RIKEN TECHNOS conducts social contribution activities rooted in local communities. As part of these efforts, our Mie Factory donated supplies—including an electronic piano, educational toys, illustrated reference books, and an LCD television set—to Kameyama Children’s Center. A donation ceremony was held on March 18, 2025, and a letter of appreciation was received from Yoshiyuki Sakurai, the mayor of Kameyama City.

The RIKEN TECHNOS GROUP will promote social contribution activities, including activities that contribute to local communities, and cooperate with local communities to undertake the Blue Challenge^* toward achieving a better society.

* “Blue Challenge” is a term that collectively refers to the RIKEN TECHNOS GROUP’s activities relating to contribution to a sustainable society.

About RIKEN TECHNOS Mie Factory
Located at Sugauchi-cho in Kameyama City, Mie Prefecture, the Mie Factory manufactures compounds, films, and food packaging (food wrap). It is scheduled to commence full-scale operation of a new line for thermoplastic elastomer compounds in the winter of 2025.

Sustainability initiatives of RIKEN TECHNOS
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RIKEN TECHNOS CORPORATION (Head Office: Chiyoda-ku, Tokyo; Representative Director, President & CEO: Kazuaki Tokiwa) announced that RIKEN ELASTOMERS CORPORATION (Head Office: Kentucky, United States; President: Toshimi Yamanaka), a subsidiary of its consolidated subsidiary RIKEN AMERICAS CORPORATION (Head Office: Kentucky, United States; President: Toshimi Yamanaka), has completed expanding its production facilities.

The RIKEN AMERICAS Group manufactures and sells automotive components centered on wire harnesses, polyvinyl chloride (PVC) molding materials for profile extrusion, and high functionality plastic molding materials. To meet the expanding demand for PVC compounds in North America, Group company RIKEN ELASTOMERS embarked on a plan to expand its facilities in autumn 2022.

The installation of the new production line has been completed, and trial operation has commenced toward full-scale operation. On March 13, 2025, a ceremony to celebrate the completion of the line was held and attended by representatives from the state of Kentucky and the city of Hopkinsville as well as other associates of the company. At the ceremony, Representative Director, President & CEO Kazuaki Tokiwa of RIKEN TECHNOS gave a speech as the representative of the RIKEN TECHNOS GROUP, in which he said, “I hope that RIKEN ELASTOMERS will make full use of this new production line to increase its market share and grow further as a leader of our Group’s sites in North America.” President Toshimi Yamanaka of RIKEN AMERICAS also gave a speech, saying, “The introduction of the new manufacturing line is essential for us to further enhance our competitiveness in the market and provide higher quality products for our customers. I am truly pleased to be able to welcome this new beginning with a sense of unity with all of you.”

This expansion of production facilities will allow RIKEN AMERICAS to achieve greater production efficiency while maintaining its strength of a high advantage in quality, thereby further heightening its competitiveness in the North American PVC compound market.

The RIKEN TECHNOS GROUP will contribute to society’s development by building the optimal global production and supply system according to market demand trends.

Overview of RIKEN AMERICAS CORPORATION and RIKEN ELASTOMERS CORPORATION

* Figure includes capital reserves.

1.  Management Policy of the New Three-year Medium-term Business Plan
The management policy for the new three-year medium-term business plan will be “One Vision, New Stage 2027.”
This policy indicates our intention to change stages and aim for even greater heights, with a global long-term vision shared throughout the Company and the ideal image we want to achieve in next ten years, which has been newly added to the long-term vision.

2.  Management Indicators
The consolidated target figures for the final fiscal year (ending March 2028) are as follows:
Net sales: 150 billion yen, Operating profit: 12 billion yen, Ordinary profit: 12 billion yen, Net profit: 6.5 billion yen
ROS: 8%, ROE: 10%, ROIC: 11%, EBITDA: 17 billion yen

3.  Strategies/Measures

In the new three-year medium-term business plan, we will focus on the two main pillars of enhancing our “Earning Power” and “Sustainability,” while also working on financial strategies and stakeholder communication.

Earning Power: Three strategies

• Global One Company
• Stay Ahead of Customers’ Expectations
• Take on the Challenge Toward New Businesses and Products

(1) Global One Company
Building on the “Intensified Global Management and Synergies” we drove in our previous three-year medium-term business plan, we aim to elevate ourselves further and operate as a globally unified “Global One Company.” While our focus on ASEAN remains unchanged, we will also prioritize growth investments within Japan.
We will also focus on expanding business with non-Japanese companies as well as Japanese companies in the global market.

(2) Stay Ahead of Customers’ Expectations
We will continue to advance the strategy we laid out in our previous three-year medium-term business plan. To “Stay Ahead of Customer Expectations,” we will further our understanding of markets beyond our customers, enhance our information gathering and analysis capabilities, and, most importantly, invest in the development of personnel, all to enable us to provide better and more optimal proposals.
To ensure integrated, optimal, and prompt proposals from our technology, manufacturing, quality control, and procurement divisions, we will establish a new Monozukuri Headquarters. Under this new organization, we will work together as one to quickly propose and provide optimal products for our customers.
We will also focus on investments in MI and DX to support these efforts.

(3) Take on the Challenge toward New Businesses and Products
We will further advance the industry-academia collaboration initiatives that we promoted in the previous three-year medium-term business plan and launch new businesses from these initiatives during the new three-year medium-term business plan.
Under the newly established Monozukuri Headquarters, we will focus even more on developing new products demanded by the market and increase the proportion of new products in our business portfolio.

Investment and shareholder return
We will make investments to support this growth in Earning Power.
In addition to fundamental investments, we will focus on “growth investments” such as capacity expansion, labor saving, and manpower saving, as well as “strategic investments” such as inorganic growth, new business initiatives, and climate change responses.
We will also focus on research and development investments, along with capital investment and DX investments. In addition to advancing measures related to human capital investment, we will particularly focus on improving employee engagement.
Regarding shareholder returns, we will continue to maintain our current dividend policy of “to ensure a steady stream of dividends while considering future business investment, enhancement of shareholders’ equity, and other factors, with an aim at a consolidated dividend payout ratio of about 35%.” Furthermore, with a basic policy of not holding excessive equity, we will strive for further shareholder returns.

Business portfolio
Under the new three-year medium-term business plan, we will expand our focus particularly on key areas such as molded parts for automobiles (TR), the medical market (DH), food packaging (DH), especially in ASEAN, and telecommunications/mobility/robotics/FA (EL).
Across its three business segments—compounds, films, and food packaging—we are also engaged in diverse fields across various market segments in regions such as ASEAN, North America, and China, as well as Japan. The products in the key areas of each market segment share basic production facilities within our respective business segments. We intend to optimize our portfolio and achieve growth and expansion by continuing to pursue optimal marketing targets in each segment.

Note:
TR = Transportation segment
DH = Daily Life & Healthcare segment
EL = Electronics segment
BC = Building & Construction segment

Sustainability
In the previous three-year medium-term business plan, we set “Contribute to Solving Environmental and Social Issues” as our . In the new three-year medium-term business plan, we will treat this as a major pillar alongside each of the “Earning Power” strategies, and will work on environmental initiatives, including decarbonization, as well as enhancing governance and risk management. We view these initiatives in particular as issues of perpetuity, related to our medium- to long-term corporate existence, and recognizing that they will help reduce the cost of equity, we will pursue them steadily.

Financial strategies
In Our new three-year medium-term business plan, we will work on reforms aimed at a “value-creating balance sheet.” We will implement structural reforms to the balance sheet, such as reducing cash and deposits and improving the cash conversion cycle. We also plan to reduce our holdings of investment securities after verifying the significance of holding them.
Using the cash generated from these efforts in addition to the three years of operating cash flow, we will work on growth/strategic investments, shareholder returns, and other initiatives.

Stakeholder communication
To ensure that Stakeholders understand the above initiatives in the new three-year medium-term business plan, we intend to strengthen our external communications, including IR and SR activities. We will also work to expand the base of shareholders who are willing to invest in us.

4.  Long-term Vision
In conjunction with formulating the new three-year medium-term business plan, we will revise our long-term vision.
While continuing to pursue our existing long-term vision of “aiming to become the leading provider of comfort for all living spaces,” we have established the following three points as our “ideal image” for ten years’ time.

Aiming to become the leading provider of comfort for all living spaces

• Realize “monozukuri” and “value creation” with new ideas and approaches
• Contribute to a sustainable society, flexibly adapting to changes in society and the environment
• Ensure employees each have “job satisfaction” and “pride,” and “grow” together

This three-point “ideal image” was established after about a year of discussion among the Company’s officers, general managers, section managers, and chiefs, from the perspectives of “for the market/customers,” “for society,” and “for employees.”

5.  Materiality Topics
Following revision of our long-term vision, we also revised our materiality topics.

Reflecting the newly added “ideal image” in the long-term vision, we have added “improvement of employee engagement,” and have also reorganized the positioning of several items.

Details of the new three-year medium-term business plan, long-term vision, and materiality topics will be explained at the Financial and Management Results Briefing for Fiscal Year Ended March 2025, which is scheduled for May 20, 2025.

The RIKEN TECHNOS GROUP will strive to create value under the new three-year medium-term business plan “One Vision, New Stage 2027” and the long-term vision, and continue to take on challenges to achieve further advancement.

RIKEN TECHNOS conducts social contribution activities rooted in the community. As part of these efforts, its Mie Factory has so far donated audio-visual materials to Kameyama City Library. Food packaging wraps produced by RIKEN TECHNOS had also been donated as disaster-prevention items.
In recognition of Mie Factory’s contributions toward enhancing library services and strengthening disaster-prevention measures, Kameyama City presented the factory with a letter of commendation at the ceremony held on January 11, 2025 commemorating the 20th anniversary of the city’s establishment.

The RIKEN TECHNOS GROUP promotes social contribution activities, including activities that contribute to local communities. The Group will cooperate with local communities to undertake the Blue Challenge^* toward achieving a better society.

* “Blue Challenge” is a term that collectively refers to the RIKEN TECHNOS GROUP’s activities relating to contribution to a sustainable society.

About RIKEN TECHNOS Mie Factory
Located at Sugauchi-cho in Kameyama City, Mie Prefecture, Mie Factory manufactures compounds, films, and food packaging (food wrap). It is scheduled to commence full-scale operation of a new line for thermoplastic elastomer compounds in the winter of 2025.

Sustainability initiatives of RIKEN TECHNOS
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The RIKEN TECHNOS group has designated ASEAN as a priority region, aiming to capture market share and increase its top market share in the region. In order to steadily seize business opportunities in the growing ASEAN market, such as by responding to market needs and demand by supplying products, we are strengthening our production system by operating new plants and adding new lines in Thailand and other countries.
The current expansion of production facilities was planned since 2021 due to the expected market growth in Vietnam. The construction of the building of the new plant and warehouse and the installation of various equipment has now been completed, and the new plant and warehouse began operations in November 2024.

The ceremony celebrating the 10th anniversary of the company’s establishment and the completion of the new plant was held on November 22, and was attended by people from Binh Duong Province and those who have a close relationship with the company on a daily basis.

On behalf of the RIKEN TECHNOS GROUP, Kazuaki Tokiwa, Representative Director, President & CEO of the RIKEN TECHNOS CORPORATION said in his address, “We are very pleased that RIKEN VIETNAM is now ready to make further progress with the new plant and new line expansion. We look forward to its further development as a major base of the RIKEN TECHNOS GROUP in the ASEAN region.” In addition, Kazuhiro Azuma, Representative Director and President of RIKEN VIETNAM, gave a speech saying, “We will continue to expand our business with customers not only in the Vietnamese market but also overseas, and will continue to develop further in the future. We will strive for the economic development of Binh Duong Province, contribute to the local community, and grow together with our employees.”

With this expansion of production facilities, annual production capacity will increase by approximately 1.5 times. RIKEN VIETNAM aims to increase sales in the Vietnamese market by capturing demand for automotive electric wires and general electrical wire applications, especially for wire harnesses.

The RIKEN TECHNOS GROUP will contribute to the development of society by quickly responding to market demand trends and establishing a stable production and supply system through collaboration among its various sites.

■Overview of RIKEN VIETNAM CO., LTD.

This poster competition aimed to encourage employees to spend more time reflecting on the “RIKEN TECHNOS WAY” through the creation of posters, and to enhance awareness and instill the philosophy by displaying the winning works at its sites. The competition was open to Group employees and their families, inviting submissions under two themes: 1) those contributing to the dissemination of the “RIKEN TECHNOS WAY” and 2) those focusing on one core value or basic action from the “RIKEN TECHNOS WAY.”

Over 200 submissions were received from both Japan and overseas, and winning entries were selected through a rigorous review process by a committee composed of the company’s executive officers.

Grand Prize

Selected Theme: “Set goals and achieve on time.”
Recipient’s Affiliation: I.M.I Co., LTD.

<Grand Prize Winner’s Comment (About the inspiration behind the work)>
The poster was themed around the basic action of the “RIKEN TECHNOS WAY,” “Set goals and achieve on time.”
The poster featured an hourglass symbolizing “time,” inside which was a mountain representing “goals” and people climbing the mountain, visually conveying the “RIKEN TECHNOS WAY.”
The poster expresses the reality of facing various challenges and time constraints in the workplace. It also embodies a wish for all Group sites worldwide to unite with shared ambitions and　conquer the “goal” with a positive and bright mindset in the face of these hurdles.

Excellence Award

Selected Themes (from left): “We continually push ourselves to achieve more,” “Take charge and enjoy your work,” “Come with smile and leave with smile.”
Recipient’s Affiliation (from left): PT. RIKEN INDONESIA, RIKEN TECHNOS CORPORATION, RIKEN TECHNOS CORPORATION (Family member’s work).

Note: Affiliations are as of the time of award reception.

In addition to the Grand Prize and Excellence Awards, Special Prizes and Theme Awards were established, resulting in a total of 15 award-winning works. Award recipients received certificates of achievements and cash prizes.
Winning works are displayed as posters at the Group sites.

Through the promotion of the “RIKEN TECHNOS WAY” across the entire group, RIKEN TECHNOS aims to strengthen its organization and further advance the group’s development.

About the “RIKEN TECHNOS WAY”
The “RIKEN TECHNOS WAY” is the corporate philosophy established on the company’s 60th anniversary. It comprises three levels: Mission (Mission and Purpose), Core Values (Fundamental Values), and Basic Action (Specific Action Guidelines). The word “challenger” used in its mission statement is meant to convey two meanings – a manufacturer that produces high-quality product and an organization that takes on challenges to create new value.

Corporate Philosophy: RIKEN TECHNOS WAY
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ICE-μ® is a film for automobile windows that has excellent uniformity and transparency in addition to high thermal insulation. When applied to window glass, it creates a comfortable interior space with clear visibility. By incorporating some of the core technology that it has been developing over many years, RIKEN TECHNOS has achieved high transparency and thermal insulation without interference with electromagnetic waves by blocking infrared and UV rays with its revolutionary wavelength control technology and precise coating technology.

The newly developed grade is also light reflective, providing the dual effect of the heat absorption of conventional film while improving thermal insulation by more than 10% compared to existing grades.

ICE-μ®️ RE’s features (new grade)

• Thermal insulation is improved by more than 10% compared to current products.
• The addition of the heat reflecting function contributes to improved efficiency of indoor air conditioning.

It is also possible to combine unique original functions such as crime prevention and anti-virus. With the aim of using the power of film to create an even more comfortable space, RIKEN TECHNOS are constantly working on product development in anticipation of customer needs.

Through products such as ICE-μ®, RIKEN TECHNOS GROUP will continue to provide comfortable living spaces, reduce environmental impact, and contribute to the development of a sustainable society.

About ICE-μ
URL: /ice-u/
RIKEN TECHNOS Product Information
URL: /product/

The internal carbon pricing (ICP) system is a mechanism to promote low-carbon investment by setting an internal carbon price, converting the amount of CO₂ emissions into a hypothetical amount of money, and factoring the effect of emission reductions into investment decisions.

RIKEN TECHNOS has set CO₂ emissions reduction targets of 46% below the FY2019 level by FY2030 (Scope 1 and 2) and carbon neutrality with zero emissions in the Group by FY2050.
In March 2023, the Company established “environmental protection,” which includes addressing climate change, as one of its important topics (materiality), and is considering and implementing various measures to address this topic. The ICP system will be incorporated into the decision-making criteria for making capital investments, and we will conduct low-carbon investments and implement measures to address climate change.

Overview of RIKEN TECHNOS GROUP’s ICP System

Almost invisible to the naked eye, dust is floating in the air in living spaces. It contains dead mites, pollen, and other allergens, and once it is released into the air, it floats in the air for several hours. Countermeasures against these allergens are necessary to create a comfortable living space.
Against this background, the Company has added the allergen-reducing type RIKEGUARD^®A as a new feature to the product lineup of the RIKEGUARD^® series. This is the fifth feature type in the RIKEGUARD^® series.

Expanding the Product Lineup to Provide Comfort
In the RIKEGUARD^® series, products ranging from anti-bacterial and anti-virus types to insecticide and deodorant types have been developed and offered. The RIKEGUARD^® series has provided comfort in living spaces by being used in various applications such as injection molding products, films, and sheets.

The newly developed allergen-reducing type was confirmed to reduce the allergen activity in an efficacy evaluation test using allergens such as mites and cedar pollen^*. RIKEGUARD^®A can be used for various applications such as films, sheets, and non-woven fabrics used in everyday life.
RIKEN TECHNOS GROUP will continue to provide comfort in living spaces through products such as the RIKEGUARD^® series.

*Test results. Effectiveness varies depending on usage and environmental conditions.

About RIKEGUARD
URL: /product/guard/
RIKEN TECHNOS Product Information
URL: /e/product/search/