The 7 th 3years plan
MARUICHI 2030 VISION 1st StageMARUICHI STEEL TUBE LTD.
April 5th, 2024
Everywhere, MARUICHI

1. The 6 th 3 years plan Review - Financial
Major key targets were achieved. 2023 Revenue and Operation Profit is expected to far exceed the target.
Dividend payout schedule will be based on consolidated net profit starting from 2023. (by 2022 unconsolidated base)

FY2023targets

FY2021

FY2022

Revenue

200.0

224.2

273.4

270.8

Op. Profit(billion JP¥)

26.0

36.3

30.0

34.3

ROS

13.0%

16.2%

11.0%

12.7%

ROE

6.5%

9.8%

7.9%

7.6%

Dividend payout
Ratio

50％ ofUnconsolidated
Net Profit(billion JP¥)50%（￥91/share)

50%（￥109.5/share）(Published in Feb)

40％ of Consolidated
Net Profit（￥124.5/share）
Everywhere, MARUICHI

11. The 6 th 3 years plan Review - Revenue and Operation Profit, historical
Exceeded Revenue & Op. Profit Targets（FY23 projected）
Revenue(billion JP¥)

300.0

273.4 270.8(billion JP¥)

40.0

36.3

242.2

250.0

144.9

156.2

167.4

137.2

154.9

24.5

161.1

Target : 26 billion JP¥
20.8

20.0

34.3
30.0

30.0

Target : 200 billion JP¥

200.0

150.0

Operation profit

17.0

19.2

18.3
14.7

100.0
10.0
50.0

0.0

FY15

FY16

FY17

FY18

FY19

FY20

FY21

FY22

FY23

(proj.)

0.0

FY15

FY16

FY17

FY18

FY19

FY20

FY21

FY22

Everywhere, MARUICHI

FY23(proj.)

2

1. The 6 th 3 years plan Review - Cap-EX and Depreciation
Domestic Cap-Ex was on target.
Off-Shore Cap-Ex exceeded by 6.5 billion JP¥ Mil due to MST-X start up.
（billion JP¥）TTL in 3 yrs.
（plan）FY2021

FY2022

FY2023（proj.）TTL in 3 yrs.
（proj.）

Domestic

16.8

3.7

5.3

8.4

17.5

Off Shore

2.7

1.4

1.9

7.6

10.9

TTL

19.5

5.1

7.2

16.1

28.3

Domestic

12.6

4.1

3.9

4.1

12.2

Off shore

5.0

1.8

2.4

2.6

6.8

Cap-EX.

Depreciation※Amount is based on payment
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1. The 6 th 3 years plan Review - Details■ Domestic
Cap-Ex on domestic
carbon tube mills

 Stretch Reducer Renewal (Sakai Plant)（May 2023）
 No. 2 Bundling Area Renewal (Tokyo Plant) （Mar 2024）
 Next Generation Mill (Nagoya Plant)（May 2025）
 Color Coating Line Renewal (Nagoya & Tomakomai Plants)（Feb 2024 Nagoya, Jun
2021 Tomakomai Plant) No.1 Mill Renewal (Kyushu Plant) (Oct 2023）
 High Speed Cutting Machine (Maruichi Kohan Hamamatsu) (Sep 2022)
Cost Reduction
Projects (Maruichi Stainless) BA (Bright Annealing) Capacity Increase Automation and reduction of workforce

DX for production
efficiency

 Utilizing tablets for real time data exchange and communication
 Digitalization of paper works （Invoice, Shipping Notice, Test Certificates) Introducing RPA
 Quality Control Management System utilizing AI and ERP

Environmental

 CO2 Reduction

Renewable Energy use / Low Carbon Emission Fuel (Carbon Neutral LNG) / In House Solar Panel Publication of ESG related info（CDP, TCFD）
 The 3 rd party certificate of CO2 Emission
Human Resource Exchange training program within the group company
 Maruichi Diversity Meeting

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1. The 6 th 3 years plan Review - Details■ Off Shore
SUNSCO Increased Export Business to cover slow Vietnam market
Coils: Mexico, USA

Tubes: USA, Australia

 #2 Cold Rolled Mill （Jun 2021）
 Paid off loans (0 debut)（Mar 2024）
Motorcycle andAutomotive

 KUMA/India Manesar #1 & #2 mill accumulators・uncoilers（Dec 2023）
 MMX/Mexico #2 High Speed Cutting Machine

Maruichi StainlessSteel Maruichi Stainless Texas （Mar 2024 construction completion、Oct 2024 Production Starts）

Human Resource Reducing Expatriates 35(3) (Mar 2021) ⇒ 27(2) (Mar 2024)

Environmental

 CO2 Reduction*(executives)

Utilizing renewable energy / In house Solar Panel■ Shareholder Return / Community Contribution
Dividend Payout

 50% payout (Unconsolidated base) FY21 & FY22 (as scheduled) 40% payout (Consolidated base) FY23（improved）

Community
Contribution

 Multiple Education Programs, Contribution for cultural activities,
Participation to disaster relief programs
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1. The 6 th 3 years plan Review - Details

 Maruichi Stainless / BA (Bright Annealing)
Capacity Increase Maruichi Stainless Texas / exterior・interior

 SUNSCO / #2 Cold Rolled Mill
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1. The 6 th 3 years plan Review - Details

 Introduction of air conditioners in factories

 Utilizing tablets

 Promotion of DE&I
（Maruichi Diversity Meeting）
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2. The 7 th 3 years plan
“Planting Seeds” phase to achieve MARUICHI 2030 VISIONMARUICHI 2030 VISIONOur Strength

MKK will become a key player to support

・ Integrated Production-Sales Business Model・ Strong Partnership with suppliers and customers
・ Quick Decision Making process and strong financial
background・ High Quality Stainless Tube for Semi-Conductor
Industry and De-Carbonization Technology

Semi Conductor Industry・Decarbonaization Society・
Our infrastructure
Basic Policy

Business Environment

Based on ESG conscious management

・ More DX
・ Carbon Neutral, Renewable Energy
・ More Infrastructure Projects (off shore)・ Shrinking Domestic Market
The 7 th 3 years plan
Revenue

2,708

Op. profit

343

FY2023

New Start

Growth BusinessCore Business Supporting new field (semiconductor industry anddecarbonaization technology)

 Continuing to support our
infrastructure

Revenue

Revenue

4,000

3,000

Op. profit

Op. Profit

400

1st Stage

FY2024－2026

500

2nd Stage

FY2027－2029

成長のための基礎固め
Enhancementof Growth Model
Planting
Seeds
軌道に乗せる

FY2030（billion JP¥）FY2030Vision Achievement & Sustainable GrowthEverywhere, MARUICHI

8

2. The 7 th 3 years plan
Establishing Key Concept based on MARUICHI 2030 VISION

Growth Segment

Core Segment

Maruichi StainlessMaruichi Steel Tube &All Group Companies (except

Maruichi Stainless Texas

for Maruichi Stainless &Maruichi Stainless Texas)

The 7 th 3 years plan basic policy
Growth business••••Maximize profits through capital investment to increase
production
Capture overseas demand and actively investment
Continue aggressive capital investment for products
where demand is expected to increase
Research and new product development for the realizationof decarbonization societyCore business
Domestic）
Emphasis on profitability over quantity, M&A, Stabilizationof earnings（ Op. profit of ¥20 billion or more) andInitiatives to realize a decarbonized society
Off shore）
Capital investment in areas with growing demand andstabilization of earnings

Implementation of human capital, environmental andsafety measures as a management foundation
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92. The 7 th 3 years plan - Growth
Aiming for Revenue ¥400 billion, Operation profit ¥50 billion
Revenue(Operation Profit)(Core Business/Growth Business)

The 7 th years plan
Targets

Unit: billion JP¥

161.1（18.3）

224.2（36.3）

270.8（34.3）
273.4（30.0） （30.6/3.6）

Revenue ¥400 billion
Operation Profit ¥50 billion

Revenue ¥300 billion
Operation Profit ¥40 billion

Growth BusinessOp. profit¥15 billion（33.5/6.5）(fixed)The 8th years planCore Business

The 7th years plan

Op. profit¥35 billion(fixed)FY2020

FY2021

FY2022

FY2023(proj.)

FY2026

FY2030Everywhere, MARUICHI

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2. The 7 th 3 years plan - Financial

Revenue（billion JP¥）FY2026FY2023（proj.）（The 7 th 3 years plan）

270.8

300.0

Core Business

242.8

255.0

Growth Business

28.0

45.0

Op. profit（billion JP¥）

30.6

Core Business
Growth Business

40.0

34.3
3.6

(composition ratio10%)2030 Vision
400.0
50.0

33.5

35.0（fixed）

6.5

15.0（fixed）(composition ratio16%)

ROE

7.6%

8.0%

10%

Consolidated
Dividend Payout Ratio

40％

45%

50%

（JP¥124.5/share）

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2. The 7 th 3 years plan - Financial
FY2023（proj.）FY2024

The 7 th years plan

FY2025

FY2026

Revenue（billion JP¥）

270.8

271.0

285.0

300.0

Core Business -Domestic

135.0

135.0

135.0

135.0

Core Business -Off shore

107.7

107.5

112.5

120.0

Growth Business

27.9

28.5

37.5

45.0

Op. profit（billion JP¥）

34.3

35.0

37.5

40.0

Core Business -Domestic

20.6

21.0

21.0

21.0

Core Business –Off shore

9.9

11.3

11.5

12.5

Growth Business

3.6

2.7

5.0

6.5

ROE
Consolidated
Dividend Payout Ratio

7.6%
40％

（JP¥124.5/share）

8.0%
41％

43%

45%
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12

2. The 7 th 3 years plan - Domestic / Core Segment Strategy - Basic Policy

DomesticCore
Financial
Basic
PolicyRevenue ¥135.0 billion

2023 Revenue¥135.0 billion

Op. Profit ¥21.0 billion

2023 Op. Profit¥20.6 billion• Improving Profitability by Enhancing Supply Chain
and Utilizing inter-group synergy• Aiming ¥21.0 billion operational profit• More market penetration through M&A• Carbon Neutral

Creating values bymore efficient Procurement,
Production, Sales andTransportation

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2. The 7 th 3 years plan - Domestic / Core Segment Strategy
Flexible and Resilient Business Model
Investment for efficient production

Value Added (high profit) Sales

Utilizing Profile Tube, Fabrication Capability

New Generation Mill

More Productivity
through IoT
New ERP DX

Sales
Production
TransPositive Spiral portation

CO2 Reduction

Low Carbon Footprint Tube

Value Creation
M&A

Better Transportation

Better profitability

Diversifying Supply Source
Procurement Optimization

Optimizing Supply Chain

Procurement

Vertical Integration
Optimizing Takuma Plant Use

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2. The 7 th 3 years plan - Domestic / Core Segment Strategy - Key Measures①Procurement Diversifying Supply Source and optimizing Takuma Plant Utilization②Production

 Cost Reduction & Better Delivery through Optimized Production
・Better production planning to accommodate small lot / small order New Generation Mill, IoT, DX for better production

・New Generation Mill (Nagoya – 6” mill) as a pilot plant to evaluate the feasibility

Key
Measures・Continue to Improve Production Efficiency through IoT & DX

③Sales & Transportation

 Value Added Products

・More Galvanized Tube & Sheet Sales utilizing Takuma Plant
・Synergy with Profile Tube Business(Toyo Superior) & Fabrication Capability (Alpha Metal)

 CO2 Reduction and Low Carbon Emission Products・Designing low carbon footprint tube through Enhancing Supply Chain to reduce transportation cost
・Optimizing Warehouse Capability & Logistics

M＆A Narrowing acquisition targets to create more value and synergy
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2. The 7 th 3 years plan - Off shore / Core Segment Strategy - Basic Policy

Off ShoreCore
Financial
Basic
PolicyRevenue ¥120.0 billion
Op. Profit ¥12.5 billion

App. 25％UP

2023 Revenue¥107.7 billion

2023 Op. Profit¥9.9 billion• Aggressive Investment in Growing Market• Reinforcing Business Foundation for more profit（Cap Ex, Procurement, Sales Strategy & Inventory Control）• Improving Op. Profit by 25% by taking advantage of M＆A opportunities

More Growth by timely &flexibly adjusting to own local
market objectives
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2. The 7 th 3 years plan - Off shore / Core Segment Strategy - Key Measures①USA：Stable Profit Improvement by differentiating from competitors
 West Coast（MAC/MOST）
・Inventory adjustment, joint procurement and marketing program between MAC/MOST toachieve cost reduction and better inventory control Mid - West（Leavitt/MNT）
North
Americas・Leavitt / comprehensive product line to cover various industries will help
－to increase profit margin through small diameter tube
－procurement program by hedging market risk to sales price・MNT / establishing a local tube supplier status where there is little competitions close by

Key
Measures Nationwide

・Inventory Turn Improvement to mitigate volatile market
・Cap Ex to reduce production costs and more value added products（Leavitt：Galvanized Tube Production. MNT：Slitting Capability）②Mexico：Aiming at Near Shoring Market Growth MMX/Monterrey Plant/to cover USA South Market
 Capturing Non-Automotive Steel Tube Market

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2. The 7 th 3 years plan - Off shore / Core Segment Strategy - Key Measures①Vietnam（SUNSCO）
 Minimizing Volatility
・Pipe & Tube：Expanding Marketing Area & Sales to Japanese Companies
・Sheets: Super Light Gauge Sheet Promotion utilizing #2 CRM for better profitability

 Enhancing Production
Asia / India

・Higher Productivity and better yield・Improving Product Quality（Galvanized & Color Coated Sheets）
・HR program improvement

Key
Measures ESG Management （CO2 Reduction）②Philippine（MPST）
 Capturing growing Motorcycle Market
・High Speed Cutting Machine・New Tube Mill

③India（KUMA）
 Capturing growing Automotive & Motorcycle Market
 New Tube Mill (Gujarat Plant)
M＆A North America is the Main Target, creating more value & synergy withexisting business
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2. The 7 th 3 years plan - Growth Segment Strategy - Basic Policy

GrowthSegment
Financial
Basic
PolicyRevenue ¥45.0 billion
Op. Profit ¥6.5 billion

App. 75％UP

2023 Revenue¥27.9 billion

2023 Op. Profit¥3.6 billion• Capturing Growing Demand by increasing production capacity• Expanding Business Locations to international market• Aggressive Investment to capture new demand• R&D to realize decarbonization society

More Investment to capture
Semi Conductor Market and
Decarbonization Technology DemandEverywhere, MARUICHI

19

2. The 7 th 3 years plan - Growth Strategy - Key Measures
 Capturing Growing Semi-Conductor Market through more capacity
・BA Tube Capacity: 250,000ea/month, Cold Drawing: 500MT/month, Coil tube: 50,000m/monthー Integrated Production Line From Hot Extrusion to BA Tube Production
ー BA Tube 250,000ea/month capacity by 2026

 Growing Business with excellent partners

Key
Measures

・Key Markets : Japan / Taiwan where more growth is expected

 MST-X (USA) success
・90,000ea/month・Start brain storming to utilize unused property in Texas

 New product development for the use of H2, NH3
 Market Research to locate further growth and prepare for future investments
 Establish supply chain to capture Semi-Conductor and H2 related demand in India

M＆A Will evaluate M&A and new investment opportunities to strengthen the existing
supply chain
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20

2. The 7 th 3 years plan - Investments
Investment
Plan¥130 billion in the 7 th 3 years plan
(2030 vision plan: Total ¥200 billion）

Investment Resource comes from current cash and future cash flow

MARUICHI 2030 VISION

Overview

Investment
forGrowthGrowthCapacity Expansion
to meet new opportunity

40.0

JV & Partnership BZ

7.0

Supply Chain
Enhancement
M&A to optimize businessportfolio

Investment
for Better
Business
Foundation

20.0

Core

8.0

TTL

48.0

3.0

3.0

20.0

40.0

12.0

12.0

Renewal and New
Generation Production Line

40.0

40.0

50.0
TTL

117.0

Core
Domestic

Off shore

50.0

5.5

TTL

55.5




200.0

Expansion of stainless steel business
MMX/Monterrey, MPST and KUMA
Increase production capacity
Expected to formulate a plan during thecurrent medium-term plan period

1.0
20.0

20.0

12.0
2.0

17.5

1.0



Construction of Hirano Pipe Center(Maruichi Kohan)

40.0



Actively engage M&A opportunities

Air conditioners in production lines,
improvement of work environment,
development of new systems



Next Generation Mill (Nagoya plant),
Equipment renewal

12.0
2.0

21.5

Expected to formulate a plan during thecurrent medium-term plan period

50.0
83.0

(billion JP¥)

Detail

7.0

HR & ESG’s “S”

ESG’s “E”

GrowthThe 7 th 3 years plan

72.0

58.0

130.0
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21

2. The 7 th 3 years plan - Investments

Domestic
Core

•
•
•
•
•
•

Air Conditioners in Production Line：¥9.0 billion
New Generation Mill (6”) Nagoya：¥3.5 billion
Maruichi Kohan / Hirano Pipe Center：¥1.0 billion
Improvement of Sakai Plant Work Environment：¥2.5 billion
Efficiency Improvement (Takuma Plant CRC line)：¥2.0 billion
New ERP Development（Commissioning 2029）：¥2.0 billion

Off Shore
Core

•
•
•
•

MNT Slitter Installation：$5 million
MMX Monterrey Plant (New)：$25 million
MPST High Speed Cutting Machine, #2 Tube Mill (New)：$10 million
KUMA New Mill：$3 million

Growth••••Expansion of Stainless Production Capability：¥50.0 billion
Adding BA furnace capacity：¥500 million
Automated Inspection System for leaner production：¥150 million
R&D (Maruichi Stainless)：¥200 million（¥30.5 billion）（¥7.5 billion）（¥52.0 billion）

M&A（¥40.0 billion）• Actively Engage M&A opportunities
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2. The 7 th 3 years plan - Cap-EX and Depreciation¥90.0 billion in 3 years(billion JP¥)FY2023
FY2021 FY2022（proj.）TTL in 3 yrs.
（proj.）FY2024FY2025

FY2026

TTL in 3 yrs.
（plan）

Cap-EX.
Core Business -Domestic

2.6

3.1

6.5

12.3

9.5

10.5

10.5

30.5

Core Business -Off shore

1.4

1.1

1.2

3.6

4.0

2.5

1.0

7.5

Growth Business

1.1

3.0

8.4

12.4

22.0

17.0

13.0

52.0

TTL

5.1

7.2

16.1

28.3

35.5

30.0

24.5

90.0

Core Business -Domestic

3.4

3.2

3.3

9.9

3.3

3.9

4.6

11.8

Core Business –Off shore

1.8

2.4

2.6

6.8

2.5

2.7

2.7

7.9

Growth Business

0.7

0.7

0.8

2.3

1.2

1.4

1.7

4.3

TTL

5.9

6.3

6.7

19.0

7.0

8.0

9.0

24.0

Depreciation※Amount is based on payment
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23

2. The 7 th 3 years plan - Capital Policy

Capital
PolicyTarget：ROE 8.0%（projected ROE 7.6% in 2023）[Concept]①Recognizing our capital cost as approximately 5.4％, and sharing our growth idea through
MRUICHI 2030 VISION②Execute our investment plans in line with this 3 years plan to improve our ROE③Target ROE 8.0% and 45％ dividend payout of consolidated net profit to achieve PBR 1+ andself sustainable corporate value
ROS

ROS
Op. profit/

ROE

More than 10%
Working capital

Invested Capital
Revenue/

Invested Capitalturnover rate

Corporate Value Improvement⇒PBR improvement
Cost of capital- Growth rate

Financial leverage

Equity ratio

KPI formulation

Fixed assets

Capital investment

Non-business asset

Funds formanagement
PBR

Inventory control

management

The 7 th 3 years plan
more Profitability

standards

investment

MARUICHI 2030 Vision

Sharing growth idea

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24

2. The 7 th 3 years plan - Environment (ESG)

Domestic CO2 Emission（Scope 1+2）▲35% (from 2013)（▲31.4% 2023 projected)

Environment

Basic
Policy•Aiming for carbon neutrality in 2050 while considering economic rationality•

Aiming for a 35% reduction (from 2013) by 2026 as an intermediate goal•

Improving product value by reducing CO2 emissions〈Domestic〉
 Promoting CO2 emissions reduction activities
・ Utilization of electricity derived from renewable energy : ▲1,550t-CO2(t-CO2)120,000

Key
Measurement（proj.）

100,000（Sakai plant/70% of Purchased electricity, Takuma plant/40%）

・ In house solar power generation（Maruichi Kohan）：▲10t-CO2
・ Promoting energy saving activities and improving productivity ：▲ 2,000t-CO2

111,332▲31.4%

76,320 72,366
60,11980,00060,00040,000▲35%

CN20,0000※ We assumes an increase in emissions due to the expansion of other production facilities
and a reduction in the emission intensity of electricity used

20132023 2026 2030

2050

Target : 3,454t-CO2 reduction

 Designing low carbon footprint tube according to customer needs〈Off shore〉
 Promoting CO2 emissions reduction activities
・SUNSCO / HCM Conversion to low carbon fuels （LPG⇒CNG、LPG boiler⇒biomass boiler）
・KUMA / Bangalore Utilization of electricity derived from renewable energy
・Considering the introduction of solar power generation (in house)
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25

2. The 7 th 3 years plan - Human Resource (ESG)

Human
CapitalCreate an Exciting Work Environment• More motivations

Basic
Policy－Improve Employees engagement (Improve Engagement Score)－DE (Diversity Equity）& I（Inclusion）• Secure & develop Human Resource for our growth. Mitigate HR shortage－Better Training and Education System－Improve Work Environment
 Distribute Restricted Stock to Employees（MARUICHI 2030 Vision HR Investment）
 1on1 Meeting

Key
Measures＊1, Introducing Mentorship（Improve Engagement, Better Training and Education

System）＊2

 「MARUICHI Global Forum 2025」 （to Improve Engagement）
 Develop DE&I conscious work place
 R&D Budget, Establish Training Facility & Training Program Installing A/C for Tube Mills. Review workload and reduce where it is necessary＊1 1on1 Meeting：regular one-on-one dialogue held by superiors to develop and motivate subordinates＊2 「MARUICHI Global Forum 2025」： an initiative to gather up to half of MKK Group employees from Japan and overseas to Osaka to develop employees

Everywhere, MARUICHI

26

2. The 7 th 3 years plan - Safety (ESG)

SafetyBasic
PolicyBetter Work Place. Secure Safe and Well Being Environment• Achieve Accident Free Work Place• Reduce Recordable Incidents• Reduce Work Related Risks to create safer work environment Safety is No.1
 Comprehensive Safety Training Program Safety Training Program including business partners

Key
Measures Through Investigations of work related incidents to develop safer and toachieve accident free work place Self Sustainable program for better Safety Operation Procedures
 Reduce Work Related Hazards by continuous risk assessment
 Scheduled Health Check-up program to prevent illness and to maintainmental well being
Everywhere, MARUICHI

27

Forward-looking statements
Our discussion may include predictions, estimates or other information that might be consideredforward-looking. While these forward-looking statements represent our current judgment on what the
future holds, they are subject to risks and uncertainties that could cause actual results to differ
materially. You are cautioned not to place undue reliance on these forward-looking statements, whichreflect our opinions only as of the date of this presentation. Please keep in mind that we are notobligating ourselves to revise or publicly release the results of any revision to these forward-looking
statements in light of new information or future events. Throughout today’s discussion, we attempted
to present some important factors relating to our business that may affect our predictions. You should
also review our most recent financial statements and reports for a more complete discussion of thesefactors and other risks, particularly under the heading “Risk Factors.” A copy of our press release andfinancial tables can be viewed and downloaded on our website
https://www.maruichikokan.co.jp/en/ir/index.html.

Everywhere, MARUICHI

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Appendix : MARUICHI 2030 Vision
Everywhere, MARUICHI

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『MARUICHI VISION 2030』
To become a 100 year old company still in business

MARUICHI STEEL TUBE LTD.
October 17th, 2023
Everywhere, MARUICHI

30

VISION 2030 - Financial KPI Targets -ROE 10%, Dividend Payout ratio 50%
FY2023 (projected)

FY2030

Revenue (billion JP¥)

273.5

400.0

Operation profit(billion JP¥)

30.5

50.0

ROE

7.0%

10%

Consolidated
Dividend Payout Ratio

JP¥110/share（38.9%）

50%

Everywhere, MARUICHI

31

VISION 2030

Our Philosophy, our strength & the market surrounding us
Business Philosophy

×
Our Strength×Market Surroundings

Better businessmodel for every
types of stakeholder

Creating growth
opportunities &
additional value
through our wisdom
and passion

Providing an
excellent work
environment

Unique andintegrated supply
chain

Strong partnershipwith suppliers andcustomers

Quick decision
making and strong
financial backbone

High quality stainlesssteel tubes used in semi
conductor industry &new energy field

Digitalization

Shifting todecarbonized &circular economy

Increasing
infrastructure
demand in offshore
marketDeclining domestic
demandSupply superior
products and earntrustworthiness fromthe market for thecommunity

MARUICHI VISION 2030
MKK will become a key player to support

Semi Conductor Industry ・ Decarbonization Society ・ Our Infrastructure
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32

Ways & Means to achieve our VISION 2030
Target Semi Conductor Industry & Decarbonization Society as our New Business Field
Further growth in Core Business Field

New BusinessSemi Conductor Industry Field- Capture the growing needs of Ultra High Purity Tubing
for the semi conductor industry.
- Build a stronger supply chain through M&A, JV andorganic growth.
- Capture the USA market through MST-X

Decarbonization Technology Field- Capture the growing needs of stainless tubes usedin new energy technology (H2, NH3)

Core Business- Strengthen our supply chain with the synergy ofgroup companies- Develop more value added products (green tube)
with the combination of recycled based steel- Capture further growth in offshore market wheremore infrastructure is required- Build a resilient business model for volatility control- Realign our business portfolio

ESG conscious management
Foundation to succeed in our VISION 2030

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Growth Image

Radical Change in the business portfolio
Revenue ¥400 billion
Operation Profit ¥50 billion

Revenue(Operation Profit)
Unit: billion JP¥

161.1（18.3）

224.2（36.3）

Growing Business Field（Semi Conductor Ind.
Decarbonization technology）

273.5
273.4
（30.0） （30.5）

Operating Profit¥18 billion[7 th] 3 years planCore Business Field（Infrastructure）[8 th] 3 years plan

FY2020

FY2021

FY2022

FY2023(Proj.)

Operating Profit¥32 billion
FY2030Everywhere, MARUICHI

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Investment Plan

Aggressive Investment Plan

Cumulative Investment Plan by 2030: ¥200 billion

Op. Cash Flow + Capital

For the strategic growth¥98 billion

in billion JP¥•

More capacity to match growing business fields•

Partnership with domestic & international business

For the growing business field48

resources

7

For the core business field•

Enhancing our supply chain

3

Investment through M&A•

Aggressive M&A to expand our business

40•

Improved HR development & recruiting to secure talentsthat can adapt to rapidly changing international businessenvironment
Investments for equipment upgrades and new generation
manufacturing process
Investments for carbon neutral and green tube

Enhancement ofbusiness foundation¥102 billion

•
•

TTL
Human Resource

•

12
40
50

200
14

Investments for employees
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