Value Creation Process

Shofu's Value Creation Process

Based on our corporate philosophy of "Contribution to dentistry through innovative business activities," we aim to create economic and social value by pursuing business activities that utilize our wealth of resources and robust business foundation.

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Corporate Value Improvement Logic Tree

Based on its corporate philosophy of "Contribution to dentistry through innovative business activities," the Shofu Group will expand its ability to generate cash flow by advancing its medium- to long-term management plan based on intangible assets regarded as sources of competitiveness, such as R&D capabilities, production technology capabilities, human resources, customer networks, and brand power, and engage in advanced governance and sustainability management. We will work to reduce the cost of capital by improving capital efficiency, and aim to sustainably increase corporate value.

Linking Intangible Assets to Creation of Corporate Value

By increasing intangible assets, which are a source of corporate value, we aim to create cash flow and increase our corporate value.

Corporate Philosophy

Contribution to Dentistry through
Innovative Business Activities

Our Corporate Value

We will work to enhance both economic AND social value simultaneously, thereby increasing corporate value.

Increase in
Corporate Value
3 Creation of Free Cash Flow
2 Cost of
Capital
1 Growth
Rate
  • 1

    Fostering Expectations for
    Growth by Refining
    Core Competencies

    • Enhancing R&D capabilities / technological assets
    • Development of global human resources/ human assets
    • Strengthening production system, quality assurance system / organizational assets
    • Strengthening the Shofu brand and sales network / customer assets
  • 2

    Lower Cost of Capital (WACC)

    • Engage in advanced governance
    • Pursuit of optimal capital structure
    • Promoting sustainability management
  • 3

    Creation of Free Cash Flow
    through the Medium- to
    Long-Term Management Plan

    • Strengthening domestic business base and accelerating growth of overseas business
    • Product development addressing changing dental care needs
    • Expansion of supply capabilities and globalization of production systems

Material Issues

  • Contribution to Higher
    QOL of People

  • Promotion of Corporate Activities
    Friendly to Global Environment

  • Strengthening of the
    Management Base to Support
    Corporate Value Enhancement

  • Cultivation of a Rewarding
    Organizational Culture and
    Development of Human Resources

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