Nissha Report 2020

Nissha Co., Ltd.Global Headquarters: 3 Mibu Hanai-cho, Nakagyo-ku, Kyoto 604-8551, Japan

T +81 75 811 8111 (Main switchboard)

www.nissha.com/english

Engl ish

Consumer Electronics

Sustainable Packaging Materials

Medical Devices

Mobility

Constant Transformation,Evolution and Expansion

P005

P007

P011

P013

Nissha Overview

Nissha Businesses

P023

P025

Medium-Term Business Plan

Message from the CSO

P059Message from the CHRO

P017Message from the CEO

P004Nissha Philosophy

P031Message from the CFO

P015Growth History

P005

Financial Highlights

Non-Financial Highlights

P034Corporate Governance

P052Sustainability

Nissha’s Core Technologies

NEW

NEW

NEW

NEWNEW

NEW

NEW

NEW

NEW

NEWNEW

NEW

Past Current Future

Nissha Today

Founding

1929

High-qualityphotographic printing

1st Phase ofDiversification

Globalization

Current2nd Phase ofDiversification

Maintaining Balance in Target Markets and ProductsTarget Markets

Products

Products

The Medium-TermVision“ Completion

of BalancedManagement in

Business Portfolio”

SustainableGrowth through

Evolution andExpansion

of Target Marketsand Products

Devices

We realize the enrichment of people’s lives by creating technology anddeveloping it into economic and social value through the diverse capabilities,passion, and leadership of the global Nissha Group.

Since our founding, Nissha has incorporated a variety of elements into our own printing technologies for the ongoing expansion of our core technologies. We have grown our business domains through product and target market diversification, as well as through our entry into global markets.In seeking the sustainable growth and development of both our company and society, we pursue business by identifying target markets in terms of potential for long-term growth and sustainability, seizing on needs that answer social issues directly. We conceptualize unique product lines combining technological elements that represent aspects of our core technologies, transforming dynamically through our own capabilities to achieve these results. This is the evolution and growth strategy of Nissha.

Nissha Mission

Communication Design Sustainable Packaging Materials

Medical DevicesHome Appliance

IT

Mobility

Target Markets

Communication Design

Sustainable Packaging Materials

Medical

Home Appliance

IT Mobility

NEW

NEW

NEW

NEW

NEW

NEW

NEW

Employees with Diverse Talents and Passions

Time

Corporate value

Infrastructure Supporting Sustainable Corporate Value Improvement

Sustainable Growth/Development for Both Company and Society

Resolution of Social Issues Through Business

Sustainable Development

of Society

Sustainable Growth

of Nissha

Sustainable Corporate Value Growth Initiatives

Nissha Report 2020 Overview

001 ｜ Nissha Report 2020

Constant Transformation,Evolution and Expansion

P005

P007

P011

P013

Nissha Overview

Nissha Businesses

P023

P025

Medium-Term Business Plan

Message from the CSO

P059Message from the CHRO

P017Message from the CEO

P004Nissha Philosophy

P031Message from the CFO

P015Growth History

P005

Financial Highlights

Non-Financial Highlights

P034Corporate Governance

P052Sustainability

Nissha’s Core Technologies

NEW

NEW

NEW

NEWNEW

NEW

NEW

NEW

NEW

NEWNEW

NEW

Past Current Future

Nissha Today

Founding

1929

High-qualityphotographic printing

1st Phase ofDiversification

Globalization

Current2nd Phase ofDiversification

Maintaining Balance in Target Markets and ProductsTarget Markets

Products

Products

The Medium-TermVision“ Completion

of BalancedManagement in

Business Portfolio”

SustainableGrowth through

Evolution andExpansion

of Target Marketsand Products

Devices

We realize the enrichment of people’s lives by creating technology anddeveloping it into economic and social value through the diverse capabilities,passion, and leadership of the global Nissha Group.

Since our founding, Nissha has incorporated a variety of elements into our own printing technologies for the ongoing expansion of our core technologies. We have grown our business domains through product and target market diversification, as well as through our entry into global markets.In seeking the sustainable growth and development of both our company and society, we pursue business by identifying target markets in terms of potential for long-term growth and sustainability, seizing on needs that answer social issues directly. We conceptualize unique product lines combining technological elements that represent aspects of our core technologies, transforming dynamically through our own capabilities to achieve these results. This is the evolution and growth strategy of Nissha.

Nissha Mission

Communication Design Sustainable Packaging Materials

Medical DevicesHome Appliance

IT

Mobility

Target Markets

Communication Design

Sustainable Packaging Materials

Medical

Home Appliance

IT Mobility

NEW

NEW

NEW

NEW

NEW

NEW

NEW

Employees with Diverse Talents and Passions

Time

Corporate value

Infrastructure Supporting Sustainable Corporate Value Improvement

Sustainable Growth/Development for Both Company and Society

Resolution of Social Issues Through Business

for Both Company and SocietySustainable

Development of Society

for Both Company and Societyfor Both Company and SocietySustainable

Growth of Nissha

Contents

Nissha Today

Nissha Philosophy 004

Nissha Overview 005

Nissha Businesses 007

Financial Highlights 011

Non-Financial Highlights 013

Sustainable Corporate ValueGrowth Initiatives

Growth History 015

Message from the CEO 017

Medium-Term Growth Strategy

Medium-Term Business Plan 023

Message from the CSO 025

Message from the CFO 031

Infrastructure Supporting Sustainable Corporate Value Improvement

Corporate Governance 034

Management Team 044

Message from Independent OutsideDirectors of the Board 047

Sustainability 052

Message from the CHRO 059

Reference

11-Year Financial Summary 062

Management’s Discussion and Analysis 063

Consolidated Financial Statements 067

Business and Other Risks 070

Company Outline 071

002Nissha Report 2020 ｜

About Nissha

Editorial Policy

The Role of Nissha Report (Integrated Report)

The Nissha Report presents the company’s initiatives for sus-tainable corporate growth to our shareholders, investors, and other stakeholders. This document is an integrated report that provides a comprehensive view of fi nancial information as well as non-fi nancial information, including corporate governance, our progress related to the environment, and social issues.

In Nissha Report 2020, we provide an easy-to-understand report on the Nissha Group Mission, sustainability, medium- to long-term growth strategy, fi nancial strategy, personnel strate-gy, and corporate governance. The central focus of our report is the CEO message.

In our editing process, we refer to the Ministry of Economy, Trade and Industry guidance on integrated disclosure and dia-logue for co-creation.

Please refer to our corporate website for more detailed infor-mation related to these topics.

The latest fi nancial information regarding earnings and fore-casts can be found in the investor relations section of our cor-porate website.• Investor Relations: www.nissha.com/english/ir/index.htmlMore detailed information regarding non-fi nancial information can be found in the sustainability section.• Sustainability: www.nissha.com/english/sustainability/index.html• Sustainability Report: www.nissha.com/english/sustainability/

pdfdownload.html• ESG Data: www.nissha.com/english/sustainability/data.html

Unless otherwise noted, the contents of the report are cur-rent as of May 31, 2020.Reporting Period: January 1, 2019 to December 31, 2019 (Report includes some activities before 2019 and after January 2020)Scope of Report (Organizations): Nissha Group (Nissha Co., Ltd., consolidated subsidiaries, and affi liated companies)

● Founded: October 6, 1929● Capital: JPY12,119 million *As of the end of March, 2020

● Consolidated net sales: JPY174,035 million *FY2019/12

● Employees: 5,812 *As of the end of March, 2020

● Consolidated Subsidiaries: 66● Bases 　 Domestic: 15　 Overseas: 40 (Equity method affi liates are not included)

Summ

arized

Securities Reports / Financial Results / Presentation Materials and so on

Sustainability Report / ESG Data / Corporate Governance Report and so on

Financial Information

Website: Investor Relations

Non-financial Information

Website: Sustainability

Detailed

Integrated Report

Junya SuzukiChairman of the Board, President and CEO

003 ｜ Nissha Report 2019