2017/05/18

Kao Releases Kao Integrated Report 2017

Kao Corporation today released the English version of the Kao Integrated Report 2017. The report is available on Kao's website. Printed version is scheduled to be published in June.

Under the slogan "Transforming Ourselves to Drive Change," Kao has embarked on the Kao Group Mid-term Plan 2020 (K20) as of this fiscal year. The company aims to enhance its corporate value globally through this four-year plan.

The vision outlined in K20 is to make Kao a company with a global presence. This will be accomplished by achieving sustainable and profitable growth, and contributions to the sustainability of the world through business activities focused on resolving social issues, as well as various corporate social responsibility initiatives. With the launch of K20, the company decided to release the Kao Integrated Report 2017, which covers both financial and non-financial information. Kao's Financial Report 2016 is also available in PDF format.

The objective of this report is to share Kao's values as a corporation and to present its capabilities for achieving medium- and long-term growth, explaining these themes to its shareholders, investors, and other stakeholders in an easy-to-understand manner. The report thus provides succinct explanations regarding the correlation between Kao's business strategies for securing sustainable and profitable growth, the platform that underpins such growth, and the initiatives that will drive contributions to the sustainability of the world. Details on Kao's sustainability-related initiatives can be found in its Kao Sustainability Data Book 2017, the English version of which will be uploaded onto its website in late June.

Kao hopes that this Integrated Report will deepen stakeholders' understanding of its business activities. Kao is committed to incorporating stakeholder feedback in both corporate management and communications in order to enhance the quality of its dialogue with stakeholders.


[Kao Integrated Report 2017: Content and Outline]
1. About Kao
2. What Kao aims to be
3. Assets that support Kao's value creation
4. Results of Kao's value creation

Management Vision and the Mid-term Plan 2020 (K20)

Kao aspires to foster and establish a distinctive corporate image in order to achieve the vision of making Kao a company with a global presence by 2030. Therefore, K20 is an important milestone toward achieving this vision. Through Kao's work toward achieving its mid-term vision and long-term vision, it aims to secure profitable growth, and - at the same time - to be a driver of transformation in resolving social issues and to expand, on an unprecedented scale, its value creation domains.

Sustainable and profitable growth

In fiscal 2016, the Kao Group registered its fourth consecutive year of record-high profits. Merries baby diapers have been the best-selling brand in the Japanese baby diaper sector for 10 consecutive years, and overseas sales have also seen increased growth.
In the Cosmetics Business, the company saw positive results from its major reform which commenced in 2015 with the launch of Sofina iP. In 2016, Kao opened a new research facility, concentrating cosmetic research functions in one location. It intends to differentiate the Sofina and Kanebo brands by further enhancing their uniqueness.
In the Chemical Business, Kao developed a water-based pigment inkjet ink for industrial printing that achieves a reduced environmental impact. The company also acquired two ink manufacturing firms, one American and one European, to solidify its foundation of new businesses.

Contributions to the sustainability of the world

Kao has long been developing eco-friendly containers and packages, and in 2016, it introduced the Raku-raku Eco Pack Refill. These refill packs offer a universal design and leave an even smaller environmental footprint, and are now being utilized in four of its hair care brands.
Also, in an attempt to resolve community issues and to promote healthy living globally, Kao has been engaged in various domestic and international initiatives, including lessons in proper hand washing and menstrual hygiene education programs.

About Kao

Kao creates high-value-added products that enrich the lives of consumers around the world. Through its portfolio of over 20 leading brands such as Attack, Bioré, Goldwell, Jergens, John Frieda, Kanebo, Laurier, Merries and Molton Brown, Kao is part of the everyday lives of people in Asia, Oceania, North America and Europe. Combined with its chemical division, which contributes to a wide range of industries, Kao generates about 1,500 billion yen in annual sales. Kao employs about 35,000 people worldwide and has more than 120 years of history in innovation. Please visit the Kao Group website for updated information.
http://www.kao.com/group/en/group/

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