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Message from President

President & Representative Director   Masato Izumihara

President & Representative Director

Thank you for visiting the website of UBE Corporation

Since our company was founded as “Anonymous Union Okinoyama Coal Mine Association” in 1897, we have expanded our business into machinery, cement and chemicals, and in 1942, each operating company merged and became “Ube Industries, Ltd.” Now 80 years of history stands behind this name.

However, due to the accelerating pace of change in the business environment, sustainable growth will be difficult unless each business autonomously and flexibly improves its corporate value according to its characteristics. Under these circumstances, the machinery business and the cement business were spun off, and from April 2022, the chemicals business is the core business of our company. To further promote globalization and shift from an energy-consumption heavy business structure to a specialty business that contributes to solving global environmental issues, the company name was changed to “UBE Corporation” (with each letter pronounced: U-B-E).

Under the banner of the new company name, the UBE Group will constantly take on the challenge of change, provide solutions to various social issues through manufacturing, and contribute to the formation of a sustainable society.

We look forward to your continued support in the future.

For more details of the new medium-term management plan called "Vision UBE 2025 ~Prime Phase~" ,please click here (PDF:1.24MB).

Fiscal 2021 Earnings Results

Overview

During the current term, net sales of the Company Group increased, although sales were affected by the application of the Accounting Standard for Revenue Recognition and the like, and sales volumes remained robust in response to recovery from a decline in demand that was the result of the COVID-19 pandemic, mainly in the Chemical Segment; sales prices for nylon, caprolactam, and synthetic rubber and the like rose significantly which lead to increased sales.
Operating profit and ordinary profit increased mainly due to the positive impact of increases in sales volume, particularly in the Chemicals Segment, as well as rising sales prices for nylon, caprolactam and synthetic rubber, despite the negative impact of rising coal prices in the Construction Materials Segment. Profit attributable to owners of parent increased despite a decrease in tax expenses following the reversal of deferred tax liabilities in the previous term and exclusion of extraordinary income resulted from the split of Electrolyte Business, because an increase in ordinary profit had a significant effect on the outcome.
As a result, the Company Group reports its consolidated results during the current term as follows:

(Billions of yen)
Item Net sales Operating profit Ordinary profit Profit attributable to
owners of parent
April 2021 – March 2022(1) 655.3
738.0
44.0 41.5 24.5
April 2020 – March 2021(2) 613.9 25.9 23.3 22.9
Difference(1)-(2) 41.4
124.1
18.1 18.3 1.6
Percentage change -
20.2%
70.0% 78.4% 6.8%

Overview by Segment

Net sales

(Billions of yen)
Segment April 2021 –
March 2022(1)
April 2020 –
March 2021(2)
Difference(1)-(2) Percentage
change
Chemicals 341.5
351.7
259.4 82.1
92.3
-
35.6%
Construction
Materials
221.5
296.2
282.9 (61.4)
13.3
-
4.7%
Machinery 97.0
94.8
78.7 18.3
16.1
-
20.4%
Others 3.4
3.4
3.1 0.3
0.3
-
9.6%
Adjustment (8.1)
(8.1)
(10.2) 2.1
2.1
-
-
Total 655.3
738.0
613.9 41.4
124.1
-
20.2%

Operating profit

(Billions of yen)
Segment April 2021 –
March 2022(1)
April 2020 –
March 2021(2)
Difference(1)-(2) Percentage
change
Chemicals 35.5 8.2 27.3 333.4%
Construction
Materials
3.4 14.7 (11.3) (76.9)%
Machinery 5.1 2.8 2.3 81.2%
Others 0.6 0.4 0.1 28.2%
Adjustment (0.5) (0.3) (0.2) -
Total 44.0 25.9 18.1 70.0%

※ The figures shown at the bottom of each table are reference values for expected results if the Accounting Standard for Revenue Recognition is not adopted.
※ Adjustment includes corporate expenses (general expenses that are not distributed to each reportable segment) and internal transactions between the segments.

Chemicals – Increases in both net sales and operating profit

  • Engineering Plastics & Fine Chemicals
    The Caprolactam Business recorded a net sales increase due to strong demand for textiles, and higher selling price due to higher market prices for raw materials such as benzene, as well as rising price for ammonium sulfate, which is produced at the same time.
    The Nylon Business recorded an increase in net sales, because of a sales volume increase supported mainly by a recovery in demand for products used in the automobile industry, as well as an increase in sales price thanks to market price rises of caprolactam.
    The Industrial Chemicals Business recorded a net sales increase due to the lack of a biennial inspection for the ammonia product factory in this term contributing to increases in both production and shipment volume, as well as increases in sales prices.
    The Fine Chemicals Business recorded an increase in net sales due to the stable sales volume of its products, particularly those used for automobiles, along with sales price rising.
    Both net sales and operating profit increased in the Engineering Plastics & Fine Chemicals Businesses as a whole, because sales volume increased under the circumstances where sales volume continued to be strong supported by a recovery in demand, and sales prices also rose due to the rising market prices of raw materials. In addition, there was no biennial inspection of the ammonia product factory.
  • The Synthetic Rubber Business recorded increases in both net sales and operating profit because shipment of the products mainly used for tires remained strong, as well as the rising product price due to the market price rises of butadiene.
  • Specialty Products
    The Battery Materials Business recorded a sales decrease despite a sales increase of separators due to demand recovery for automotive mounting products. This was also because exclusion of the Electrolyte Business from net sales and operating profit starting from the second half of the previous fiscal year greatly affected the overall business performance.
    The Polyimide Business recorded an increase in net sales because sales volume of the COF films mainly used on displays increased and demand for varnish used for organic EL panels remained stable.
    Operating profit increased in the Specialty Products Business as a whole: while net sales remained at the same level as the previous fiscal year due to the exclusion of the Electrolyte Business from the consolidated results, overall demand for Separation Membrane, Polyimide and Ceramics remained firm.
  • The Pharmaceutical Business as a whole recorded increases in both net sales and operating profit, because the royalty revenues continued to increase, and shipment volumes of drugs both developed by UBE and manufactured under contract remained firm.
  • Both net sales and operating profit increased in the Chemicals Segment as a whole due to both sales volume and product pricing increasing, due to the recovery from the impact of the COVID-19 pandemic. In addition, there was no biennial inspection of the ammonia product factory.

Construction Materials – Decreases in both net sales and operating profit

  • The Cement and Ready-Mixed Concrete Business recorded a decrease in net sales mainly due to a decrease in shipment volume which resulted from the slowdown of construction projects for earthquake disaster reconstruction, reactionary falls that resulted from completion of construction works to extend the railways for bullet trains, negative impacts of weather conditions such as heavy rains, and the substantial negative impact that adoption of the Accounting Standard for Revenue Recognition had mainly on the Corporate Group’s sales subsidiaries.
  • The Calcia and Magnesia Business recorded an increase in net sales due to increases in sales volume of the quicklime used in the steel industry and the magnesia used in the steel and electric power industries, thanks to recovery of the demand.
  • The Energy Business recorded a net sales increase despite a decrease in electric power sales due to the biennial inspection of the IPP power plant. This was the result of rising coal sales prices due to soaring valuations in the coal market.
  • The Construction Materials Segment as a whole recorded decreases in both net sales and operating profit mainly due to adoption of the Accounting Standard for Revenue Recognition, the biennial inspection of the IPP power plant, and a cost increase which resulted from rising coal prices.

Machinery – Increases in both net sales and operating profit

  • The Molding Machine Business recorded an increase in net sales because sales of the products used in the automobile industry remained strong in the China and North America markets, although recovery status of demand for the products differs depending on the market.
  • The Industrial Machines Business recorded an increase in net sales thanks to the strong sales of products such as conveyors used in the electric power industry.
  • The Steel Products Business recorded an increase in net sales due to rising product prices mainly resulted from price rising of raw materials, as well as continued firm shipment volume of the products.
  • The Machinery Segment as a whole recorded increases in both net sales and operating profit because strong sales of molding machines and industrial machines, and rising steel product pricing greatly affected the overall business.

Others – Increases in both net sales and operating profit