Six Types of Capital for Enhancing Value Creation

Management capital is used as the foundation to respond to appeals from society and social issues. The Tokai Rika Group aims to achieve both social and corporate sustainability by repeating our value creation process and enriching our management capital.

Financial Capital

Operating profit for FY 2024 reached a record high, achieving the FY 2025 target set in our mid-term management plan one year ahead of schedule.
This was primarily due to a smaller-than-expected decline in existing products and steady progress in sales expansion. It reflects the results of our consistent efforts in cost planning, rationalization, sales promotion activities, and cost recovery.

Production Capital

We have acquired a new factory in Konan City, Kochi Prefecture, to commence production of the biomass composite material BAMBOO+. Additionally, shipments have begun domestically from Tokai Rika Tohoku Co., Ltd. and internationally from the new factory of Tokai Rika Minda India Pvt. Ltd. in India.

Intellectual Capital

We invest 5–6% of our sales into research and development every year.
Through integrated activities combining management strategy, development strategy, and intellectual property strategy, we will leverage intellectual property as a source of value creation and business growth to enhance corporate value.

Human Capital

In May 2024, we announced our commitment to advancing human capital management. Under TRV 2030, we will drive this initiative through three pillars: “Promotion of Health Management,” “Nurture human resources capable of leading transformation,” and “Further expand opportunities to take on challenges, grow, and participate actively.”

Social Capital

We believe multi-stakeholder engagement is essential to actively advance solutions to social issues through our business. Therefore, in addition to our annual briefing sessions with business partners, we conduct individual visits. We also increase dialogue with institutional investors and analysts, and hold annual community meetings with residents near our factories.

Natural Capital

We have set the “Carbon-neutral Strategy 2030” goals and will work toward achieving them by addressing the entire lifecycle from the perspectives of products, production, logistics, and procurement.