FACTS &
FIGURES
2003
Tanaka Che
mical Corpo
rat ion Tana
ka Chemical
Corporat ion
Tanaka Che
mical Corpo
rat ion Tana
ka Chemical
Corporat ion
Tanaka Che
mical Corpo
rat ion Tana
ka Chemical
Corporat ion
Tanaka Che
mical Corpo
rat ion Tana
ka Chemical
Corporat ion
Tanaka Che
mical Corpo
rat ion Tana
kaTanaka C
hemical Cor
porat ion Ta
naka Chemi
cal Corporat
ion Tanaka
Chemical Co
rporat ion Ta
naka Chemi
cal Corporat
ion Tanaka
Chemical Co
P ro f i l e
Sinc e its estab lishment in 1957, Tanaka Chemic al Corp oration (the "Comp any") has had a strong commitment to R&D, developing its own technologies from basic research and product development to manufacture and quality control. Through these cutting-edge technologies, the Company has established a distinct and substantial competitive advantage in the field of positive electrodes for rechargeable batteries. Based on its unrivaled know-how, the Company will continue to advance the frontiers of high-tech rechargeable battery high-technology, for example Ni-MH (nickel-metal hydride) batteries and lithium-ion batteries, and will explore the countless opportunities offered by the technological revolution.
Classification Nickel
Compounds
Cobalt Compounds
Product Nickel Hydroxide Ni(OH)2
(Cobalt Coated Products) Nickel Oxyhydroxide NiOOH Nickel Nitrate Ni(NO3)2.6H2O
Nickel Carbonate NiCo3 Cobalt Oxide Co3O4
Lithium Cobalt Oxide LiCoO2
Cobalt Hydroxide Co(OH)2
Cobalt Nitrate Co(NO3)2.6H2O
Cobalt Carbonate CoCO3
Cobalt Mono-Oxide CoO
Application
Material for positive electrodes for Ni-MH batteries Material for positive electrodes for Ni-Cd batteries Metal surface treatment agent
Material for positive electrodes for Ni-MH batteries Material for positive electorodes for Nickel primary batteries Material for positive electrodes for Ni-MH batteries Material for positive electrodes for Ni-Cd batteries Catalyst material
Metal surface treatment agent
Material for positive electrodes for lithium-ion batteries Material for positive electrodes for lithium-ion batteries Additive to material for positive electrodes for Ni-MH batteries Material for positive electrodes for lithium-ion batteries Additive to material for positive electrodes for Ni-MH batteries Additive to material for positive electrodes for Ni-Cd batteries Catalyst material
Catalyst material
Additive to material for positive electrodes for Ni-MH batteries
Prod uc t List (c ateg orized b y ap p lic ation)
C O N T E N T S
Financial Highlights
Operating Results
Profitability
Financial Position
Per Share Data / Per Employee Data
Financial Statements
Corporate Data
1
2
3
4
6
7
9
Other Ni-Cd batteries
Lithium-ion batteries
Ni-MH batteries Nickel primary batteries Catalyst material
Material for positive electronics for high-tech batteries Material surface treatment agent
2003 3
Shipment basis as of March 31, 2003
14,000
10,500
7,000
3,500
0 / Millions
6,000
5,000
4,000
3,000
2,000
1,000
0 12,000
10,000
8,000
6,000
4,000
2,000
0
/ Millions / Millions
/ Millions Ordinary income
Net income
-600 -300 0 300 600 900
’99/3 ’003 ’01/3 ’02/3 ’03/3
’99/3 ’00/3 ’01/3 ’02/3 ’03/3 ’99/3 ’00/3 ’01/3 ’02/3 ’03/3 ’99/3 ’00/3 ’01/3 ’02/3 ’03/3
Net sales Ordinary income /
Net income
Total assets Shareholders’ equity
F i n a n c i a l H i g h l i g h t s
For the year
At year-end
Per share
Fiscal year ended
Net sales
Operating income
Ordinary income
Net income
Total assets
Shareholders’ equity
Return on equity
Number of shares outstanding
Net income per share Yen
Shareholders’ equity per share Yen
Cash dividends per share Yen
’02/3
8,696
-506
-385
-494
10,442
5,381
-11,905,800
-41.70
452.05
5.00
’03/3
8,415
-292
-159
-249
10,001
5,079
-11,928,800
-20.92
425.81
-’98/3
12,043
397
610
236
10,164
2,541
9.73
206,000
1,149.42
12,335.68
100.00
’99/3
10,738
57
94
82
7,896
2,964
3.01
246,320
365.32
12,034.87
100.00
’00/3
12,415
528
883
421
11,049
5,790
9.62
5,926,400
83.66
977.02
12.00
’01/3
11,651
401
567
216
11,085
5,927
3.70
11,852,800
18.29
500.12
5.00
-500 -250 0 250 500
14,000
10,500
7,000
3,500
0 / Millions
/ Millions
/ Millions
Ordinary income
Ordinary income to net sales
/ Millions
Nickel compounds Cobalt compounds Others
Net income
Net income to net sales -600
-300 0 300 600
-600 -300 0 300 600 900
-6 -3 0 3 6
-5 0 5 10
’99/3 ’00/3 ’01/3 ’02/3 ’03/3 ’99/3 ’00/3 ’01/3 ’02/3 ’03/3
’99/3 ’00/3 ’01/3 ’02/3 ’03/3 ’99/3 ’00/3 ’01/3 ’02/3 ’03/3
Net sales by product sector Ordinary income /
Ordinary income to net sales
Operating income
Fiscal year ended
Net sales by product sector
Nickel compounds
Cobalt compounds
Others
Operating income
Ordinary income
Ordinary income to net sales
Net income
Net income to net sales
’02/3
8,696
4,159
4,171
365
-506
-385
-4.44
-494
-5.69
’03/3
8,415
4,742
3,377
295
-292
-159
-1.89
-249
-2.96 ’98/3
12,043
5,913
5,405
725
397
610
5.07
236
1.97
’99/3
10,738
4,807
5,579
351
57
94
0.88
82
0.77
’00/3
12,415
5,772
6,019
623
528
883
7.11
421
3.39
’01/3
11,651
6,340
4,853
456
401
567
4.87
216
1.86
/ Millions
O p e r a t i n g R e s u l t s
Net income /
/ Millions
/Times
US$
Nickel Cobalt
/ Millions
Operating income
Selling, general and administrative expenses Cost of sales
Gross profit Gross profit ratio -1,000
0 2,000 4,000 6,000 8,000 10,000 12,000 14,000
0.0 0.5 1.0 1.5
0 400 800 1,200 1,600
0 5 10 15
’99/3 ’00/3 ’01/3 ’02/3 ’03/3 ’99/3 ’00/3 ’01/3 ’02/3 ’03/3
’99/3 ’00/3 ’01/3 ’02/3 ’03/3 ’99/3 ’00/3 ’01/3 ’02/3 ’03/3
0 5 10 15 20
Sales-cost composition International official price (LME)
Gross profit / Gross profit ratio
Total assets turnover
Fiscal year ended
Gross profit
Gross profit ratio
Return on assets
Return on equity
Total assets turnover Times
International official price (LME)
Nickel (US$/LB base)
Cobalt (US$/LB base)
’02/3
246
2.83
-4.69
-0.81
2.66
8.97
’03/3
447
5.32
-2.84
-0.82
3.32
7.37 ’98/3
1,265
10.51
3.71
9.73
1.11
2.90
24.29
’99/3
833
7.76
0.67
3.01
1.19
2.01
19.26
’00/3
1,517
12.22
5.61
9.62
1.31
3.27
16.53
’01/3
1,319
11.32
3.71
3.70
1.05
3.59
14.98
/ Millions
P ro f i t a b i l i t y
Notes: Return on assets = (Operating income + Interest and dividend income) / Total assets (Yearly average) x 100 Return on equity = Net income / Shareholders’ equity (Yearly average) x 100
Total assets turnover = Net sales / Total assets (Yearly average) x 100
/ Millions
/ Millions
/ Millions 6,000
4,000
2,000
0
0 500 1,000 1,500 2,000 2,500
0 10 20 30 40 50 60
0 200 400 600 800 1,000
’99/3 ’00/3 ’01/3 ’02/3 ’03/3 ’99/3 ’00/3 ’01/3 ’02/3 ’03/3
’99/3 ’00/3 ’01/3 ’02/3 ’03/3 ’99/3 ’00/3 ’01/3 ’02/3 ’03/3
Shareholders’ equity to total assets Capital expenditure
Interest-bearing debt Cash flows
’02/3
10,442
5,381
51.53
3,301
386
325
992
’03/3
10,001
5,079
50.80
3,590
170
460
553 ’98/3
10,164
2,541
25.00
3,117
807
681
-’99/3
7,896
2,964
37.54
3,362
265
576
-’00/3
11,049
5,790
52.40
1,981
1,175
884
1,371
’01/3
11,085
5,927
53.47
2,491
2,385
809
-302
/ Millions
F i n a n c i a l Po s i t i o n
Fiscal year ended
Total assets
Shareholders’ equity
Shareholders’ equity to total assets
Interest-bearing debt
Capital expenditure
Cash flows
Cash flows from operating income
300
250
200
150
100
50
0
15
10
5
0
-5
-10
-15 /Times Current ratio
Quick assets to current liabilities
Fixed assets ratio Fixed assets /
(Shareholders’ equity + Long-term liabilities)
0 50 100 150 200 250
0 50 100 150 200
’99/3 ’00/3 ’01/3 ’02/3 ’03/3 ’99/3 ’00/3 ’01/3 ’02/3 ’03/3
’99/3 ’00/3 ’01/3 ’02/3 ’03/3 ’99/3 ’00/3 ’01/3 ’02/3 ’03/3
Current ratio /
Quick assets to current liabilities
Debt / Equity ratio
Fixed assets ratio / Fixed assets /
(Shareholders’ equity + Long-term liabilities)
Interest coverage
Fiscal year ended
Current ratio
Quick assets to current liabilities
Fixed assets ratio
Fixed assets / Shareholders’ equity + Long-term liabilities Debt / Equity ratio
Interest coverage Times
’02/3
294.16
207.46
97.33
60.39
61.34
-13.34
’03/3
203.28
153.50
90.90
62.79
70.68
-7.67 ’98/3
85.76
52.37
150.15
138.17
122.69
4.32
’99/3
90.46
49.03
121.86
114.30
113.41
1.08
’00/3
165.69
125.05
72.17
60.54
34.22
13.66
’01/3
150.33
91.36
98.70
76.95
42.04
13.39
D/E
Notes: Current ratio = Current assets (Fiscal year-end) / Current liabilities (Fiscal year-end) x 100
Quick assets to current liabilities = {Cash and time deposits (Fiscal year-end) + Notes receivable, trade (Fiscal year-end) + Accounts receivable, trade (Fiscal year-end) + Marketable securities (Fiscal Year-end)} / Current liabilities (Fiscal year-end) x 100
Fixed assets ratio = Fixed assets (Fiscal year-end) / Shareholders’ equity (Fiscal year-end) x 100
200,000
150,000
100,000
50,000
0 / Thousands /Shares
/ / Thousands
0 2,000,000 4,000,000 6,000,000 8,000,000 10,000,000 12,000,000
-300 0 300 600 900 1,200
-6,000 -3,000 0 3,000 6,000
’99/3 ’00/3 ’01/3 ’02/3 ’03/3 ’99/3 ’00/3 ’01/3 ’02/3 ’03/3
’99/3 ’00/3 ’01/3 ’02/3 ’03/3 ’99/3 ’00/3 ’01/3 ’02/3 ’03/3
Number of shares outstanding Net sales per employee
Net income per share
Net income per employee
Fiscal year ended
Number of shares outstanding
Net income per share
Shareholders’ equity per share
Cash flows per share
Cash dividends per share
Payout ratio
Net sales per employee (¥ Thousands)
Net income per employee (¥ Thousands)
Number of employees at fiscal year-end
’02/3
11,905,800
-41.70
452.05
27.38
5.00
-95,565
-5,433
91
’03/3
11,928,800
-20.92
425.81
38.62
-93,510
-2,771
90 ’98/3
206,000
1,149.42
12,335.69
3,307.97
100.00
8.70
162,752
3,200
74
’99/3
246,320
365.32
12,034.87
2,341.61
100.00
29.75
147,105
1,134
73
’00/3
5,926,400
83.66
977.02
149.26
12.00
14.34
146,062
4,956
85
’01/3
11,852,800
18.29
500.12
68.25
5.00
27.33
133,928
2,492
87
/
1
Balance Sheets
’02/3 5,205 2,126 254 1,289 -404 317 679 13 12 99 0 3 -4 -5,237 4,809 893 70 3,007 8 94 663 71 6 421 10,442 1,769 386 701 -301 133 -62 7 49 112 14 3,291 500 2,500 88 -58 -145 5,061 1,805 2,423 130 1,025 1,304 -278 -1 -1 5,381 10,442 ’03/3 5,384 2,761 184 1,118 -443 262 561 7 13 -18 -13 -4,616 4,200 816 69 2,552 8 89 663 -38 378 10,001 2,648 285 480 590 1,000 88 6 44 14 53 76 8 2,273 500 1,500 24 -58 24 166 4,922 1,810 2,428 130 716 802 -85 -5 -1 5,079 10,001 ’98/3 6,349 1,545 1,025 1,304 1 425 1,082 968 5 5 -3 -17 3,815 3,048 643 53 1,834 8 29 463 15 1 765 10,164 7,403 2,290 1,019 2,790 305 294 289 79 9 53 207 63 220 - 22 197 0 -7,623 719 678 30 1,113 821 291 -2,541 10,164 ’99/3 4,284 762 669 887 1 425 433 954 4 9 135 -7 -8 3,612 2,819 579 45 1,592 8 27 463 102 1 791 7,896 4,736 568 517 3,340 22 108 -9 48 109 11 195 - -195 0 -4,932 901 861 50 1,151 918 233 -2,964 7,896 ’00/3 6,870 1,983 602 1,597 1,001 517 336 766 5 7 -43 -17 -9 4,178 3,530 613 50 1,941 5 36 663 218 7 640 11,049 4,146 989 776 690 495 391 435 -11 52 295 9 1,112 - 796 175 -140 5,258 1,794 2,412 70 1,513 1,008 504 -5,790 11,049 ’01/3 5,234 1,267 484 1,427 3 678 305 917 5 12 -114 8 1 9 -5,850 5,325 959 75 3,475 14 88 663 48 5 519 11,085 3,482 730 530 690 500 137 -11 57 809 14 1,675 - 1,301 138 -84 -151 5,157 1,794 2,412 100 1,618 1,306 311 2 -5,927 11,085 / MillionsFiscal year ended
Assets
Current assets:
Cash and time deposits Notes receivable, trade Accounts receivable, trade Marketable securities Products
Raw materials Work in progress Supplies Prepaid expenses Income tax receivable Accounts receivable, other Defferd tax assets Treasury stock Other current assets
Allowance for doubtful accounts
Fixed assets:
Tangible fixed assets Buildings Structures
Machinery and equipment Vehicles for transportation Tools, furnitures and fixtures Land
Construction in progress Intangible fixed assets Investments and other assets
Total assets:
Liabilities
Current liabilities:
Notes payable, trade Accounts payable, trade Short-term debt
Current portion of long-term debt Accounts payable, other Accrued income taxes Accrued consumption taxes Accrued expenses, other Accrued bonuses Notes payable, equipment Other current liabilities
Long-term liabilities:
Corporate bonds Long-term debt
Long-term accounts payable, other Long-term leasehold deposits received Reserve for retirement allowances Reserve for loss on guaranteed debts Retirement benefits
Total liabilities:
Shareholders’ equity Common stock
Additional paid-in capital Legal reserve
Retained earnings Voluntary reserve
Unappropriated retained earnings Unrealized holding gains on other
marketable securities Treasury stock
Total shareholders’ equity Total liabilities and shareholders’ equity
Statements of Income
’02/3 8,696 8,449 246 753 -506 158 0 64 63 16 13 37 34 -2 1 -385 6 98 -478 5 10 -494 216 --278 ’03/3 8,415 7,968 447 740 -292 179 0 131 30 -17 46 32 -5 8 -159 -71 -231 6 11 -249 164 --85 ’98/3 12,043 10,777 1,265 868 397 347 1 -323 -22 135 92 31 -11 610 -115 494 257 -236 54 -291 ’99/3 10,738 9,905 833 775 57 95 1 -81 -11 58 56 1 -0 94 17 0 112 29 -82 150 -233 ’00/3 12,415 10,897 1,517 988 528 393 1 -344 -47 38 38 -883 -121 762 451 -109 421 91 -13 5 504 ’01/3 11,651 10,332 1,319 917 401 195 1 47 124 -22 30 30 -567 9 182 394 213 -36 216 95 -311 / MillionsF i n a n c i a l S t a t e m e n t s
Fiscal year ended
Net sales
Cost of sales
Gross profit Selling, general
and administrative expenses Operating income
Non-operating income
Interest income
Gain from investments in association with an anonymous partner Insurance income
Foreign exchange income
Other
Non-operating expenses
Interest expenses Loss in association with
an anonymous partner Interest expensed on bonds
Other
Ordinary income
Extraordinary income
Extraordinary expenses
Net income before income taxes
Income taxes
Income taxes adjustment
Net income
Unappropriated retained
earnings brought forward Taxes adjustment
C o r p o r a t e D a t a
1957 12 1
18 1,047
11,928,800
3 31
90
1.
2.
3.
4.
EV
Texaco Ovonic
GPI
SAFT
YDT
2003 3
Name of company: Tanaka Chemical Corporation
Date of establishment: December 1, 1957
Capital: 1,810.47 million yen
Number of shares outstanding: 11,928,800
Fiscal year- end: M arch 31
President: Tamotsu Tanaka
Number of employees: 90
Banks: The Bank of Tokyo- M itsubishi, Ltd.
Sumitomo M itsui Banking Corporation
UFJ Bank, Ltd.
The Fukuho Bank, Ltd.
The Hokuriku Bank, Ltd.
The Fukui Bank, Ltd.
M izuho Bank, Ltd.
Business: 1.Manufacture and sale of chemical products for batteries
2.Manufacture and sale of chemical products for metal surface treatment
3.Maufacture and sale of chemical products for catalysts
4.Manufacture and sale of inorganic chemical products
Customers: M atsushita Battery Industrial Co., Ltd.
Sanyo Denki Co., Ltd.
Toshiba Battery Co., Ltd.
Panasonic EV Energy Co., Ltd.
Sumisho M etalex Corporation
Texaco Ovonic
GPI
SAFT
YDT
Suppliers: Sumitomo Corporation
M itsubishi Corporation
M itsui & Co., Ltd.
Kinsho Corporation
Nisso Shoji Corporation
Seibu Kasei Co., Ltd.
T a na k a Che m ic a l Corpora t ion
Head Office / Fukui Plant
5-10 Shirakata-cho, Fukui 910-3131 Japan TEL 0776-85-1801 FAX 0776-85-1803
Osaka Branch
