Integrated Report 2019

38/110

Strategy36LINTEC INTEGRATED REPORT 2019¥ BillionConverted Products OperationsBusiness Operations IntroductionWe manufacture and sell release papers and films that pro-tect the adhesive surfaces of various adhesive products, casting papers that are used as patterning papers for placing designs on synthetic leather, casting papers used in the manufacture of carbon fiber composite material sheets from fibers, and other products. These are endowed with a variety of special functions, including not only releasability but also resistance to water, heat, and abrasion. Business Strategy24181262016201720182019202021.721.022.020.620.50Net Sales: Converted Products OperationsA Message from the Executive General Manager, Converted Products OperationsIn the fiscal year ended March 31, 2019, casting papers for carbon fiber composite materials recorded favorable results due to growth in demand related to aircraft applications. However, growth in the smartphone market was sluggish, and as a result sales of high-value-added products, such as release papers for electronic materials and release films for industrial tapes, were weak. Going forward, we expect contin-ued growth for casting papers for carbon fiber composite materials, but we expect conditions to remain challenging for release papers for general-use adhesive products. Looking at casting papers for synthetic leather, their use in automotive interior finishing is increasing, but the future course of the Chinese market is uncertain, and the business environment does not support an optimistic outlook.LINTEC is one of Japan’s top manufacturers of release papers and films. This field is based on a market-centered approach in which new materials are individually developed and proposed in line with the needs of customer companies. Accordingly, one issue has been the difficulty of identifying specific applications for products developed by customer companies, particularly in regard to products with industrial applications. Going forward, we will work from a variety of perspectives as we strive to identify needed characteristics more rapidly and more accurately and to create products that will become the pillars of new businesses.Yutaka IwasakiSenior Executive OfficerExecutive General Manager, Converted Products Operations,Business Administration Div.(Fiscal year ended / ending March 31)(Forecast)