“On November 11, Iwatani announced its 3 year mid-term business plan called “Plan 15″ to run until FY2015. Originally the company intended to make an official announcement last spring regarding a plan for this. However, there was the moving along of the growth strategy of the new cabinet and the need arose to stay focused on the effect of this. In addition, the ordinary profit of the term ended in March of this year did not reach the goal which had been set. In contrast to the goal of ¥18 billion the actual figure reached was ¥17.4 billion. All of this caused them to delay the drawing up the plan.

While the ordinary profit of last year did not reach the goal set for this, last year was the final year for the previous mid-term business plan called “Plan 12.” This plan found itself in a very difficult business environment due to the effects of the Great Eastern Japan Earthquake and the financial crisis in Europe. In spite of this, the ordinary profit in FY2011 amounted to ¥19.5 billion, with an ROA (return on assets) of 5.1%. The goal in terms of earnings was reached a year ahead of schedule. FY2013, however, showed a decrease in earnings, while interest bearing debt reached ¥151.3 billion, although targeted at ¥150 billion or less. The level of reliance on interest bearing debt, targeted at 40% or less, came to 39.2%. The company did say that the targeted figures had been more or less reached.

The new “Plan 15″ has the multiple themes of “innovation” and “growth,” with “a cornerstone for heading toward a great leap forward” as a subtheme. The plan contains 4 midterm business visions as follows:

1. A steady expansion of the earnings structure

2. Growth in the Southeast Asian market
3. Expansion of technological capability
4. Expansion of the group management
As concrete measure for the first vision, in the LP gas segment the customer base will be expanded through an expansion of business on a nationwide scale. In the industrial gas and machinery segment expansion will be based on an expansion of the supply capacity of the liquid hydrogen and liquid helium business where the company has leading position in the market. Regarding sales of liquid hydrogen, sales of last year were 35 million m3 and those for this year are expected to reach 46 million m3. The “Plan 15″ calls for 60 million m3 by FY2015. Sales of helium for this year are anticipated to total 8 million m3. Including the amount obtained from Qatar, 13 million m3 is anticipated for next fiscal year.

For vision 2, in the markets of the emerging nations of Southeast Asia, by utilizing the networks of its group companies, the company will be creating new business involving industrial gas, and machinery facilities as well as raw materials such as resin and metals, along with processed products. With all of this the company will expand its business base. The ratio accounted for overseas business involving industrial gas and materials is quite high at about 20% respectively right now. For industrial gas, a plant is scheduled to be constructed in Indonesia while the plan calls for expansion in Malaysia too. For Vision 3, centering around their newly constructed Central Research Laboratory, the company will be involved in further expansion of its technological base to support the spreading in use of hydrogen stations and fuel cell vehicles, and strengthening of its technological capability by developing new gas applications and coping with technical problems on the part of customers. Especially regarding businesses of hydrogen stations and fuel cell vehicles, plans call for 20 hydrogen stations to be set up by 2015. Assuming the demand for hydrogen for use by fuel cell cars to amount to 2.4 billion m3 as of 2025, the company is targeting annual sales of 0.6 billion m3 for hydrogen for industrial use. Of this just over 80% is anticipated to be accounted for by use with fuel cell vehicles.”