Medium-Term Management Plan Grow UP 2026

Font Size
figure: Medium-Term Management Plan Grow UP 2026 “Growing,” “Winning” and “Sustainable”

Vision for MGC in 2030

  • Sharpen businesses defined by “Uniqueness & Presence,” and contribute to solving social issues through business
  • For 2030, we aim to achieve net sales 1.2 trillion yen, operating profit of 120 billion yen, operating profit margin of 10% or higher, ROE of 12% or higher, and ROIC of 10% or higher
figure: Vision for MGC in 2030

Grow UP 2026 Objectives and Strategies

Grow UP 2026
— “Growing," “Winning," and “Sustainable“

Plan Duration: Three years from FY2024 to FY2026

Positioning: Successor to Grow UP 2023; period that contributes to the realization of the vision for MGC in 2030
Retackling previous plan targets and aiming for even higher goals as “an excellent company with uniqueness and presence built on chemistry.”Keywords: Uniqueness & Presence

01Objective 1 Strengthen the resiliency of our business portfolio Open

Strategy 1: Focus on “Uniqueness & Presence”

“Uniqueness & Presence” = Differentiating Businesses: Selection based on Three Dimensions

  • We have renamed our differentiating businesses as “Uniqueness & Presence” (U&P) businesses
  • These have been redefined as businesses that excel in growing, winning, and being sustainable, with the ability to grow continuously by achieving a balance between social and economic value
figure: “Uniqueness & Presence” = Differentiating Businesses Selection based on Three Dimensions

Business Portfolio Classification

  • Comprehensively evaluated each business from three perspectives: economic value, business potential, and social value
figure: Business Portfolio Classification
Strategy 2: Build new value through innovation
  • Focus particularly on ICT, mobility, and medical/food as three target areas, and promote R&D that contributes to solutions for climate change problems
  • Promote utilization of MI and IP landscape to accelerate R&D
figure: Build new value through innovation
Strategy 3: Restructure businesses requiring intensive management

02Objective 2 Promote sustainability management Open

Strategy 1: Accelerate initiatives for realizing carbon neutrality

MGC’s Roadmap to Carbon Neutrality

figure: MGC’s Roadmap to Carbon Neutrality

MGC Group Eco-friendly Products “Sharebeing”

  • “Solve social issues through business” as a materiality issue the new medium-term management plan
  • Sharebeing established as an MGC Group eco-friendly product, working to further expand products that contribute to the environment
figure: MGC Group Eco-friendly Products “Sharebeing”
Strategy 2: Enhance human capital management
  • Promote management focused on human resources as the most important capital for value creation for some time
  • Under the new medium-term management plan, continue ongoing development of key human personnel and nurture human resources to create U&P businesses
figure: Enhance Human Capital Management
Strategy 3: Promote materiality management
  • In the next medium-term management plan, continue to promote materiality management based on materiality
  • Ensure execution of sustainability management by setting KPIs based on materiality as non-financial indicators
figure: Promote Materiality Management

Grow UP 2026 Numerical Targets

  FY2023 Result FY2026 Target Difference
Net sales 
(billions of yen)
813.4 850.0 +36.6
Operating profit
(billions of yen)
47.3 85.0 +37.7
Operating profit margin 5.8% 10% or higher +4.2pp
Ordinary profit
(billions of yen)
46.0 95.0 +49.0
(billions of yen)
84.9 150.0 +65.1
ROE 6.1% 9% or higher +2.9pp
ROIC*2 3.3% 8% or higher +4.7pp
  • *1 EBITDA = Ordinary profit + Interest paid + Depreciation and amortization
  • *2 ROIC = (Operating profit - Income taxes + Equity in earnings of affiliates) / Invested capital (Definitions have been revised for Grow UP 2026)