at a high level.
・Proactive investment plans are proceeding in Taiwan and China.
・Concerns exist regarding expectations for investment into memory and
5G and the impact of declining demand for end products.

Other
Markets

・Based on the economic slowdown and concentration of resources into
the electronics industry from the second half of fiscal 2019, expectations
are that it will be essentially the same as the preceding year.

Profitability
Trends・Expectations are for a decrease in profit margin due to declining Plant
segment order profitability and increased costs.

13

Overview of FY ending 03/2021 Plan
Orders: Large-scale electronics industry-related investments are expected in Taiwan and China.
Sales: Aiming to achieve ¥100 billion through sales from backordered projects domestically and in
Taiwan.
Operating Income: Decreased profit margin and increased R&D and other costs in the Plant segment
are expected.
(Unit: Billion JPY)
Orders

104.9
18.5

86.4

Sales

100.0
19.0
81.0

Operating Income

96.5

100.0

18.5

19.0

9.9

0.9
77.9

1.0

81.0
8.9

03/2020

03/2021

03/2020

03/2021

7.2

03/2020

6.2

03/2021

Performance Products
Water Treatment Engineering

14

Status of Carry-over Backorders for FY ending 03/2021
 Backorders on which sales for this period are based are the highest in the company’s
history.
Construction for backordered projects such as large-scale projects ordered the preceding year
domestically and in Taiwan is presently proceeding essentially on schedule.

Order/Sales Trends
Orders

Sales

81.1
74.0

39.2

03/2017

92.2
79.2

59.3
48.3

03/2018

Backlog

104.9

103.8
88.0

(Unit: Billion JPY)

96.5

100.0

100.0

67.8
＋8.4B

03/2019

03/2020

03/202115

FY ending 03/2021 Plan
(Unit: Billion JPY)FY ended 03/2020
ActualFY ending 03/2021
Plan

Year-on-Year

Orders

104.9

100.0

-4.9

Sales

96.5

100.0

+ 3.4

Gross profit margin
(%)

27.2

25.6

-1.6

(28.3%)(25.6%)(-2.7pt)

SG&A

17.3

18.4

+ 1.0

Operating income ratio
(%)

9.9

7.2

-2.7

(10.3%)(7.2%)(-3.1pt)

Ordinary income

9.9

7.1

-2.8

Profit attributable toowners of the parent
company

7.1

4.7

-2.4

16

FY ending 03/2021 Plan: Order/Sales Trends
•••Proactive investment into the electronics industry is expected in Taiwan and China.
At present, Taiwan and China are strong, and further proactive investment is planned.
To date, no investment plans have been cancelled or delayed.
Large-scale investment is foreseen domestically in the electronics industry in the second half.
Orders(Domestic/Overseas)

Orders Overseas
by Region

1,200

1,000

800

(Unit: Billion JPY)

50%

88.0

103.8

104.9

29.8

22.5

19.6
28.7%

600

21.5%

29.8

100.0
40%

24.0
24.0%

22.5

6.9

4.3
3.1

15.4

15.0

13.5

03/2019

03/2020

03/2021

19.6
30%

4.6

24.0

7.4

4.0
6.5

20%

400

22.3%

68.3

82.3
74.0

7.8

76.0
10%

200

7.2
0

0%

03/2018
Domestic

03/2019

03/2020

Overseas

03/2021

Overseas Ratio

03/2018
TaiwanChina

SE Asia/Other17

FY ending 2021 Plan: Sales by Region
 Aiming to reach ¥100 billion for the first time ever driven primarily by sales in Japan andTaiwan.
• Growth in sales is expected domestically and in Taiwan due to progress in construction of largescale semiconductor projects ordered the preceding year.
• Growth in sales is also planned in China through recovery in large-scale semiconductor-related
investments.
(Unit: Billion JPY)

Sales
(Domestic/Overseas)
92.2
79.2
16.9

24.1

96.5

100.0

21.5

24.0

26.1%
22.3%

21.5%
62.2

68.1

74.9

Sales Overseas
by Region

24.1
21.5

Domestic

03/2019

03/2020

Overseas

5.0

16.9

6.1

24.0%

5.0

7.6

4.4

76.0

5.1
10.2

11.5

13.5

03/2019

03/2020

03/2021

6.7
03/2018

24.0

03/2021

Overseas Ratio

03/2018

Taiwan

5.5

China

5.5

SE Asia/Other18

FY ending 2021 Plan: Sales by Segment/Customer(Water Treatment Engineering) Growth in sales is expected due to growth in Plant sales to the electronics industry.
• Service Solutions sales are expected to be essentially the same as the preceding year,
centered on the electronics industry.
• Steady progress in construction is expected for Plant projects domestically and overseas.
• A decline in electric power and water supply and sewage projects is expected, while sales togeneral industry are anticipated to be essentially the same as the preceding year.
1,000

900

77.9

73.8

800

700

Sales by Customer

Sales by Segment

61.4

100%

81.0

36.5

39.5

600

70%

61.4

60%

53.8%
500

400

90%

80%

37.3

28.3

50%

53.1%

49.4%

51.2%

300

40%

30%

200

33.0

41.3

36.4

41.5

10%

0

0%

03/2019

Service Solutions

Plant

03/2020

03/2021

Service Solutions Ratio

11.2
23.4

73.8

77.9

81.0

10.1
24.7

11.2
24.6

10.5

52.9%

53.9%

56.8%

39.0

41.9

46.0

03/2019

03/2020

03/2021

24.5

43.4%

20%

100

03/2018(Unit: Billion JPY)

26.6
03/2018

Electric Power/Water Supply and Sewage
General Industry
Electronics Industry
Electronics Industry Ratio

19

FY ending 2021 Plan: Electronics Industry Outlook■Concerns exist about the future in spite of a high level of backorders and proactive
investment in Taiwan and China.

・Sales from backordered large-scale projects domestically and in Taiwan are expected.
・Taiwan and China are presently strong, and there are high expectations for memory and 5G investment
from the second half forward.
・Concerns exist over the impact of declining demand for end products such as smartphones andautomobiles.
Electronics Industry Order/Sales Trends

Semiconductor
manufacturing
equipment market(growth rate against 37%
preceding year)(Unit: Billion JPY)

48.8
39.0

22%

16%

Semiconductor market
Orders(growth rate against
preceding year)
34.2 Sales

26.6

10%

48.1
41.9
-7%

46.0 46.0
Approx. -5%
expected-12%
03/2018

03/2019

03/2020

03/2021

Source: Created by Organo based on World Semiconductor Trade Statistic (WSTS), Semiconductor Equipment Association of Japan (SEAJ) materials

20

FY ending 2021 Plan: Electronics Industry (Orders)■Taiwan and China are presently strong, and large-scale investment is foreseen domestically inthe second half.

・A high level of proactive investment such as advanced investment will continue in Taiwan.
・There will be movement in China to resume large-scale investment into semiconductors, which had declined
the preceding year.
・Large-scale investment is expected domestically into memory and 5G in the second half.
(Unit: Billion JPY)

Electronics Industry Orders(1st half vs. 2nd half)Electronics Industry Orders
600

420

34.6

370

28.5

320

26.1
220

170

13.6
17.5

10.3
10.6 13.4
11.5

13.5

3.9

4.4

120

70

20

400

22.7 22.6

270

7.5

12.0

15.8
9.2

48.8

48.1

23.7

18.1

25.0

30.0

26.0

03/2019

03/2020

03/2021

Domestic

Overseas

500

10.0

34.2

46.0
20.0

300

14.6
200

20.9

9.0

10.0

18.5

100

19.6

7.5
0

(30)

1st
2nd
Half
Half
03/2018

1st
2nd
Half
Half
03/2019

Domestic

1st
2nd
Half
Half
03/2020

Overseas

1st
2nd
Half
Half
03/2021

03/2018

21

FY ending 2021 Plan: Electronics Industry (Sales)■Sales will expand domestically and overseas, centered on the Plant segment.

・Domestic sales are expected to increase due to progress in construction on large-scale projects ordered
the preceding year.
・Sales in Taiwan are expected to increase due to continued proactive investment during this period
・Sales are planned to increase in China from the second half forward due to a resumption in large-scale
investment.

(Unit: Billion JPY)

Electronics Industry Sales(1st half vs. 2nd half)Electronics Industry Sales

46.0

500

450

39.0

300

25.5
22.0 22.2

250

200

15.2
150

11.4

5.9

16.9
11.7

300

12.0

8.1
8.7

6.8

400

350

19.7 20.5

26.6

18.6

9.2

20.0

8.0
200

11.6

150

5.6
5.7

16.8

250

25.1

26.0

03/2019

03/2020

03/2021

Domestic

Overseas

100

50

41.9

10.1 10.3

14.1

11.0 12.5 13.5

100

50

0

15.0

20.4

0

1st
2nd
Half Half
03/2018

1st
2nd
Half Half
03/2019

Domestic

1st
2nd
Half Half
03/2020

Overseas

1st
2nd
Half Half
03/2021

03/2018

22

FY ending 2021 Plan: Sales by Segment(Performance Products)■Sales planned to increase 2.2% year-on-year to ¥19 billion.
Standard Equipment/Filters: Continue to introduce new products and strengthen the sales expansion in China.
Water Treatment Chemicals: Expand sales overseas, centered on the electronics industry.
Food Products: Plan to expand sales volume, centered on granulation technology.

(Unit: Billion JPY)

Sales by Segment

17.7

18.4

18.5

19.0

5.4

5.3

5.1

5.3

5.8

6.1

6.2

6.4

6.4

6.9

7.1

7.3

03/2018

03/2019

03/2020

03/2021

Food ProductsStandard Equipment/Filters

Water Treatment Chemicals
23

FY ending 2021 Plan: Operating Income■Expected to decrease year on year to ¥7.2 billion.
・While Plant sales are expected to increase, profitability is forecast to decline due to worsening
order profitability and increased costs.
・SG&A increase planned toward operational efficiency, R&D, and structural reinforcement.

Operating Income (Year-on-Year)
Water Treatment Engineering(Unit: Billion JPY)

Performance Products

Sales increase

9.9
0.9

+0
△0.2

8.9
△2.4

7.2
1.0

SG&A increase

6.2

Profit margindecrease
03/2020

Plant

Service Performance
Solutions
Products

03/202124

FY ending 2021 Plan: Impact of Spread of 2019 novel coronavirus Infection■At present, no cancellations or delays in investment projects or factoryclosures have occurred that have significantly impacted results.

Overall
Impression■Impact on results for this period
・Concern exists over cost increases and impact on sales progress in the Plant
segment due to restrictions on movement of people, turmoil in procurement,
and work schedule delays.
・Concern exists over a decrease in sales in Service Solutions andPerformance Products due to declines in factory operating rates and decreased
levels of production.
■Impact next period and beyond
・Concern exists over significant impact on results of suppressed capital
investment for the next period and beyond due to prolonged economic
stagnation.
・Concern exists that order profitability will be impacted and profitability will
decline due to intensified competition and budget reductions caused bysuppressed capital investment.

25

FY ending 2021 Plan: Impact of Spread of 2019 novel coronavirus Infection■Steady progress is expected in construction of large-scale backordered
projects domestically and in Taiwan.

Electronics
Industry
MarketOther
Markets■Investment and production will be at a high level in the Taiwanese andChinese markets, and proactive investment is planned, so the impact is limited
at present.
■At present, semiconductor demand is strong, and production and investment
levels are expected to be maintained domestically and overseas. However, it ispossible that results will be impacted from next period forward due to prolonged
stagnation.
■General Industry/Performance Products
・Full-fledged impact of suppressed capital investment will be felt from thesecond half into the next period and beyond.
・Concern exists that declining factory operating rates and production levels
will impact Service Solution and Performance Product sales and lead to adecrease in overall sales.
■Electric Power/Water Supply and Sewage
・At present, a significant impact is not expected.
26

Plan for Year Ending March 2021: Key Indicators
FY ended
03/2019

FY ended
03/2020Plan

FY ended
03/2020
ActualFY ending
03/2021
Plan

635

800

965

1,400

R&D expenses(million yen)

1,823

2,100

2,178

2,350

Depreciation(million yen)

920

1,100

1,189

1,200

13,65915,0009,740

20,000No. of employees

2,186

2,200

2,249

2,275

Annual dividends
(yen)

73

78

104

104

ROE
(%)

8.4

7.8

12.4

7.5

Capital expenditures(million yen)Interest-bearing debt
(million yen)

27

Dividend Trends■ Given the earnings situation for the year ended March 2020, mid-year and year-end
dividends will increase.
■ Distribute profits in accordance with the earnings situation with the aim of achieving
stable, continuous dividends.
(Unit: JPY)

Commemorative dividend
Dividend( ) Consolidated dividend payout ratio

45(20.8%)
Mar-16

5
50

104

104

(16.6%)(25.3%)

Mar-20Mar-21 Plan

73

53

(23.2%)(21.9%)

Mar-17Mar-18(18.8%)

Mar-1928

Contents
1. FY ended 03/2020 Results

2. FY ending 03/2021 Plan
3. Medium-term Management Plan
4. Company Overview

29Medium-term Management Plan: Medium-term Vision
Society/Environment

Key Points

Organo’s Strengths

Arrival of advanced
information society

Expansion of 5G-related
investment

Competitiveness insemiconductor market

Growth in emerging
countries

Progress in AI and IoTtechnologies

Total water treatment
engineering

Advancement of life science
technology

Progress in production andprocessing technologies

Advanced separation andpurification technologies■ Provide the highest-quality water at the most reasonable cost and in the most timely fashion,
centered on the Asian region and the electronics industry.
■ Globally deploy Service Solutions utilizing high added-value functional materials and advanced
ICT and AI technologies.
■ Create businesses to support value creation in next-generation industry through proprietary
separation and purification processes.
30Medium-term Management Plan: Priority Fields
Expansion inElectronics
industry・Medium-term market expansion is expected due to expansion of 5G
and AI/IoT technology utilization in business, medical care, andeducation.
・Development of advanced separation and purification technologies
for cutting-edge fields.
・Expansion of production capacity and profitability through enhanced
operational and cost efficiency in engineering.

Strengthening ofService Solutions
Business

・Integrated strengthening of Service Solutions and Performance
Products.
・Enhancement of customer value through combination with ICT and
AI technologies.
・Strengthening of Service Solutions structure overseas.

Creation of New
Businesses

・Deployment of advanced separation and purification technologies tolithium-ion batteries and the biopharmaceutical and cutting-edge
semiconductor fields.
・Proceed with preparation for deployment to cutting-edge
semiconductor and advanced sewage treatment fields in the US.

31

Medium-term Management Plan: Strengthening Service Solutions (1)■ Deployment of New Service Solutions
Deploy new Service Solutions combining Plant and Performance Products utilizing ICT and AI
technologies to enhance customer value.

New Service Solutions

Establishment of Data Center
Customer
Factory

Expansion throughdeployment of newtechnologies, products,
and services

New Product/
Service Development
Technology Development

Proposed
Solution

Utilization of
IoT

Conventional
Service Solutions

Expansion throughdeployment to new markets
including overseas and new
businesses■Deploy new Service Solutions in Plant and Performance Products
combining sensors and IoT■Strengthen proposal-type solutions through data collection andanalysis■Strengthen solution structure in China and elsewhere overseas

Accumulation of
Operation
Management
Information Data

Data Analysis

External Data

■Establish data center for collection and analysis of customer facility andoperational data using ICT and AI technologies■Deploy new proposal-type Service Solutions

32

Medium-term Management Plan: Strengthening Service Solutions (2)Deployment of ORTOPIA J Remote Monitoring System
Sales of ORTOPIA J Cloud, a cloudbased remote monitoring system for thewater supply and sewage field, arestrong.

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Strengthening deployment of services toelectronics and general industry such as
pharmaceutical and food products.

Strengthening proposal-type Service Solutions
including enhanced operational efficiency through useof operational data, energy-saving proposals, andrenovation proposals in line with facility status.

33

Medium-term Management Plan: 03/2021 – 03/2023■ Aim for sales of ¥105 billion or more and operating income of ¥9 billion or more in
the final year.
■ Establish an earnings structure that enables the stable, continuous achievement ofoperating margin and ROE of 8.0% or better.
Medium-term Management Plan
Sales

79.2
5.5%
3.8

92.2
8.4%
6.5

(4.8%)(7.1%)

03/2018

03/2019

Operating income ratio

96.5
12.4%
9.9
(10.3%)

03/2020

列1(Unit: Billion JPY)

ROE

100.0

103.0

105.0

7.5%

8.0%

8.2%

7.2

8.2

9.0

(7.2%)(8.0%)

03/2021

03/2022(8.6%)

03/2023
34

Medium-term Management Plan: Sales Plan
■ Plan expansion in electronics industry centered on the Plant business; theMedium-term Management Plan presumes limited expansion in electronics plants
for the year ending 03/2021.
■ Improve the earnings structure by strengthening stable revenue sources such as
Service Solutions, Performance Products, and new businesses.
(Unit: Billion JPY)

Medium-term Sales Plan

+1.3
Service Solutions(including Plant)

+2.7

+3.3

Performance
Products

Sales + 8.4
Electronics
industry (Plant)

New Businesses

105.0

+1.0
Reduce dependence on Plant,
strengthen stable revenue sources

96.5
03/2020

列1

列12

列13

列2

03/202335

Medium-term Management Plan: Other Initiatives
Promotion of
Operational
Reform■Further upgrade ERP system introduced in the preceding period, andproceed with digitizing and utilization of ICT tools toward achieving improved
productivity and work style reform.
⇒ Respond to teleworking under the emergency declaration

Construction of
GlobalEngineering
System■Establish Global Engineering Center (GEC) in the Asian region tostrengthen the engineering system domestically and overseas.
⇒ From the perspective of BCP, aim for establishment in 2021
■Promote enhanced engineering efficiency through the utilization of ICT
technologies.
■Restructure system domestically and overseas to strengthen Service
Solutions.

Strengthening ofCorporate
Governance■Begin disclosing proxy statements and summaries of financial results in
English.
■Begin work on Integrated Report, aim to issue in the fall of 2020.
⇒ Work to improve dialogue with institutional and retail investors
domestically and overseas.

36

Contents
1. FY ended 03/2020 Results

2. FY ending 03/2021 Plan
3. Medium-term Management Plan
4. Company Overview

37Company Overview
Corporate nameORGANO CORPORATIONHead office

1-2-8 Shinsuna, Koto-ku, Tokyo 136-8631

EstablishedMay 1, 1946

Representative

Masaki Uchikura, President

Capitalization¥8,225,499,312

No. of employees

2,249 (consolidated) as of March 31, 2020
Water treatment
engineering

Main areas ofbusiness
Performance products

Main offices

Plant
Servicesolutions

Manufacturing and sales of large-scale water treatment facilities
Facility maintenance, operational support services,
renovation and reconditioning, etc.
Manufacturing and sales of standard water treatment
equipment,water treatment chemicals, food processing agents

Head Office (Koto-ku, Tokyo), R&D Center (Sagamihara), Tsukuba Factory (Tsukuba),
Iwaki Factory (Iwaki), Hokkaido Branch Sales Office (Sapporo), Tohoku Branch Sales Office(Sendai), Kanto Branch Sales Office (Koto-ku, Tokyo), Chubu Branch Sales Office (Nagoya),
Kansai Branch Sales Office (Suita), Chugoku Branch Sales Office (Hiroshima),
Kyushu Branch Sales Office (Fukuoka)

38

Organo Subsidiaries and Affiliates

Organo (Vietnam)
Organo(Thailand)
Organo (Asia)

Murugappa Organo
Water Solutions
Organo (Singapore)

OrganoOrgano Plant Service
Organo Eco Tech
Organo Food Tech
Organo Acty
HOSTEC
Tohoku Denki Tekko *Organo (Suzhou)
Organo Technology

PT Lautan Organo Water* Indicates subsidiaries accounted for using the equity method;underline indicates non-consolidated subsidiaries or affiliated companies

39

Organo Group History
Development

Evolution

GrowthExpansion

2000’s■ Overseas development
1990’s■ Strengthening of service solutions■ Ultrapure water facilities
for electronics industry● Sales trends

1980’s■ Water treatment
facilities for power plants
1970’s■ Water supply andsewage facility■ Refinement facility forsugar solution, other■India(2015)2005■ Comprehensive service
solutions begin in earnest

1960’s■ Large-scale purewater equipment for
general industry■Vietnam(2010)■Taiwan(2005)

Founded 1946
■ Athermal water
distillation equipment
1960

1970

■Indonesia(2013)■Thailand(1989)■China(2003)■Malaysia(1986)

1980

1990

2000

2010

40

Organo Group Businesses
Water Treatment Engineering
Service Solutions¥41.3 billion

Performance Products
Food
Processing Agents¥5.1 billion

Plant¥36.5 billion

Year Ended
March 2020
¥77.9 billion

Year Ended
March 2020
¥18.5 billion■ Pure and ultrapure
water equipment■ Water purification filters■ Food processing
agents■ Pure and ultrapure water facilities■ Wastewater treatment and recovery ■ Food ingredients■ Replacement ofexpendable items and maintenance■ Operational support services andcomprehensive maintenance■ Renovation and reconditioning■ Contract water treatment

Electronics

Standard Equipment/Filters¥6.2 billion

facilities■ Valuable material recovery facilities■ Production processing-related
facilities

Electric Power/Water
Supply andWater Treatment Chemicals¥7.1 billion■ Treatment chemicals for wastewater, coolingwater, cleaning and RO membranes, boilers

General Industry

Equipment/Filters

Water Treatment
Chemicals

・Pharmaceuticals,
cosmetics
・Food and beverage・Machinery andchemicals

・Pharmaceuticals,
research・Various manufacturingindustries
・Food and beverage,
convenience stores

・Various manufacturingindustries
・Buildings andcommercial facilities

Sewage・Semiconductors
・FPD・Electronic parts

・Power plants
・Water purification
plants・Sewage treatment
plantsFood Processing
Agents・Food processing
・Beverage
manufacturing
・Nursing care andhealth food41

Contact
Organo Corporation Corporate Planning Dept.
TEL: 03-5635-5111
FAX: 03-3699-7240
https://www.organo.co.jp/english
https://www.organo.co.jp/english/contact/input/

DISCLAIMER
This document includes forecasts of future developments made by management
based on their assumptions, forecasts and plans at the time of writing. Actual
performance may differ materially from the above projections due to a variety offactors.

42