Industrial Products Business

8.1% (% of consolidated net sales, sales to outside parties)

The Industrial Products Business includes the Chemical Products Business and the Detergents for Institutional Use Business. In the Chemical Products Business, Lion realigned and integrated its three Group companies in the chemical products field, into a single company newly established in July 2015. As a result of the netting out of intercompany transactions, sales decreased, but sales in the detergents for institutional use businesses expanded.

Net Sales

¥30.8 billion *sales to outside parties

Operating Income

¥1.6 billion

Chemical Products Business

A Review of 2015 and Strategy in 2016

The previously mentioned new company invested corporate resources in four products fields: Automotive, Electrical and Electronics, Energy, Environmental & Infrastructure, and Lifestyle Related Industry. During the first year of operation, priority was given to setting these businesses on track. Sales expanded robustly in the mainstay electro-conductive carbon business, but due to more intense competition in the electrical and electronics businesses, overall sales in the businesses of the new company decreased from the previous year. On the other hand, as a result of declines in material costs and cost-cutting, operating income of the new company expanded. In 2016, this company will proceed with the development of new products that draw on the synergies among the three predecessor companies, and will focus on expanding sales in the Automotive and Electrical and Electronics businesses, while also stepping up marketing activities throughout Asia.

Detergents for Institutional Use Business

A Review of 2015 and Strategy in 2016

In 2015, expansion in hand soaps and medicated hand sanitizers, following Lion’s proposals for comprehensive hygiene management services in response to the rise in hygiene consciousness, and growth in cooking paper (REED) sales for institutional use resulted in a second consecutive year of double-digit growth in this business. In 2016, Lion will work to attain further growth by providing solutions for securing “safe and sanitary environments.” Especially in market segments, such as hospitals and elderly care facilities, where further growth is anticipated, Lion will proceed to cultivate new customers and substantially raise its market share in the areas of detergents for institutional dishwashing machines, cleaners used in food product manufacturing plants, preparations for use in cleaning establishments, and other professional use markets.