Turning Transformation into Results and Sustainable Growth

Technology itself does not create corporate value. No matter how advanced technology may be, it creates corporate value only when it is transformed into products and business, adopted by customers, and ultimately generates profit.

As CTO, I have been involved in technology development and new business development. Through this experience, I have come to strongly believe that technology and business must advance together. Research and development is an investment in the future, but we also have a responsibility to translate its outcomes into business results. Going forward, we will further strengthen our efforts not only to create new technologies but also to turn them into profitable businesses.

Throughout TOMOEGAWA’s history, growth has always been driven by our willingness to embrace change and take on new challenges. From the domestic production of electrical insulation paper at our founding to the many products that have expanded our business into new fields, these achievements were all born from our efforts to respond to changes in society and customer needs. Today, change is no longer an option; it is a necessity. I believe this change represents an opportunity to expand TOMOEGAWA’s potential.

Under the 8th Medium-Term Business Plan, we have worked to establish a foundation for future growth through business portfolio reform, structural reform, and new product development. As a result, we have developed numerous promising technologies and new products, while also opening the door to growth markets. However, we recognize that translating these achievements into stronger earnings remains a challenge.

Under the 9th Medium-Term Business Plan, we have set the theme of “Turning Transformation into Results.” To achieve our target of new product sales accounting for 30% of total sales, we will accelerate the commercialization of development outcomes while strengthening our revenue base and management foundation. Rather than simply expanding the scale of sales, we will improve profit margins, capital efficiency, and cash generation capabilities to build a corporate structure capable of achieving sustainable growth.

In particular, we will focus on growth markets such as semiconductors, environment and energy, and mobility. By leveraging our proprietary technologies, including the “iCas” heat, electrical, and electromagnetic wave control materials and environmentally conscious materials under the “GREEN CHIP” brand, we aim to both address social challenges and to expand our business. We believe that addressing environmental issues and contributing to energy conservation and resource circulation are not merely social responsibilities but also future growth opportunities.

The same applies to sustainability. For TOMOEGAWA, sustainability is not something separate from our business activities.

By developing products that help reduce environmental impact, creating workplaces where diverse people can thrive, and thoroughly implementing safety, quality, and compliance practices, we will fulfill our corporate responsibilities while strengthening our competitiveness. We believe that creating both social and economic value is the foundation for sustainably enhancing corporate value.

Our goal is not to be a company that pursues only short-term profits. We aim to be a company trusted over the long term by our customers, shareholders, business partners, employees, and local communities. To achieve this, we need both a people-centered philosophy and disciplined management.

We will actively invest in areas where growth is expected. At the same time, we will review and, where necessary, reconsider initiatives that fail to deliver the expected results. Allocating limited management resources to areas where they create the greatest value and making necessary decisions in a timely manner are responsibilities of management.

We will preserve what must be preserved while changing what must be changed.
With this approach, we will continue to boldly take on the challenges that lie ahead.

Turning technology into business.
Turning business into profit.
Turning profit into the next stage of growth.
Our employees are the ones who make this happen.

I believe that our people are TOMOEGAWA’s greatest asset. We have carried forward the technologies honed over our long history and the trust we have built with our customers. None of these achievements would have been possible without our people.

Creating an environment where each employee can take on challenges, learn, and grow, and translating their individual strength into organizational results, is an important responsibility of management.

By bringing together the strengths of all employees and evolving TOMOEGAWA into a high-value-added materials and technology company, we will achieve sustainable growth and enhance our corporate value.

Building on the spirit of challenge passed down since our founding, we will turn transformation into tangible results and work together with all our stakeholders to shape the next generation of TOMOEGAWA.