8th Medium-term Business Plan
(April 2018 ～ March 2021)

Asahi Holdings, Inc.

Ⅰ Results of 7th Medium-term Business PlanⅡ Overview of 8th Medium-term Business Plan
Ⅲ Business Segment Strategy

Consolidated Financial Results（unit: JPY in billion）

Operating Income

FY2015119.4※1 6.1FY2016106.8※2 2.0FY2017115.8
13.8

Operating Income
Ratio

5.1%

1.9%

11.9%

ROE

5.8％

(2.6％)

17.3%

Revenue※１ Including impairment loss of goodwill of Asahi Refining (minus 3.8 billion yen)
※２ as above (minus 7.5 billion yen)

119Revenue

11610730

Operating income
25201415106520

FY2015FY2016FY2017

Results (By Segment)（unit: JPY in billion）

Precious Metals

FY2015
78.0

Revenue
Operating Income
Operating Income Ratio

FY2016

※

4.6
5.9%

FY201767.0

74.6(0.1)

11.1(0.1%)

14.9%※※ Including the impact of the impairment loss of goodwill

Environmental Preservation

FY2015FY2016FY2017

Revenue

15.8

15.9

16.2

Operating Income

2.8

3.3

3.5

17.7%

20.4%

21.6%

Operating Income Ratio

Life & Health

FY2015FY2016FY2017

Revenue

25.7

24.0

25.0

Operating Income

1.3

1.4

1.6Operating Income Ratio

4.9%

5.7%

6.3%

Ⅰ Results of 7th Medium-term Business PlanⅡ Overview of 8th Medium-term Business Plan
Ⅲ Business Segment Strategy

Company Slogan and performance targets

Company Slogan
Building a global company that pursues originality and growth

Consolidated performance targets for FY2020

Revenue

140 billion yen

Operating Income

16 billion yen

Operating Income Ratio

11.4 ％

ＲＯＥ

13.5 ％

Consolidated Target for each fiscal year
（unit: JPY in billion）

FY2017FY2018FY2019FY2020

Revenue

115.8

120.0

130.0

140.0

OperatingIncome13.8

14.0

15.0

16.0

OperatingIncome Ratio

11.9%

11.7%

11.5%

11.4%

17.3%

14.1%

13.8%

13.5%

ROE

※

※ Including the impact of the issuing of new shares and disposition of treasury stock during period＜Dividends＞
 30% and above of our consolidated net profit shall be returned toshareholders in the form of steady, ongoing dividends.
 Planning 74 yen per share for FY2018, an increase of 11yen per share fromthe previous year

Capital Expenditure plan
（unit: JPY in billion）

FY2018 FY2019 FY2020

Total

Precious Metals

2.0

1.9

4.4

8.3

Domestic

1.1

1.3

0.73.1

Overseas

0.9

0.6

3.7

5.2

Environmental
Preservation

1.6

1.8

3.3

6.6

Life & Health

0.4

0.4

0.3

1.1

Total

4.2

3.8

8.0

16.0

＜Fund raising＞■ Raised 12.3 billion yen, of the 16 billion yen capital expenditure, by
the issuing of new shares and disposition of treasury stock in
December 2017.

Five-year vision for each business segment(toward the 70th anniversary of our foundation in 2022)

Precious Metals

Be the number one precious metal

Businessrefining company in the world

Environmental
PreservationBusinessBe a leader in the environmental

Life & HealthBe the world's number one brandBusinessbusiness in Japanin the health-related businessBasic Policy (1/3)
Be the number one
Be a leader in the
precious metal refining environmental businesscompany in the worldin JapanBe the world's numberone brand in the healthrelated business

1. Building a new business foundationthat will support the coming era
Precious Metals

EnvironmentalPreservation

Life & HealthAugmenting of intangible capital
Actively investing in human capital
Actively investing in new technology

Basic Policy (2/3)

2. Improving productivity and work styles utilizing
information processing technology
Improvingproductivity

Improving worklife balance

AIThoroughreview ofoperations

Robotics

×IoTFintech
Image recognition

3. Sharing the Asahi Way with allemployees group-wideBasic Policy (3/3)

Augmenting
intangible capital
Actively investing in human capital Developing more human resources who can operate
at a global level
 Renewing the personnel development system

Actively investing in new technology
 Carrying on Asahi’s tradition as masters oftechnology
 Developing new technology such as AI

The social contribution through our business (SDGs)
The management philosophy:“Totally Committed to Protecting the Natural
Environment and Conserve Resources”
 Our business is directly linked to 13 of the 17 SDGs
 The business growth of our group itself is contributing to Global
Sustainability.

BusinessGrowthAddressing
SocialIssues※ Adopted in 2015 at the United Nations, the Sustainable Development Goals(SDGs) seek to address a wide range of issues related to the economy,society and the environment. All members of the international community,including companies, are expected to participate.

Ⅰ Results of 7th Medium-term Business PlanⅡ Overview of 8th Medium-term Business Plan
Ⅲ Business Segment Strategy

Precious Metals（unit: JPY in billion）

FY2017FY2018FY2019FY2020

Revenue

74.6

78.0

85.0

92.0

Operating
Income11.1

12.0

12.5

13.0

Operating
Income Ratio

14.9%

15.4%

14.7%

14.1%

Business strategy•••

Establishing treatment and refining processes with higher quality, lower costs and greater
efficiency
Producing and selling precious metal products that provide a high degree of added value
Expanding its business domain and establishing the Asahi brandFive-year vision
Be the number one precious metal refining company
in the worldEnvironmental Preservation（unit: JPY in billion）

FY2017FY2018FY2019FY2020

Revenue

16.2

16.0

16.5

18.0

Operating
Income

3.5

2.9

3.0

3.3

Operating
Income Ratio

21.6%

18.1%

18.2％

18.3%

Business strategy••Strengthening its intermediary treatment capabilities by large-scale facility investments
Achieving more suitable processes, lower costs and a lower burden on the environment
through its wide range of recycling and detoxification technologies

Five-year vision
Be a leader in the environmental business in Japan

Life & Health（unit: JPY in billion）

FY2017FY2018FY2019FY2020

Revenue25.026.0

28.5

30.0

Operating
Income

1.6

1.7

2.1

2.4

Operating
Income Ratio

6.3%

6.5%

7.4%

8.0%

Business strategy••

Developing products, ascertain the varied detailed customers’ needs and building uniquebusiness model
Actively expanding into the overseas market with products, which realize the advanced
technology and high quality of “made in Japan”.

Five-year vision
Be the world's number one brand in the health-related
business