Worth reading
72In focus
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Improvement
Direction inferred from the company’s description.Scale
200
Over ¥100 million (growth investments under and after the next medium-term management plan)Wording
Avoiding a definitive answer
How definitive the wording is.Items stated in the management plan
Partially revisedROE-1.0pt
基準 2,027Target2,026％
Each line is the climb from the baseline the document states to the target it sets. The slope is scaled against the largest climb in this document. For metrics expressed as percentages, differences are shown in percentage points (pt).
What happened to the previous planROE of at least 5% (fiscal year ending March 2027 target) → ROE of 5.2% (fiscal year ended March 2026)-0.0%Calculated from the two disclosed figures
Total investment planMore than ¥20 billion will be invested in growth areas under and after the next medium-term management plan, “meito challenge 2029 (Third).” Growth investments and investments to strengthen the business foundation under the current medium-term management plan total approximately ¥24 billion.
Investment amount by sectorField Food business / Ice cream manufacturing plant / Amount Approximately ¥8 billion, Field Chemical products business / Enzyme manufacturing plant / Amount Approximately ¥5.0 billion, Field Common / Business foundation enhancement / Amount Approximately ¥7.5 billion, Field Food business / Jelly plant construction / Amount ¥7.7 billion, Field Chemical products business / Biwajima plant construction / Amount ¥3.8 billion, Field Real estate business / Acquisition of income-producing real estate / Amount ¥6.2 billion, Field Capital investment / Business foundation investment / Amount Approximately ¥6 billion over 3 years
Statements about the use of capital
Payout ratio / DOE policyThe company will continue its progressive dividend policy. Under the next medium-term management plan, it plans to implement progressive dividends starting at ¥120 per share (on a pre-stock-split basis). Under the current medium-term management plan, it plans to pay approximately ¥2.8 billion in dividends over the 3 years from the fiscal year ending March 2025 through the fiscal year ending March 2027. Numerical targets for the payout ratio and DOE are Not disclosed.The payout ratio is the proportion of profit paid out as dividends, while DOE is the ratio of dividends to net assets.
Treasury share acquisition policyUnder the current medium-term management plan, the company will acquire and cancel treasury shares up to a limit of ¥3.5 billion. Under the next medium-term management plan, it plans to acquire treasury shares totaling ¥6 billion over 3 years. The amount will vary depending on the status of the acquisitions.
Cost of capitalThe company recognizes its cost of equity at approximately 7% in its future plans.The cost of capital is the minimum rate of return expected by shareholders and banks from the company.
Self-assessment of PBR and share priceThe PBR remains below 1x. The PBR was 0.8x for the fiscal year ended March 2026. The company's medium- to long-term target is a PBR above 1.0x.PBR is a measure of how many times the share price is the book value per share.
Key initiatives
01Expansion of core business profit
02Optimize capital allocation
03Continued improvement in capital efficiency
04Introduction of business-level ROIC management
05Clarification of the capital allocation policy: presentation of cash allocation
06Measures to expand the shareholder base and improve liquidity: implementation of a stock split
07Expansion of IR engagement: disclosure of the number and content of meetings
08Expansion of KPI disclosure: disclosure of business KPIs and non-financial KPIs
09Sales Strategy
10Production Strategy
11Organizational strategy
12Financial Strategy
13Reduction of shareholdings
14Enhance shareholder returns
15Strengthening IR and engagement
Plan assumptionsPriority categories were identified based on the growth prospects of the market. The company will focus on the frozen desserts segment and the chemical products business. Numerical assumptions for exchange rates, market growth rates and raw material prices are Not disclosed.
Segment targetSegment Food Business / Target Approximately 80% of the targeted business portfolio, Segment Food business / Frozen desserts segment / Target Approximately 15%, Segment Chemical Products Business / Target Approximately 20%, Segment Real estate business / Target Approximately 1%
Risks identified by the company
The possibility that results may differ from the plan and forecast figures due to various conditions and factors in the future
The possibility that the amount of treasury share acquisitions may vary depending on the status of the acquisitions
Reason for revision or withdrawal
The PBR remains below 1x, making it necessary to improve the profitability of the core business, enhance capital efficiency and raise market valuation. In addition, non-operating income and gains on share sales have made a significant contribution to the improvement in ROE, making it necessary to clarify the capital allocation and shareholder return policies that will support sustained improvements in profitability going forward.
| Item | Details |
|---|---|
| Plan name | Current medium-term management plan “MEITO CHALLENGE 2026” / Next medium-term management plan “meito challenge 2029 (Third)” |
| Plan period | Fiscal years ending March 2025 to March 2027 (current medium-term management plan) / Fiscal years ending March 2028 to March 2030 (next medium-term management plan) / Through the fiscal year ending March 2033 (Fourth medium-term management plan target) |
| Progress against the plan | Partially revised |
| ROE target | At least 5% (fiscal year ending March 2027 target) → 5.2% (fiscal year ended March 2026)（4.0％） |
| Payout ratio / DOE policy | The company will continue its progressive dividend policy. Under the next medium-term management plan, it plans to implement progressive dividends starting at ¥120 per share (on a pre-stock-split basis). Under the current medium-term management plan, it plans to pay approximately ¥2.8 billion in dividends over the 3 years from the fiscal year ending March 2025 through the fiscal year ending March 2027. Numerical targets for the payout ratio and DOE are Not disclosed. |
| Treasury share acquisition policy | Under the current medium-term management plan, the company will acquire and cancel treasury shares up to a limit of ¥3.5 billion. Under the next medium-term management plan, it plans to acquire treasury shares totaling ¥6 billion over 3 years. The amount will vary depending on the status of the acquisitions. |
| Cost of capital | The company recognizes its cost of equity at approximately 7% in its future plans. |
| Self-assessment of PBR and share price | The PBR remains below 1x. The PBR was 0.8x for the fiscal year ended March 2026. The company's medium- to long-term target is a PBR above 1.0x. |
| Total investment plan | More than ¥20 billion will be invested in growth areas under and after the next medium-term management plan, “meito challenge 2029 (Third).” Growth investments and investments to strengthen the business foundation under the current medium-term management plan total approximately ¥24 billion. |
| Investment amount by sector | Field Food business / Ice cream manufacturing plant / Amount Approximately ¥8 billion, Field Chemical products business / Enzyme manufacturing plant / Amount Approximately ¥5.0 billion, Field Common / Business foundation enhancement / Amount Approximately ¥7.5 billion, Field Food business / Jelly plant construction / Amount ¥7.7 billion, Field Chemical products business / Biwajima plant construction / Amount ¥3.8 billion, Field Real estate business / Acquisition of income-producing real estate / Amount ¥6.2 billion, Field Capital investment / Business foundation investment / Amount Approximately ¥6 billion over 3 years |
| Segment target | Segment Food Business / Target Approximately 80% of the targeted business portfolio, Segment Food business / Frozen desserts segment / Target Approximately 15%, Segment Chemical Products Business / Target Approximately 20%, Segment Real estate business / Target Approximately 1% |
| Plan assumptions | Priority categories were identified based on the growth prospects of the market. The company will focus on the frozen desserts segment and the chemical products business. Numerical assumptions for exchange rates, market growth rates and raw material prices are Not disclosed. |
| Key initiatives | Expansion of core business profit, Optimize capital allocation, Continued improvement in capital efficiency, Introduction of business-level ROIC management, Clarification of the capital allocation policy: presentation of cash allocation, Measures to expand the shareholder base and improve liquidity: implementation of a stock split, Expansion of IR engagement: disclosure of the number and content of meetings, Expansion of KPI disclosure: disclosure of business KPIs and non-financial KPIs, Sales Strategy, Production Strategy, Organizational strategy, Financial Strategy, Reduction of shareholdings, Enhance shareholder returns, Strengthening IR and engagement |
| Results under the previous plan | ROE of at least 5% (fiscal year ending March 2027 target) → ROE of 5.2% (fiscal year ended March 2026) |
| Reason for revision or withdrawal | The PBR remains below 1x, making it necessary to improve the profitability of the core business, enhance capital efficiency and raise market valuation. In addition, non-operating income and gains on share sales have made a significant contribution to the improvement in ROE, making it necessary to clarify the capital allocation and shareholder return policies that will support sustained improvements in profitability going forward. |
| Risks identified | The possibility that results may differ from the plan and forecast figures due to various conditions and factors in the future, The possibility that the amount of treasury share acquisitions may vary depending on the status of the acquisitions |
| Date of board resolution | 11 November 2026 |
| Publication date | 11 November 2026 |
Items this document does not state (7)
Sales TargetOperating profit targetOperating profit margin targetNet income targetROIC targetNon-financial targetsSize of the Target Market
These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.
The reasons the company gives
The company's own explanation, not something inferred from the numbers.The PBR remains below 1x, making it necessary to improve the profitability of the core business, enhance capital efficiency and raise market valuation. The company also stated that improvements in ROE have been heavily supported by non-operating income and gains on share sales, making sustained improvements in profitability necessary.
How to read this page
This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.