iwaki co.,ltd. company briefing materials

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Stock code: 6237 Trade name: IWAKI CO.,LTD. Company briefing materials IWAKI CO.,LTD.

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Page 1: IWAKI CO.,LTD. Company briefing materials

Stock code: 6237

Trade name: IWAKI CO.,LTD.

Company briefing materials

IWAKI CO.,LTD.

Page 2: IWAKI CO.,LTD. Company briefing materials

Table of contents

Ⅰ. Supplementary Information ・・・・P 3

Ⅱ. Our Strengths ・・・・P11

Ⅲ. Our Strategies ・・・・P22

2

Page 3: IWAKI CO.,LTD. Company briefing materials

3

ⅠSupplementary InformationⅠ

Page 4: IWAKI CO.,LTD. Company briefing materials

Company Profile

Professional and comprehensive manufacturer of

Chemical pumps

4

Name of company IWAKI CO., LTD.

Establishment April 10,1956

President Shigeru Fujinaka

Head office 2-6-6, Kanda Suda-cho, Chiyoda-ku, Tokyo

Capital 1,044,691,100 yen

Number of

employees994

Business

description

Development, production and sales of chemical pumps,

various fluid control products etc.

Listed exchange Tokyo Stock Exchange 1st section

Page 5: IWAKI CO.,LTD. Company briefing materials

Introduction of President2

5

President Shigeru Fujinaka

【 Career 】

・1989 Joined IWAKI・2006 General Manager of Planning and

Promotion Department, Engineering Head Office

・2007 Executive Director and General Manager of Corporate Planning Office

・2008 Senior Executive Director ・2009 President

Born on December 20, 1964

Birthplace : Saitama, Japan

Page 6: IWAKI CO.,LTD. Company briefing materials

・Chemical pumps… The heart of industry

・A strong commitment to contribute to industrial progress

Our mission is to always be at the forefront of efforts to advance development in the

global markets, industries and communities where we operate while building trust

with, and contributing to the happiness of everyone we interact with.

Our Pledge

6

The Iwaki Pledge

Corporate Identity

Heart

3

Page 7: IWAKI CO.,LTD. Company briefing materials

History

7

4

1956

2019

2016

Established for sales of physical and chemical appliances

Founder of Iwaki

Yoshiaki Fujinaka

Started to manufacture and sell chemical pumps

1966

1959

Established Tokyo plant (present System office) in Saitama

1974 Established Saitama plant in Sayama, Saitama

1977 Established Miharu plant in Miharu, Fukushima

1985 Established Iwaki Europe GmbH, a selling company, in Europe

1991 Established IWAKI WALCHEM CORPORATION, a selling company, in U.S.A.

2008 Acquired WALCHEM CORPORATION and changed the trade name to Iwaki America Incorporated

Listed on the Second Section of the Tokyo Stock Exchange

2016 Dec. Acquired TechnoEcho Co., Ltd. and made it a subsidiary

2018 Established new technology center (in Iruma, Saitama)

Moved to the First Section of the Tokyo

Stock Exchange

2021 Absorbed and merged TechnoEcho Co., Ltd.

2020 Jun. Iwaki Europe GmbH acquired the shares of IWAKI NORDIC A/S and made it a subsidiary

Page 8: IWAKI CO.,LTD. Company briefing materials

0

50

100

150

200

250

300

(年)

Non-consolidated Sales

Sales Growth

8

Start of pump department

store strategy

Completion of Saitama plant

Completion of Miharu plant

First overseas base starts operations

Pump department store strategy reaches approximately the current level

Pump department store strategy resulted in growth along with Japan’s economy

Semiconductor market products drive growth Total sales become vulnerable

to ups and downs of the semiconductor market

4-month transitional fiscal period (Nov. 20 to Mar. 31)

Consolidated sales

Steady growth by reducing reliance on the semiconductor market

(Billions of yen)

Sales 22.2 billion yen

Operating profit 9.8%

Sales 28.1 billion yen

5

1970 1975 1980 1985 1990 1995 2000 2005 2010 2015 2020 2021

Page 9: IWAKI CO.,LTD. Company briefing materials

What are Chemical Pumps

Chemical Pumps= Pumps used for transferring liquid chemical etc.

Very high safety is required

(in order to prevent liquid leakage)

9

6

Unlike the pumps used for handling water, chemical pumps are mainly used for transferring liquid chemical etc. Since some are dangerous, harmful to human body, such as sulfuric acid etc.,

Page 10: IWAKI CO.,LTD. Company briefing materials

Chemical pumps used in a wide range of industrial fields

Chemical pumps that play an active role in invisible places

10

7

TechnologyPumps are used in the process of manufacturing semiconductors that are indispensable to digital devices such as smartphones, tablets, PC, digital home appliances, etc..

Tap waterAt filtration plants, pumps are used for injecting chemicals in the process of water treatment. That helps people to be able to drink tap water at home without worries.

Medical fieldPumps are installed in artificial dialysis devices, biochemical analyzers. In that way, our pumps support the medical field.

FoodsPumps are used for transferring ketchup, mayonnaise, syrup, chocolate, etc. Also used for injecting liquid fertilizer in cultivation of vegetables or fruits.

EntertainmentUsed at;Aquariums to control the quality of water to keep the environment suitable for animals.Swimming pools or spas to control the quality of water to help people to use without worries. Theaters for circulating cooling water to protect cinema projectors.

Wind farmAt wind farms, pumps are used forcirculating transformer cooling oil.

Page 11: IWAKI CO.,LTD. Company briefing materials

11

O u r S t r e n g t h sⅡ

Page 12: IWAKI CO.,LTD. Company briefing materials

Abundant product lineup to meet customers’ requirements1

2

3Ability to create solutions using fluid control functions centered on pumps

Strong customer support backed by a global production, sales and support infrastructure

The Qualities and Strengths That Define Iwaki

12

Page 13: IWAKI CO.,LTD. Company briefing materials

Palm size1 liter / min

World's largest class5,000 liter / min

Direct drive pumps NRD series

7cm

56cm

9cm

139cm

Magnetic drive pumps MDW series

Magnetic drive pumps, our core products,we offer a variety of product series from ultra-small to ultra-large to

fit the customers' various applications

13

2 Strengths Abundant product lineup 1

Page 14: IWAKI CO.,LTD. Company briefing materials

14

CT scanner Beauty laserChemical factory

Biochemical analyzer

Large cinema projector Various plants

Small pump = Installed in the customers’ devices

Large pump = Used at a plant, etc.

3 Strengths Abundant product lineup 1

Page 15: IWAKI CO.,LTD. Company briefing materials

Strengths Abundant product lineup

15

14

Pneumatic drive pumps

Magnetic drive pumps

Metering pumps

Rotary displacement

pumps

Air pumps

More than 60 series, tens of thousands models of pumps.

Provide pumps as a one-stop service in response to customers’ desires.

C DA BCompetitor

Pump size/materials

Pumpcategories

Page 16: IWAKI CO.,LTD. Company briefing materials

16

Semiconductor/ liquid crystal market

Medical equipment market

Surface treatment equipment market

Chemicals market

Water treatment market

New energy market

Others (Food, paper, others)

Multi-Market SalesMain pump

applications

Semiconductor manufacturing equipment, etc.

Dialysis equipment, clinical analyzers, etc.

Printed circuit board manufacturing equipment,

electronic component manufacturing, etc.

Chemical manufacturing, etc.

Waterworks, wastewater treatment plants,

cooling towers, etc.

Renewable energy, secondary battery

manufacturing, etc.

Food manufacturing, various cooling

applications, etc.

※Filled circle: main pumps in each market

Pneumatic drive pumps

Rotary displacement

pumpsAir pumps

Meteringpumps

Magnetic drive pumps

System products

Multi-Market Sales is one of the advantages of our company under the current situation of COVID-19.

Strengths Abundant product lineup(Major Markets) 1

Page 17: IWAKI CO.,LTD. Company briefing materials

Rotary displacement pumps

17

6

Profitability

High

Low

Sales (Results for the year ended in March 2021)

Magnetic drive pumps

Metering pumps

Air pumps

Pneumatic drive pumps

Sales scale of core products

9.04 billion yen

5.21 billion yen

1.58 billion yen

(Results for the year ended in March 2021)

Strengths Abundant product lineup1(Profitability for each product)

2.13 billion yen

2.68 billion yen

Page 18: IWAKI CO.,LTD. Company briefing materials

18

7

Annual capacity of around 800,000 units with the ability to produce many models in small quantities

Japan: Two plants with efficient small-lot production of many models and highly reliable

quality assurance systems

Overseas: Five locations manufacture pumps using main parts exported from our plants in Japan

(knock-down manufacturing), resulting in efficiency for deliveries and inventories

High-volume production of small

pumps

Miharu Plant(Miharu-cho, Tamura-gun,

Fukushima)

Mainly large pumps

Saitama Plant(Sayama-shi, Saitama)

USAGermany

Australia

China

Taiwan

Strengths Manufacturing Network2

Page 19: IWAKI CO.,LTD. Company briefing materials

19

8

Europe

China

Asia

Australia

North America

South America

Japan

Branches: 6

Sales offices: 7

In Japan, IWAKI serves customers from its head office,

branches and sales offices in 13 cities nationwide.

IWAKI has a worldwide sales and service network with

21 group companies in 15 countries.

Strengths Sales and Support Infrastructure2

Japan

59.2%

USA

12.6%

Europe

10.5%

Asia

7.8%

China

6.3%

Others

3.6%

Composition of sales by

country/region

(Results for the year ended in March 2021)

Overseas sales ratio40.8%

Page 20: IWAKI CO.,LTD. Company briefing materials

We provide solutions that meets customers’ needs

by providing pumps and leveraging our know-how of fluid control

Client

Our company

Needs

To solve the problems

Solution

20

Pumps

Know-how of

fluid control

Clients’ problems etc.

Strengths Providing solutions39

Page 21: IWAKI CO.,LTD. Company briefing materials

Aquatic organisms such as zebrafish and Xenopus , which are vertebrates and whose DNA

structure is very similar to mammals, have recently attracted attention.

21

Aquatic business

Experiments and research using mammals are difficult in terms of animal protection

It costs a lot to keep mice or rats for researches

The research does not progress as planned due to incidental

works such as water quality management or inspection /

adjustment of various devices.

No experience in treating aquatic lives

Needs

Solution

Client

Pumps × Know-how of fish breeding

Developed LAbREED

- water tank system for small fish

10 Strengths Providing solutions3

Page 22: IWAKI CO.,LTD. Company briefing materials

22

Our StrategiesⅣ

Page 23: IWAKI CO.,LTD. Company briefing materials

Overview of the 10-Year Vision

23

For more information on "10-Year Vision", please refer to the latest “Financial Results Briefing Materials".

http://ace-consul.co.jp/irshowbox/iwakipumps/

click

https://www.iwakipumps.jp/en/

Please go to the below URL to see the “Financial Results Briefing Materials”.

“News Release”

or

1

Page 24: IWAKI CO.,LTD. Company briefing materials

Return to Shareholders

24

2

Basic policy・Dividend payout ratio: more than 30%

・Consistent distribution of dividends

27.53 28.90 30.50 29.0025.50

30.0 30.0 31.8

30.6 30.4

0.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

0

10

20

30

40

FY3/18 FY3/19 FY3/20 FY3/21 FY3/22(forecast)

(%)(Yen) Dividend per share Divident payout ratio(Consolidated)

Note: Dividends for FY3/18 are adjusted (with fractions after the hundredths place dropped) to reflect the 3-for-1 common stock split on July 1, 2018.

% %% % %

Page 25: IWAKI CO.,LTD. Company briefing materials

We will always be at the forefront of efforts to advance development in the global

markets, industries and communities where we operate while building trust with,

and contributing to the happiness of everyone we interact with.