SustainabilityMessage from the president

Kazuya Kobayashi
President and CEO,
Representative Director

“Good Service” is one of our corporate mottoes. We will contribute to social and environmental sustainability through business expansion driven by the commitment of every employee to this ideal.

Our vision for TOCALO—A manufacturing company dedicated to social and environmental contribution

Our core business domain is surface modification, especially thermal spray. Our contributions to the reduction of environmental impacts through this business include the use of our thermal spraying technology to improve the productivity and longevity of industrial facilities, as well as biomass power generation systems and other environmental equipment. We also return part of our business profit to communities through scholarships, donations to charitable organizations, and other contributions as part of our commitment to sustainability management guided by our wide-ranging awareness of environmental, social, and governance priorities.
　We formulate and implement plans based on the ISO 14001 standard to mitigate environmental impacts, including energy conservation through changes to the raw materials used and the enhancement of thermal spraying methods, as well as energy creation through the installation of solar panels and other renewable energy systems, and waste reduction through recycling.
　Like many other organizations and social institutions, TOCALO has begun working toward the goal of achieving net zero by 2040. We will continue to pursue sustainability management as a creative company dedicated to social and environment contribution through business.

Our vision for TOCALO—A team of professionals dedicated to providing good service to our customers

Kazuya Kobayashi President and CEO,Representative Director

Sustainability-focused management requires the selection of material issues and the pursuit of specific initiatives based on KPIs. TOCALO’s materiality initiatives center on the concept of evolving from a supplier into a partner. Our entire organization is united in our commitment to helping customers to find solutions for current issues, while also offering answers to future issues.
　Every year I present a New Year message to employees. In this year’s message, which I delivered on January 6, 2025, I emphasized the importance of our “Good Service” motto, which we are embedding as part of our corporate culture. We define “Good Service” as actions that result in satisfaction for our customers. To earn positive evaluations from our customers through services backed by the best efforts of individual employees, we need to form an accurate picture of each customer’s requirements, develop optimal solutions from various perspectives, and deliver those solutions with the best possible timing. I believe that good service evolves through sustained and sincere efforts by individuals and teams to create proposals that address customer needs, even if those proposals are not accepted.

Building employee engagement and fostering the spirit of challenge

Sustainability-focused management requires an environment in which all employees are highly engaged and approach their day-to-day tasks with a sense of commitment. The foundation for that approach is safety and health. We have acquired JIS Q 45100 certification at all of our business sites throughout Japan with the aim of creating workplaces in which safety is the highest priority. I see the achievement of this certification as indicative of a rise in our status as a manufacturer. We made a Health and Productivity Management Declaration in 2023. We implement various measures under the leadership of qualified occupational health nurses, and in fiscal 2025 we introduced a system requiring all employees to undergo cancer checks as part of their regular health examinations.
　Technology provided by TOCALO is used in many fields and industries. Every frontline worker has their own aspirations, and we want our young employees to discover their personal goals as early as possible. Once people have clear aspirations, they become more engaged in their work and are more likely to receive support from those around them. I believe that we can build an even more exciting future for TOCALO by embedding this culture in our workplaces. We will continue to enhance and expand our education and training programs in order to enhance this sense of independent initiative.

Under our growth scenario for the period to 2030, we will continue to invest actively while maintaining a sound financial base.

Senior Managing Executive Officer, Director,
Vice President, Administrative Headquarters

Hiroshi Goto, Director, Managing Executive Officer; General Manager,
Administrative Headquarters

Over the past 10 years, TOCALO has operated debt-free in real terms and built a sound financial base. This structure will provide the financial underpinning for active growth investment in the years ahead.
　Looking ahead to 2030, we will maintain an active program of capital expenditure in the year ending March 2026 and beyond, in anticipation of continuing high demand from semiconductor and FPD field, which are our core business segments. Specifically, we will double our current production capacity by building new plants in Tokyo and Kitakyushu. Large-scale infrastructure development is likely to result in cost increases due to soaring construction material prices and labor costs. However, we will use subsidies and other mechanisms to maintain a stable financial base while pursuing growth investment.
　As part of our efforts to strengthen our human capital, we have been implementing measures to enhance employee engagement, including the introduction of a profit incentive program in the year ended March 2024. We have announced a 4% wage increase under the Ministry of Economy, Trade and Industry’s Subsidy Program for Large-Scale Growth Investment for Labor-Saving Measures to Support Wage Increases at Medium-Sized and Small Enterprises, for which we were selected in May 2025. The recruitment and training of large numbers of workers will be a priority for our continuing efforts to expand revenues and profits to offset a higher depreciation burden resulting from large-scale capital expenditure. We have launched the Global Experience program, a unique approach to the development of highly motivated personnel. A total of 40 people will participate in this program over a three-year period. Going forward, we aim to expand our pool of core human resources capable of supporting global business expansion through education and training for executive-level employees.
　Sontoku Ninomiya, an agriculturalist and economic philosopher active in the first half of the 19th century, said that those who think ahead 100 years plant cedar saplings, by which he meant that long-term thinking was the path to prosperity. His words have profound meaning for TOCALO as we work to ensure our growth over the next 20 or 30 years. We are determined to become a 100-year company by continuing to build our corporate value through steady human resource strategies and performance expansion initiatives from a medium- to long-term perspective.