Medium-Term Management Plan

We have formulated our 7th Medium-Term Management Plan (“NE-24”), which started in fiscal 2022, and established the following Management Policy and Management Goals. Under “NE-24”, with the slogan—Three Years to Recreate the Company,—we will strive to strengthen our revenue base by enhancing our competitiveness in terms of manufacturing costs and quality.

Slogan

Three Years to Recreate the Company

Management Targets (“NE-24”)

Review of the Second Year of “NE-24” and Remaining Challenges

In the second year of “NE-24”, the Ichikawa Group’s consolidated net sales exceeded performance forecasts, despite a decline in demand for papermaking felts both domestically and internationally due to the closure of paper mills and the shutdown of paper machines at our main customers. This result was driven by the successful implementation of product price revisions, increased sales of belts overseas, and the impact of the yen’s depreciation. Regarding profits and losses, despite increases in the cost of sales and transportation costs due to soaring raw material prices and energy costs, growth in net sales resulted in performance exceeding our forecasted figures.

Tasks for the Third Year of “NE-24”

In fiscal 2024, the final year of “NE-24”, we must catch up on delayed measures. We aim to increase production per person and reduce the manufacturing costs of felts and belts to global standards by revising our production system, establishing global-standard processes and manufacturing methods, and streamlining raw materials and designs. We will also strive to strengthen our development system for new products and new applications while improving productivity by effectively utilizing data and digital technology. Furthermore, we position activities to achieve the SDGs as a crucial management issue and aim to reduce environmental impact through our corporate activities and grow sustainably with local communities.

Outlook for “NE-24”

The press section of the papermaking machines, where our group’s products—papermaking felts, shoe press belts, and transfer belts—are used, is critical in determining the quality of the paper being produced. It also has a significant impact on the energy costs across the entire production process. Therefore, the press section is the most important stage in terms of both quality and cost when manufacturing paper.
Our group is the only manufacturer in Japan, and one of the few globally, capable of proposing, developing, manufacturing, and selling the optimal combination of products that maximize the efficiency of the press section for our customers' papermaking machines. Under “NE-24,” with the slogan “Three Years to Recreate the Company,” we are accelerating our DX (digital transformation) strategy and rebuilding our company’s foundation through human resource investments and organizational reforms. By establishing globally standardized production processes and designs, we will enhance quality stability and strengthen cost competitiveness.
We will also leverage our global sales network to aggressively expand the market for products that meet customer needs worldwide.
As for the industrial materials business, we aim to expand the scale of our operations by developing new applications and markets for high-performance cushioning materials, where growing demand is expected.

Ichikawa Growing with Society

Our group continues to take on innovative challenges, fulfilling our social responsibilities to shareholders, business partners, employees, and local communities. We strive to grow alongside society, building a strong foundation by enhancing internal controls and working to increase corporate value.