LONSEAL CORPORATION (4224) Stock Price

Market cap
¥9.3B
P/E ratio
11.5x
Ronsheel Industrial processes and sells synthetic resin products like flooring and waterproofing materials through dealers, plus operates real estate leasing.

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Business Overview

Ronsheel Industrial Co., Ltd. is primarily engaged in the processing and sale of synthetic resin products. The company operates through a group of four entities centered on Ronsheel Industrial, including its consolidated subsidiaries Rontechno, Ronsheel Incorporated (United States), and Longxi Land (Shanghai) Trading Co., Ltd. These companies manufacture and sell synthetic resin products, which are distributed to the market through dealers.

Ronsheel Industrial's business is organized into two main segments. The first is synthetic resin processing products, which includes architectural flooring materials, waterproofing materials, residential materials, wall coverings, vehicle flooring materials, film substrates, and various waterproofing construction services. This segment involves Ronsheel Industrial, Rontechno, Ronsheel Incorporated, and Longxi Land (Shanghai) Trading Co., Ltd.

The second business segment is real estate leasing. This segment operates shopping center facilities for lease. This business is directly managed by Ronsheel Industrial and provides a separate revenue stream from the synthetic resin processing products business. Through this diversified business approach, the company achieves multiple revenue sources.

Management Policy

Ronsheel Industrial aims to maintain stakeholder trust under any circumstances as its fundamental management principle. Specifically, the company seeks to rapidly bring high-quality, high-performance products that meet customer needs to market and achieve stable dividends. The company also prioritizes providing an environment where employees can plan their life designs in response to changing social conditions.

As part of its medium-term management plan, Ronsheel Industrial targets stable achievement of an operating profit margin of 5% or higher on sales. To reach this goal, the company is pursuing selective focus on existing business fields and concentrating management resources in core areas with growth potential. The company is also pursuing cost reduction and actively developing new business ventures.

Ronsheel Industrial is strengthening its business foundation by establishing systems that can respond quickly to changes in the business environment. In particular, the company is focusing on research and development of high-performance, high-quality products utilizing its Innovation Center. Through these efforts, the company aims to transform into an enterprise that promotes development of new products and construction methods while securing stable profits.

The company is focusing on product development using environmentally friendly vinyl chloride resin. Vinyl chloride resin is highly recyclable and produces low CO2 emissions during manufacturing, making it valued as a material with low environmental impact. The company is also advancing product development utilizing innovative technologies such as the antiviral technology "Ronprotect" and heat-shielding waterproofing construction methods.

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