May 30, 2023

The formulation of "2029 Sumitomo Riko Group Vision" and "2025 Sumitomo Riko Group Mid-term Management Plan"

Sumitomo Riko Company Limited (Headquarters: Nakamura-ku,Nagoya-shi; President & CEO: Kazushi Shimizu) wishes to announce that it has finalized its "2029 Sumitomo Riko Group Vision" (2029V), the management vision for the final fiscal year in fiscal 2029, and "2025 Sumitomo Riko Group Mid-term Management Plan" (2025P), the mid-term management plan for the final fiscal year in fiscal 2025.

The Sumitomo Riko Group is directly facing global trends for the realization of a sustainable society, and "CASE", which is revolutionizing the auto industry. And as environmental regulations are being strengthened around the world and more requirements are being placed on the market to improve safety and comfort, technological innovation for electric vehicles and autonomous driving is accelerating and there are high expectations for initiatives to preserve the global environment, beginning with carbon neutrality. As such, the Sumitomo Riko Group sees this major business environmental change as a new business opportunity.

Employees who will likely have a core role in our business in our 100th anniversary year in 2029 came together to discuss matters such as "What the future society strives to be" and "the reconfirmation of Core Competencies" and established the purpose "To realize the comfort of the society by maximizing the potential of materials through Monozukuri".

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■ 2029 Sumitomo Riko Group Vision (2029V)

The Sumitomo

Banji-nissei

Shinyo-kakujitsuFusu-furi

Spirit

What the

Global Excellent Manufacturing Company

Group

Company

strives to be

Purpose

To realize the comfort of the society by maximizing the potential of

materials through Monozukuri

Aims for 2029

A leading solution provider taking on social challenges by aggregating

whole resources of Sumitomo Riko and its partners

Developing

people

and

Providing training opportunities to promote

peers

who

pioneer

the

individual growth and fostering a corporate

future

culture full of job satisfaction.

Promote Co-Creation through Internal and

External Partnerships.

Three

Building a flexible

Business Activities that Consider Climate

and strong organization

Change and Natural Capital.

directions and

Transformation into a Management

materiality for

Foundation that can Flexibly Respond to

achieving aims

Changes in the Environment.

Creating value for

Responding to next generation mobility and

a sustainable society

Providing Environmentally Friendly

Products.

Evolution and integration of technologies to

expand provision of safety and comfort.

Corporate

Consolidated net sales

Scale of 700 billion yen

Value

Return on

Return

on

Equity

(Financial

Invested

10％ or

(ROE)

(return

on

10％ or more

Goals)

Capital

more

equity held by parent

(ROIC*1)

company)

Public Value

Increase awareness of our management

(Non-Financial

Engagement

philosophy

and

vision and create a

Goals)

self-reliant relationship for employees and

* Typical

the company to mutually determine.

Example

Diversity & Inclusion

Ensuring a safe workplace for a diverse

workforce and creating new value

Ensuring compliance with laws and

Compliance

regulations and corporate philosophy within

the Group and globally, including the supply

chain

Human

resource

Develop self-reliant and highly ambitious

development

personnel to open a path to the future.

CO2 emission reduction

Global

environmental

(compared to fiscal 2018)

conservation

Scope1+2

-30％

Scope3

-15％

*1 Return on Invested Capital (ROIC) = Business profit ÷Invested Assets (Total Assets - Interest Free Liabilities)

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■ 2025 Sumitomo Riko Group Mid-term Management Plan (2025P)

Theme

Further enhancing profitability and Strengthening the management

foundation for sustainable growth.

Corporate

Consolidated net sales

620 billion yen

Value

Business profits

28 billion yen

(Financial

Return on

Return

on Equity

Goals)

Invested

8％ or

(ROE)

(return on

8％ or more

Capital

more

equity held by parent

(ROIC)

company)

Dividend payout ratio

30％ or more

Investment amount

Research and Development 55 billion yen

(accumulated over

Facility investment 90 billion

three years)

Public Value

Provide training in corporate philosophy to

(Non-Financial

Engagement

global executives and promote activities to

Goals)

ensure all employees are aware of our

*Typical

corporate philosophy and vision

Example

Expansion of training programs

(accumulated over three years)

Human resource

・Executive training 100 participants

development

・DX core personnel*2training 200

participants

・DX data analyst*3training 700 participants

CO2 emission reduction

(compared to fiscal 2018) Scope1+2

Global environment

-20％

conservation

Waste reduction

(compared to fiscal 2022 primary unit)

-3％

*2 DX core personnel: Personnel engaged in leading the planning of the utilization of IoT and AI to the actual implementation in their department

*3 DX data analysts: Personnel who use IoT, AI and other specialist IT tools for work purposes in their department

The Sumitomo Riko Group aims to be a "Global Excellent Manufacturing Company" that is needed around the world by our 100th anniversary in 2029.

Contact Information

Sumitomo Riko Company Limited

Public Relations and Investor Relations Department JP Tower Nagoya 1-1-1,Meieki, Nakamura-ku, Nagoya-shi,Aichi 450-6316,Japan tel +81-52-571-0259 e-mailproduct.info@jp.sumitomoriko.comhttps://www.sumitomoriko.co.jp/english/

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Sumitomo Riko Company Limited published this content on 30 May 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 May 2023 02:02:09 UTC.