Business Strategies - Innovation Enabling Materials

Relationship Between Our Products and Daily Life

Mission
Strengthen Competitiveness
Vision for 2030 and Roadmap
TOPICS2025

Mission of Innovation Enabling Materials Business

As a platform that contributes to innovation in next-generation businesses and the creation of competitive products, we will continue to be a business that provides unique technologies and materials by creating innovation enabling materials with new functions through in-house co-creation.

Initiatives to Strengthen Competitiveness and Examples

We will make use of Resonac’s strengths and competitive advantages to become a world-class functional chemical company and a company that can compete on the world stage by 2030.

Strengthening On-site Capabilities Through the Promotion of DX and Citizen Development

In the manufacturing section of the Ceramics Business Unit , activities are being carried out to improve work processes through citizen development of RPA and BI tool apps that the operators themselves have learned and developed. These activities contribute greatly to safe and stable operations, ensuring absolute quality, and increasing production efficiency. In order to further expand these activities, the High Performance Materials Business Headquarters has established a DX Promotion Officer to strengthen cooperation with the CDIO organization.
This is expected to expand beyond production departments to other operations and business units such as SCM, accounting, general affairs, development and sales, thereby improving customer convenience and contributing to the creation of businesses for the future.

Vision for 2030 and Roadmap to Achieve It

Vision for the future(2030)	Issues to Be Addressed	Results in 2024	Plans for 2025
Consistently create new materials and technologies as a vessel that supports the Group’s innovation and enhanced competitiveness Consistently maintain profitability with an EBITDA margin of 15% or more as a leader in specific sectors	In next-generation semiconductor materials and promising domains, strengthen our development and manufacturing capabilities for organic and inorganic materials to be used as components in these domains Initiatives to improve profitability, such as the optimization of production lines and fixed costs, and portfolio revision with an eye to business growth backed by our competitive edge	Promoted the development of materials centered on next-generation semiconductor materials through in-house co-creation and identified commercialization barriers Achieved EBITDA margin target (17.9%) Year-on-year increase in sales and profit due to passing on soaring raw material prices to product selling prices and an increase in sales volume	Deepen material development, primarily for next-generation semiconductor materials, through in house co-creation and promote the commercialization of new materials Optimize management resource allocation aimed at creating new businesses and strengthening development capabilities, and establish a framework for efficient utilization Although demand is expected to remain strong, we forecast year-on-year sales growth but lower profit due to rising personnel costs

Vision for the future(2030)

Issues to Be Addressed

Results in 2024

Plans for 2025

Consistently create new materials and technologies as a vessel that supports the Group’s innovation
and enhanced competitiveness
Consistently maintain profitability with an EBITDA margin of 15% or more as a leader in specific sectors

In next-generation semiconductor materials and promising domains, strengthen our development and manufacturing capabilities for organic and inorganic materials to be used as components in these domains
Initiatives to improve profitability, such as the optimization of production lines and fixed costs, and portfolio revision with an eye to business growth backed by our competitive edge

Promoted the development of materials centered on next-generation semiconductor materials through in-house co-creation and identified commercialization barriers
Achieved EBITDA margin target (17.9%)
Year-on-year increase in sales and profit due to passing on soaring raw material prices to product selling prices and an increase in sales volume

Deepen material development, primarily for next-generation semiconductor materials, through in house co-creation and promote the commercialization of new materials
Optimize management resource allocation aimed at creating new businesses and strengthening development capabilities, and establish a framework for efficient utilization
Although demand is expected to remain strong, we forecast year-on-year sales growth but lower profit due to rising personnel costs

TOPICS 2025 of Innovation Enabling Materials Business

Creation of Vaneetect, Vacuum Insulated Glass Sealing Agent That Enhances Environmental Performance (Low Melting-Glass)

Vaneetect, which enables sealing at low temperatures and does not contain substances
restricted by the RoHS Directive, is used as a sealing material for vacuum insulated
glass (VIG), which is becoming increasingly popular in building construction. We expect
this to improve environmental performance by lowering energy consumption during
VIG production, reducing CO2 emissions by shortening processing times,
improving the insulation performance of window glass, and enabling glass
recycling. In collaboration with R&D divisions, we are also studying its
application to sealing and bonding for electronic devices and sensors.