Measures to Address a PBR Below 1x and Enhance Capital Allocation
First written in FY2024. 10 of 13 entries say "Advanced", first in FY2025-H1. Latest entry: 2026-10-14.
2 other companies' latest entry also says "Raised".
- FY2026AdvancedAnnual report
「We will establish an Investment Evaluation Committee to evaluate and periodically monitor significant investments, set hurdle rates that exceed the cost of capital and reflect the characteristics and risks of each investment project, and strengthen investment governance by determining whether proposals should be submitted to the management meeting with the involvement of the CFO, the head of the Corporate Planning Department and others.」
Regarding measures to address PBR below 1x and enhance capital allocation, the company specified an operating framework comprising the Investment Evaluation Committee, hurdle rates exceeding the cost of capital, and project reviews. - FY2026-H1AdvancedAnnual report
「The Company will acquire treasury shares to strengthen shareholder returns and improve capital efficiency as part of the capital policy under its medium-term management plan.」
As measures to improve capital efficiency and strengthen shareholder returns, the company moved share repurchases into the execution phase. For the interim period, it also disclosed the repurchases made under a plan to acquire up to 1,000,000 shares for a total of ¥1.5 billion. - FY2025AdvancedAnnual report
「The Company will enhance investment governance by setting hurdle rates (profitability criteria), including the cost of capital, according to the characteristics and risks of each investment project, and having the Investment Evaluation Committee determine whether to submit proposals to the Management Committee, with the participation of the CEO, CFO, head of the Corporate Planning Department and others.」
Regarding measures to address PBR below 1x and enhance capital allocation, the company specified a hurdle rate including the cost of capital and project reviews by the Investment Evaluation Committee. It has also begun internal management using KGI and KPI metrics. - FY2025-H1AdvancedAnnual report
「The Company will acquire treasury shares to strengthen shareholder returns and improve capital efficiency as part of the capital policy under its medium-term management plan.」
In line with the direction for capital allocation and improved capital efficiency set out in DTP2027, the Company resolved to implement the specific capital policy of acquiring and cancelling treasury shares. - FY2024First statedAnnual report
「In response, under the new DTP2027 medium-term management plan, our Group appointed as CFO an individual with experience in the financial industries in Japan and the United States and a master’s degree from a US university. It also consolidated the Finance Department, Corporate Planning Department and DX Promotion Department under the CFO, formulated an investment decision-making framework that takes the cost of capital into account and plans to strengthen dialogue with investors in Japan and overseas.」
As a response to the continuing PBR below 1x, the Company disclosed the appointment of a CFO, consolidation of the finance, corporate planning and DX functions, investment decisions that take the cost of capital into account and strengthened investor dialogue as new measures.