Functional Materials Business

In FY2022, the Functional Materials Business had net sales of 219.9 billion yen
(up 35.2 billion yen from FY2021) and operating profit of 15.5 billion yen
(up 0.2 billion yen from FY2021).
In the domestic business, sales of specialty paper increased due to price revisions,
despite a decrease in sales volume.
Sales of thermal paper increased due to a recovery trend in demand,
which had declined due to the impact of the COVID-19 pandemic,
as well as price revisions. In the overseas business, sales increased due to
a recovery in demand for thermal paper,
spread of price increases, and the operation of a new facility in Brazil.
In FY2023, net sales of 252.0 billion yen (up 32.1 billion yen from FY2022)
and operating profit of 16.0 billion yen (up 0.5 billion yen from FY2022) are planned.

Specialty Papers Business

The Specialty Papers Business has a lineup of products with advanced special functions such as electrical material paper including insulation materials, dry pulp non-woven fabric excellent in bulkiness and liquid retention, and glass paper excellent in size stability and heat resistance.

Imaging Media Business

The Imaging Media Business at the Oji Group develops thermal recoding media that meet customer needs for household, industrial, logistic, medical and other various uses, leveraging diverse coating technologies, boasting a top class global market share.

Adhesive Products Business

Using proprietary adhesive force control technology, the Adhesive Products Business handles from familiar products like food/beverage labels, courier labels, adhesive tape for packaging, and wound dressings to less familiar, special applications like aluminum tape for construction material and forgery prevention tape.

Film Business

The Film Business handles films for capacitors, essential materials in the power supply units of eco-friendly vehicles, developed based on its thin film technology that produces the world’s thinnest films, and optical double- sided adhesive films and hard-coated films that are adopted for smartphones and other precision devices.

Actively Develop High-function and Eco-friendly Products

In Japan, we have worked to develop products with high functionality and high added value with considerations for environmental
issues. In the field of film products, we developed an eco-mark certified “heat shielding window film” that combines high heat shielding
properties and light transmittance. In the field of paper, we developed “Semi-Through ,” translucent thermal paper through which
the backside of the label or the contents of the package is visible, and in the field of non-woven fabric, “kinarito,” a biodegradable
non-woven fabric material made mainly from plant-derived cellulose and polylactic acid, and a water soluble “Texcell” series
made of 100% natural materials. We also worked on the development of “Cellulose Mat” and “Fine Press W ” for press molding
using wood pulp as a substitute for plastic, and “Cellulose Resin Pellets” for injection molding.
In recent years, we have also developed new products to respond to the accelerating rise of expectations to address environmental
issues in the agricultural materials field. Our product lineup includes “CALFRESH ,” a fruit and vegetable packaging
film that reduces industrial waste and food loss; “OJI Sustainable Mulching Sheet ,” a paper mulching sheet that biodegrades after
agricultural use as a mulching sheet; and “HyBioth ,” a biodegradable, water soluble non-woven fabric made primarily from natural
pulp. Thus, we are developing new products to meet immediate user needs.
In response to the rapid popularization of electric vehicles due to a globalized trend toward decarbonized society, we will add
two more units of production equipment for the capacitor-use OPP films in motor drive controllers at Oji F-Tex Shiga Mill, one of
which has been operating since July 2023 and the other is scheduled
to start operation in FY2024. As a result, the production capacity
is expected to double from the February 2022 level.

SILBIO series

In the midst of the growing needs for paper products as replacement for plastic packaging, “SILBIO series” has a lineup well-suited for light packaging applications in various fields, including a product that not only provides barrier property to paper packing materials but also has barrier and light-shielding properties as high as aluminum deposited film, a product that has transparency and barrier properties, a product that requires no sealant such as PE. The lineup consists of the following. “SILBIO BARRIER” which has oxygen barrier property as high as EVOH, and moisture barrier property as high as LDPE, preventing contents from diffusing moisture or scent. “SILBIO ALBA,” aluminum deposited paper material which has oxygen barrier, moisture barrier, light-shielding and heat sealing properties, and is most suitable for applications requiring high barrier and concealability. “SILBIO CLEAR” which has a transparent feature in addition to barrier and heat sealing properties, and is most suitable for packaging for items whose contents you want to show such as food and daily products. “SILBIO EZ SEAL” which has no barrier property, but is specialized in its easy heat sealing feature without using sealant, and is most suitable for secondary and delivery packaging for food, and industrial material packaging. The SILBIO series products can bear a paper identification mark, and is adopted by customers who appreciate its features as packaging materials for food and soap.

Overseas, we have completed enhancing and expanding facilities to practically double production capacity, and started full operation in Brazil in order to meet strong demand for thermal paper in South America. In Europe, construction work has started to increase the capacities of thermal paper production facilities, which are scheduled to start operation in January 2024. In addition, in September 2022, Adampak Group, a high performance label printing and converting company with its business bases in Southeast Asia and China, became a member of the Oji Group. This addition of the high performance label business for electric products and healthcare products to the thermal paper and adhesive paper business already operating in Thailand and the high performance label printing/converting and cutting/converting business in Malaysia has enabled the integrated production from base paper manufacturing to converting. In the Asian market, which is expected to continue to grow further, we will propose a wide range of timely and optimal label products to increase customer value, by picking up a broad range of customer needs in the high performance label market and feeding them back to the upstream business to realize synergetic effects early. In the emerging markets in Southeast Asia, South America, the Middle East, and Africa, to meet the demand growing with economic development, we will aim to expand the areas in which we operate while strengthening our competitiveness at our existing bases, based on the Group’s core technologies which are strengths we have cultivated to date in “papermaking,” “converting (functional and adhesive coatings),” and “film forming.” While continuing to advance our development of environmentally- friendly materials and products, we will keep on anticipating market needs and proactively working to expand into new business areas so as to promptly provide products and services that exceed expectations.