DIC 2024 New Year’s Message

The following is a summary of DIC President and CEO Takashi Ikeda’s 2024 New Year’s message to DIC Group employees:

On January 1, 2024, a major earthquake struck the Noto Peninsula, the area in northern Ishikawa Prefecture that extends about 100 kilometers into the Sea of Japan. On behalf of the DIC Group, I would like to express my deepest condolences for those who have lost their lives, while extending my deepest sympathies to all those affected by this ongoing disaster. Around the world, ongoing conflicts continue to claim far too many lives, burdening far too many with undue sorrow and suffering. I pray for the earliest restoration of peace and prosperity.

A new management team has taken the helm at DIC as of January 1, 2024. While continuing the basic policy of our long-term management plan—DIC Vision 2030—the new team will focus on surmounting the challenges DIC faces by carefully examining the current situation, and by formulating concrete targets and the specific methodologies to secure their achievement.

Fiscal year 2023 brought unprecedented difficulties. While the impact of external factors was considerable, it is important that we reflect on our own shortcomings, including our overly optimistic operating results forecasts and delays in our efforts to address issues. As we embark on our management plan for fiscal year 2024, which will be a crucial period for us, I ask all of you to keep three points in mind.

1. Step up situational analysis and prepare response strategies that include backup plans
With prospects for economic recovery uncertain and supply chain trends in a constant state of flux, it is critical to monitor all situations from multiple perspectives. Keep a sharp eye out to ensure a prompt grasp of any signs of change, while also devising remedial actions, including backup plans focused on independent efforts such as streamlining procedures and paring expenses. To prevent any interruption of production or supply capabilities, develop a multitrack strategic planning framework comprising options that respond to multiple scenarios.

2. Prioritize efficiency and performance
We have implemented a variety of initiatives in the two years since the launch of DIC Vision 2030. Some of these have met with success, while others have been beset by problems. The time has come to shift from exploring possibilities to delivering results. Concentrate on initiatives that are cost effective and that will yield swift and reliable results, while striving to make optimal use of resources. In the pigments business in Europe and the polymers business in Asia, as well as in the chemitronics business—which centers on materials for semiconductor fabrication—work to further integrate and maximize synergies with recently acquired companies.

3. Remain committed to the DIC Group’s long-term vision and maintain a uniquely DIC perspective
Despite placing a priority on short-term initiatives, our long-term targets remain unchanged. As regards digital transformation, sustainability and the strengthening of human capital, promote key measures in stages based on a clear roadmap. Work with determination to ensure that such measures help reinforce the DIC Group’s particular strengths, while also verifying their effectiveness.

The basic policy of DIC Vision 2030 remains unchanged. However, looking ahead we must reflect earnestly on the past two years and review our strategies, taking account of changes in our operating environment and evolving market trends, and will course-correct strategies and plans as required. We look forward to the efforts and support of everyone here as we chart a new path towards a successful future.

Finally, I would like to wish DIC Group employees and your families a Happy New Year. May 2024 be a year of happiness, health and prosperity for us all.

Note: This is a summary of the New Year’s message conveyed to DIC Group employees today.

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