Mitsubishi Materials : Business Strategies (pp. 32~52)

[Business Strategies]

Value Creation and		About the Mitsubishi			Strengthening the		Financial Data/
Top Message	Business Strategies	Corporate Strategies	Governance
Performance	Materials Group	Foundation	Corporate Data

[Business Strategies]

Advanced Products Business

Global First Supplier

Aiming to become a global first supplier that provides our customers who are our partners with products globally in a timely manner.

Specific Measures of the FY2023 Strategy

• Assign key account managers acting cross-sectionally
• Enhance information analysis by digital marketing such as the employment of AI or IoT
• Share product road maps with customers (co-creation capabilities)
• Develop new products through collaboration with Central Research Institute
• Enhance manufacturing capabilities (improve production efficiency and mass-production technologies, etc.)
• Pursue opportunities to execute M&A or business alliances

Projected Achievements at the End of FY2023

In our main business fields*, we will have:

• Earned customers' trust
• Released new products by integrating our technical capabilities
• Generated new applications of our products

*Next-generation vehicles, semiconductor / electronics, industrial machinery / infrastructure

Yasunobu Suzuki, Executive Vice President and Executive Officer

President, Advanced Products Company

The strengths of Advanced Products Company are a consistent value chain from smelting connected to Metals Company

to copper and copper alloys; development capability and processing technology for the production of oxygen-free copper, high-performance,high-quality copper alloys and other electronic materials; and the ability to provide fast and flexible solutions in collaboration with the Central Research Institute.

The main markets for our materials and components are automobile, semiconductor, electronics, and infrastructure including medical. Currently, the semiconductor industry continues to flourish through the increase in remote work as a COVID-19 countermeasure. Demand for automobiles and home appliances is recovering to the point it was at before the pandemic, but production decreases due to semiconductor shortages, logistics disruptions and other uncertainties remain. In the medium to long term, there are no major differences in market trends accompanying changes such as advances in

EV and electronic control of automobiles against the backdrop of the low-carbon movement or the spread of 5G that is the backdrop of development of digitization and the data economy, and we believe this is in line with the direction of our business strategy. Furthermore, to anticipate the need for environmentally friendly materials, renewable energy utilization and advancement of medical devices for an aging society that are conscious of SDGs, we are developing activities while adding these items to our research, development and strategic planning.

First, we aim to become the first call vendor that customers all over the world turn to, and become a global first supplier in terms of customer satisfaction in quality and product originality in the long-term. In our Medium-Term Management Strategy, we aim to build a relationship of trust with our customers in priority business fields, develop new products by combining existing technologies and discover new product applications. Furthermore, our business fields are changing rapidly, and with the rise of new

technologies and start-ups globally, the market has become highly competitive. On the other hand, the market is expected to continue expanding, and we believe that we can achieve further growth and expansion by leveraging our strengths. We see the current business environment as an opportunity, and will further expand on our strengths by promoting our current DX activities, providing our unique materials, components, and services that support new technologies to our customers, who are our partners, globally and in a timely manner, in order to achieve our goal of becoming a global first supplier and steadily growing our business.

Long-term business goals

Products & Services

Mission

Social issues to be Materiality solved

Global First Supplier

Differentiated line of products

Next-generation vehicles (including other

Contribute to build a prosperous society

FY2021

• Advancing mobility
• Advancement and diversication of digital devices
• Automation of production and business processes
• Efcient use of mineral resources and alternative substances
• Efcient use of energy resources

Our strengths (advantage)

Material technology

Processing technology

Price leader

Long-term strategy

Create new businesses and products through the sophistication and integration of our core competencies

Accelerate marketing activities to replicate successful practice

	Product		Advanced Products Business
Material	MMC Group's	Recycling	Product-type Business
Business	Process-type Business

transportation equipment)

• Copper strips for in-vehicle terminal materials
• Copper bars/busbars
• ECO BRASS
• Thermistor sensors
• Insulating heat-dissipation parts

Semiconductor manufacturing equipment and electronics

• Precision silicon products
• Columnar crystal silicon
• Seals and Packing Products, etc.

• Advance and diversifying mobility and digital devices
• Automate production and business processes

Contribute to build a recycling-oriented society

• Develop and use materials with low environmental impact
• Efficient use of mineral resources and transition to alternative substances

Contribute to build a decarbonized society

•	Efficient use of energy resources
•	CO2 emissions reduction

Net sales 357.1 billion yen Operating profit 2.8 billion yen Ordinary profit 6.1 billion yen

Net sales Operating profit Ordinary profit (billion yen)

375.3		421.9
357.1	7.6	7.1
	6.1
4.4
3.2	2.8

• Development of renewable and unutilized energies

• CO2 emissions reduction	Solution capability

Resources

Robotics, industrial machinery, infrastructure

• Pneumatic Equipment Seal Products
• Superconducting cables

• Develop and supply products that contribute

to decarbonization

March 2020 March 2021 March 2022

Contribution Goals for a Sustainable Society

Breakdown

FY2023 Strategy

		Risks		Opportunities
		• Severing of the supply chain due to natural disasters, etc.		• Develop and supply products that contribute to
		• Stuck in follower position		decarbonization
		• Emergence of game changers

Sales volume of copper	FY2023 target	Sales volume of	FY2023 target
5.6 billion yen
materials for new HV/EV	1,200 t	materials for next-
			generation vehicles
			and environmentally
			friendly products
FY2020 results	1.2 times or more	FY2020 results	1.3 times or more
989 t	4.2 billion yen

*Reviewed definition of the applicable automotive device products.

Net sales (outside)

23.2%

Ordinary profit (inside)

13.9%

March 2022 (forecast) values were the values released May 14, 2021

Ratio of net sales is net sales to outside customers.

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[Business Strategies] Advanced Products Business

Aim to become a global-first supplier by enhancing marketing and technical development functions as well as investing heavily in the copper & copper alloy product business

Value Creation and		About the Mitsubishi			Strengthening the		Financial Data/
Top Message	Business Strategies	Corporate Strategies	Governance
Performance	Materials Group	Foundation	Corporate Data

Products

We will create new businesses and products through the sophistication and integration of our core competencies (production and development technology for oxygen-free copper and copper alloys, and functional materials as well as technical capabilities such as bonding different metals, etc.), and build relationships of trust by sharing our product road map with key accounts.

Next-generation vehicles

Next-generation vehicles

• Expand copper alloy sales

In addition to our acquisition of the Luvata Group (Special Products Division) in May 2017 for the goal of globalizing our copper & copper alloy business, we merged with Mitsubishi Shindoh Co., Ltd., the company with the top share of copper and copper alloy products in Japan, on April 1, 2020, to build a product supply system to create new value for our customers. One of our strengths is oxygen-free copper, which is a material required for increasing the current and voltage of next-generation vehicles, and high-performance copper alloys are widely used all over the world as the terminal material for automobiles, etc. Demand for copper & copper alloy products is expected to increase due to electronic control, IoT, and AI in markets such as robotics, industrial devices, and infrastructure, as well as the CASE (connected, autonomous, shared, electric) revolution in the automotive industry. We plan to make a capital investment of about 30 billion yen from 2020 to 2026 to increase production capacity by about 30%. Furthermore, in addition to "ECO BRASS," our lead-free free machining brass series, which complies with the RoHS Directive and other lead regulations, we are also contributing to SDGs by developing more affordable next-generationlead-freefree-cutting brass GloBrass with

• Electronic materials

In the electronic materials field, demand for 5G infrastructure, data centers and other products related to semiconductors are expected to remain strong, and we plan to increase sales of electronics- and automobile-related products due to the recovering market. In our FY2023 Strategy, our priority strategies are market development and sales expansion of next-generation automotive products and establishment of a system by which to increase production of silicon processed products. In fiscal 2021, we are steadily achieving results in the insulating heat-dissipation parts business, including achieving the target numbers for development of automobile products and strengthening our production system to meet customer needs. From fiscal 2022, we aim to maintain and improve profitability by establishing a production system and increasing production efficiency for the semiconductor-related products that continue to steadily trend upwards due to strong demand. Furthermore, in xEV products, which are expected to grow, we plan to utilize our development road map to build partnerships with important customers and promote the strengthening of development and production systems.

Oxygen-free copper to handle the high current and high voltage requirements of xEV

Semiconductor manufacturing and electronics

Micromachined precision silicon products used in semiconductor manufacturing equipment, etc.

Insulating heat-dissipation parts that combine reliability with high heat dissipation performance

Semiconductor manufacturing and electronics

Seals with excellent heat resistance, chemical resistance, radical resistance, and low particle generation

improved conductivity and hot molding workability. Furthermore, cooperating with Luvata Group, we will expand global sales of copper alloys as we aim to become a global first supplier in the copper & copper alloy product industry.

Global expansion of the Group

Electronic Materials & Components

• Enhance marketing & technical development function

Our strengths lie in advanced product development and technical capabilities such as bonding of heterogenous materials, and we have developed innovative products that were world-firsts, such as high performance insulated DBAC substrates for power modules, which dramatically improve heat cycle resistance in

a high temperature range. In the FY2023 Strategy, we plan to further polish these strengths and share our future product road map with customers to quickly capture market needs and create new products and new businesses, including new product applications. We also plan to adopt digital marketing to fortify our analytical capability on customers and markets, as well as to strengthen the synergy between business divisions.

Furthermore, we will utilize our global manufacturing, development, and sales network, including those of the Luvata Group, to build relationships of trust with customers all over the world and have our key accounts in particular recognize us as the first call vendor, and thereby aim to become a top supplier in terms of customer satisfaction regarding quality and product originality.

Semiconductor manufacturing and		Environmentally Friendly Products
electronics

Copper alloy lead frames for plating	Lead-free brass, ECO BRASS
technology, stamping, and high-	products with high strength, wear
precision molds	resistance, and corrosion resistance
Robotics, industrial machinery, and		Next-generation vehicles and electronics
infrastructure

Superconducting wires often used in	On-board temperature sensors for xEV
medical devices for applications such as	batteries and other electronic products
MRI and international science projects

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[Business Strategies]

Value Creation and		About the Mitsubishi			Strengthening the		Financial Data/
Top Message	Business Strategies	Corporate Strategies	Governance
Performance	Materials Group	Foundation	Corporate Data

[Business Strategies]	Top 3 supplier in strategic markets
Metalworking
Aiming to be ranked by customers as a top three supplier in the
Solutions Business	automobile, aerospace, medical and mold and die industries, as well
	as for our efforts in manufacturing utilizing renewable energy and
	increasing recycling.

Specific Measures of the FY2023 Strategy

• Increase recycling rate in our tool recovery system and utilize renewable energy
• Provide high efficiency tools and digital solutions
• Transition to smart factory and optimization of logistics and supply chain
• Expand advanced metal powder business to rechargeable battery market

Projected Achievements at the End of FY2023

• Establishment of a competitive global busi- ness base capable of expanding in strategic markets using digital technologies

Tetsuya Tanaka, Managing Executive Officer

President, Metalworking Solutions Company

In our Medium-Term Management Strategy (FY2023 Strategy), the Metalworking Solutions Company is focusing on the strategic markets of the automobile, aerospace, medical, and mold and die industries. In fiscal 2021, the cutting tools market temporarily plummeted due to the global spread of COVID-19. After, demand has continued to recover, and we expect the market to exceed two trillion yen by 2030. Demand in the aerospace industry is recovering more slowly than in other industries, but we expect

it to recover and expand in the medium to long-term, so we are preparing for that recovery. The Metalworking Solutions Company is focusing management resources on these strategic markets to expand business activities.

We believe that the strengths of the Company lie in our ability to develop distinct products with superior performance that feature material technologies and coating technologies as their core competency, stable quality, and our ability to provide added value through our technical centers and sales networks

around the world. By leveraging these strengths, we aim to provide products and services that contribute to strategic markets. Furthermore, by promoting our digital transformation (DX) strategy and strengthening support for providing customers with digital solutions, we will establish a system that improves customer productivity and social value.

As an initiative that contributes to the building of a recycling- oriented society, we are setting target values that are more specific than those from fiscal 2022 in order to promote manufacturing that utilizes renewable energy. In the long term, we aim to reduce greenhouse gas (GHG) emissions by 30% or more over fiscal 2014 by fiscal 2031. Furthermore, in order to strengthen efforts to collect used cemented carbide products and recycle them as cemented carbide materials, we are looking into establishing a scheme for recycling in areas where scraps are collected, mainly in Japan, Europe and the Americas, and collaborating with the Masan High-Tech Materials Corporation

Group, which we invested in in fiscal 2021. We were able to able to achieve our FY2023 Strategy target of 35% in fiscal 2021 thanks in part to an increase in collection and recycling of scrap in overseas areas. We are aiming for a long-term goal of 80% recycling by fiscal 2031.

By striving to increase both our social and economic value in this manner, we aim to be ranked one of the top three suppliers by our customers.

			Long-term business goals
Social issues to be solved			Top 3 supplier in strategic markets
• Advancing mobility			Long-term strategy
• Advancement and			Promote clean manufacturing
		Provide high-efciency products with advanced technology
diversication of digital devices	Our strengths		Expand advanced metal powder business in electronic devices
• Automation of production	(advantage)
and business processes

Products & Services

Cemented carbide products

• Cutting tools
• Wear resistant tools
• Rock tools

Advanced metal powder

Mission

Contribute to build a prosperous society Improve productivity by providing high efficiency tools and digital solutions

Contribute to build a recycling-oriented society

Increase the usage rate of recycled cemented

FY2021

Net sales 119.3 billion yen Operating profit -1.1 billion yen Ordinary profit -0.7 billion yen

Net sales Operating profit Ordinary profit (billion yen)

• Longer lifespans of people

and buildings

• Efcient use of mineral resources

and alternative substances

• Efcient use of energy resources

• Development of renewable

and unutilized energies

Consistent handling of everything from raw material powder to final products and recycling

Material technologies and coating technologies cultivated as a comprehensive materials manufacturer

Technical centers and sales networks around the world

	Product		Metalworking Solutions Business
Materials	MMC Group's	Recycling	Product-type Business
	Business		Process-type Business

Resources

Cemented carbide recycling

carbide materials and reduce environmental impact via production activities

Contribute to build a decarbonized society Promote manufacturing utilizing renewable energy and contribute to automobile electrification by advanced metal powder technology

150.2	119.3	133.1

7.7	8.8		8.3
6.2

-1.1-0.7

March 2020 March 2021 March 2022

• CO2 emissions reduction

Contribution Goals for a Sustainable Society

Breakdown

FY2023 Strategy

Ratio of recycled tungsten as raw material in

FY2023 target

35%

Net sales (outside)

7.5%

Risks	Opportunities
• Supply chain changes in the automotive industry	• Processed materials becoming difficult-to-cut
• Decreased internal combustion engines due to mobility revolution	• Increased new demand due to automobile electrification
• Rising raw material price	• Demand for recycling
• Changes to the market structure due to COVID-19	• Evolution of digital technologies

cemented carbide tools

FY2020 results

28%

Up 25%

Ordinary profit (inside)

-%

March 2022 (forecast) values were the values released May 14, 2021

Ratio of net sales is net sales to outside customers.

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[Business Strategies] Metalworking Solutions Business

Value Creation and		About the Mitsubishi			Strengthening the		Financial Data/
Top Message	Business Strategies	Corporate Strategies	Governance
Performance	Materials Group	Foundation	Corporate Data

Expansion of the utilization of new technologies and services that can solve customer issues Enhancement of the global supply system and functions

The Company will conduct strategic investment in growing markets and enhance global competitiveness in order to achieve its aim of becoming one of the top three suppliers in the strategic markets of the automotive, aerospace, medical, and mold and die industries.

Strategic Markets

Automotive

Automobile manufacturers worldwide are responding to environmental issues with a variety of initiatives, such as implementation of fuel efficient and environmentally friendly technologies. Progress in production technology is essential for

Aerospace

The aerospace industry demands advanced technology for machining difficult-to-cuthigh-performance materials into complex shapes. Our dedicated staff in Japan, Europe and the United States provide prompt and detailed response in order to

• Encouragement of global collaboration and expansion of technical center functions

The Company has established nine technical centers around the world, including two in Japan (in Saitama and Gifu), which enable us to provide a wide range of solutions to customers around the world, including cutting tests, training, technical consultations, and direct proposals for improving customer processes.

In fiscal 2021, we worked to improve the function of cutting tests, simulations and technical education at our seven overseas technical centers in order to provide customers around the world with the same solution services provided in Japan. Furthermore, we also conducted remote cutting tests and workshop services in order to continue providing solution service amid the COVID-19 pandemic. Looking toward fiscal 2031, we plan to expand our menu of digital solutions.

• Investment in Masan High-Tech Materials Corporation, Vietnam

We purchased 10% of Masan High-Tech Materials Corporation's (MHT) stock in December 2020.

By building a strategic partnership with MHT, we will launch a joint tungsten recycling business that utilizes the global bases of the MHT Group, and we also are looking into collaboration in midstream tungsten business, including technical partnerships related to the production of high-quality tungsten powder.

Furthermore, MHT has the rights to the Nui Phao Mine (Thai Nguyen Province, Vietnam), which boasts one of the world's largest tungsten reserves and the ability to smelt ore into high value-added tungsten compounds, and we will work to stably procure tungsten, which is the raw material for cemented carbide products.

achieving these technologies, and we are involved in improving component processing technologies by closely cooperating with our customers worldwide. We are also involved in daily research into processing technologies for electric vehicles and fuel cell vehicles in order to respond to future changes in mobility.

provide high-level products and even more specialized services. We also collaborate with research institutes and universities in Japan and overseas to develop revolutionary cutting tools and provide processing methods that make full use of our simulation technology.

• Utilization of digital technologies for processing diagnosis and simulations

By digitizing information such as processing cases and product information and constructing a technology database while developing and adopting a system (MICS) for collecting and analyzing processing information, we are now conducting more detailed analysis. Our technical centers located all over the world enable us to propose the optimal processing methods and ways of solving customer problems based on digitized technical information and processing diagnosis conducted via a dedicated system.

• Global expansion of recycling process

In the collection and recycling of used cemented carbide products, we were able to achieve our FY2023 Strategy target of recycling 35% in fiscal 2021 thanks to an increase in collection and recycling in overseas areas. We are aiming for 80% recycling by fiscal 2031. Furthermore, we are establishing a scheme for recycling in areas where scraps are collected, mainly in Japan, Europe and the Americas, and plan to look into collaboration with the MHT Group.

In order to promote manufacturing that utilizes renewable energy, we surveyed renewable energy procurement methods and formulated a road map for fiscal 2031. Starting in fiscal 2023, we plan to formulate and implement specific means of utilization at manufacturing and sales location in Japan and overseas. Additionally, we aim to reduce greenhouse gas (GHG) emissions by 30% or more over fiscal 2014 by fiscal 2031.

Medical

In the orthopedic market, the Company is enhancing its ability to propose solutions in the medical industry by establishing a dedicated sales organization and marketing office in the United States, based on the fact that many cutting-edge technologies are found in North America. Many difficult-to-cut materials are used in orthopedic devices, which means that the life of cutting tools is extremely short and there is high demand for improvements to tool life. We contribute to improving customer productivity by developing tools over the entire process, from materials to finished products.

Mold and Die

In the mold and die industry, we are promoting sales activities that create value for customers by providing mold and die processing solutions and services centered on the "MOLDINO" brand, which features distinctive products and cutting-edge technology. Aiming to deepen mold and die processing, we are manufacturing molds and dies in-house and pursuing mold and die processing innovation from the customer's point of view in order to attain the number one share in the mold and die market globally.

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[Business Strategies]

Value Creation and		About the Mitsubishi			Strengthening the		Financial Data/
Top Message	Business Strategies	Corporate Strategies	Governance
Performance	Materials Group	Foundation	Corporate Data

[Business Strategies]	Leader in environmentally-friendly mining &
Metals Business
smelting business
	Contributing to the development of society and its sustainability as a
	leader in environmentally-friendly mining & smelting business.

Specific Measures of the FY2023 Strategy

• Secure clean copper concentrate by investing in new mines
• Develop impurity removal technology in copper concentrate
• Optimize valuable metal material flow
• Reduce fossil fuels

Projected Achievements at the End of FY2023

• Optimization of valuable metal material flow derived from E-Scrap
• Reduction of smelter CO2 emissions by 5%

Tetsuro Sakai, Managing Executive Officer

President, Metals Company

The strength of our metals business lies in the Mitsubishi Continuous Process (Mitsubishi Process), a unique, proven technology with high efficiency and exceptionally low environmental impact. Utilizing this advantage, we established a large-scaleE-Scrap processing system to be the forerunner in the industry. We now boast the world's largest processing capacity at 160,000 tons per year. Another feature is our distinctive production sites for smelting and refining materials such as copper, lead,

tin, precious metals and PGM. We plan to build a process flow among all the production sites of our group in our Medium-Term Management Strategy (FY2023 Strategy) and turn this into an even greater strength. This will make it possible to make the best use of the processing capacity of each site and further expand E-Scrap processing. In the natural resource business industry, we have many years of operational experience in domestic mining, and we use this knowledge to promote investment in high quality mine projects and maximize the project profits.

Under our long-term goal of being a "leader in environmentally- friendly mining, smelting and refining business," we have set the goal of "Creation of a sustainable raw material portfolio consisting of clean copper concentrate and E-Scrap" in FY2023 Strategy. To achieve this goal, we aim to realize a balanced and sustainable raw materials portfolio, which consists of off-take copper concentrate from mines we invest in, copper concentrate from long-term contract and recyclable materials. Regarding new mine investment, we will steadily work to advance the Mantoverde mine in Chile, which we acquired 30% stake in February 2021, and the Zafranal Project in Peru, in which we hold a 20% stake. Additionally, we are working to optimize material flows among our production sites, Naoshima, Onahama, Hosokura and Ikuno, to recycle minor elements derived from E-Scrap with a high level of efficiency. Concurrently, we will figure out constraints in the input volume of E-Scrap and optimize the processing process. These efforts will lead to future expansion

of our recycling business. Furthermore, as a response to climate change, while making the best use of the superior qualities of the Mitsubishi Process, we will reduce fossil fuel usage and improve energy efficiency. We aim to reduce CO2 emissions from smelters by 5% by the end of the FY2023 Strategy.

As a "leader in environmentally-friendly mining, smelting and refining business," it is our mission to provide a stable supply of clean nonferrous metals derived from copper concentrate we procure from environmentally-friendly copper mines while promoting recycling business with the world's largest processing capacity of E-Scrap and environmental advantage of the Mitsubishi Process. With the shift to EV, IT and a decarbonized society, the importance of copper and precious metals is increasing, and by fulfilling our supply responsibilities while taking the environment into consideration, we will contribute to the development of a sustainable society.

Social issues to be solved

• Advancing mobility

• Advancement and

diversication of

digital devices

• Automation of production

and business processes

• Longer lifespans of

people and buildings

• Effective measures

against disasters

• Efcient use of mineral

resources and alternative

substances

• Efcient use of energy

resources

• Development of renewable

and unutilized energies

Long-term business goal

	Leader in environmentally-friendly mining & smelting business
			Long-term strategies
	Stable supply and recycling of nonferrous metal materials,
	predominantly copper
		Creation of a sustainable raw material portfolio
Our strengths		consisting of clean copper concentrate and E-Scrap
(advantage)		Promotion of recycling
	Response to climate change
Long years of				Product
operational experience
in limestone mining
Mitsubishi Process featuring			Recycling
high efficiency and low			Materials	MMC Group's	Product Manufacturing
environmental impact
Advanced, large-scale			Business	Process Manufacturing
E-Scrap processing
technologies and systems
One of the largest producers		Mineral Resources		Metals Business
and sellers of gold in Japan

Products & Services

Copper cathode

Precious metals

Various metals

Sulfuric acid

Copper slag

Recycling

Mission

Contribute to build a prosperous society Provide nonferrous metal materials, predominantly copper, and high value-added functional materials and products

Contribute to build a recycling-oriented society

Provide recyclable products and advanced technology-based waste recycling

Contribute to build a decarbonized society Promote the development and use of CO2 reduction technologies and ensure due consideration of environmental load in manufacturing

FY2021

Net sales 728.2 billion yen Operating profit 18.8 billion yen Ordinary profit 32.9 billion yen

Net sales Operating profit Ordinary profit

665.0	728.2	825.9
	(billion yen)
	32.9
27.4		22.8
18.6	18.8
		13.2
March 2020	March 2021	March 2022

• CO2 emissions reduction

FY2023 Strategy
Risks		Opportunities
• Risks for copper concentrate procurement due to resource		• Potential for developing technologies for removing impurities
nationalism in resource-rich countries		from copper concentrate
• Intensifying competition following the growth of Chinese smelting and		• Enhancing recovery of minor elements that are input and use
rening manufacturers		of these in products
• Operational problems attributed to increasing input of minor elements		• Transition to a recycling-oriented and decarbonized society
in the smelting and rening process		• Worldwide expansion of the E-Scrap supply market with
• Stricter regulations on environmental concerns in smelting and		growing environmental awareness
rening operations		• Increase in demand for gold as a safe asset

Contribution Goals for a Sustainable Society

E-Scrap	FY2031 target
processing	200,000 tons
capacity
FY2020 results	Up 25%
160,000 tons

Breakdown

Net sales (outside)

38.4%

Ordinary profit (inside)

73.9%

March 2022 (forecast) values were the values released May 14, 2021

Ratio of net sales is net sales to outside customers.

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