Improving Returns on Capital Through the Business Portfolio Committee and ROIC Evaluation
First written in FY2025. 3 of 4 entries say "Advanced", first in 2026-05-15. Latest entry: FY2026.
The whole theme swung hardest in 2021: 4 of 10 companies on the "Worse" side.
23 other companies' latest entry also says "Advanced".
- FY2026AdvancedAnnual report
「To achieve management with an awareness of the cost of capital and the share price, the Company regularly holds meetings of the Business Portfolio Committee, which it established for this purpose. Based on the results of ROIC evaluations, it has worked to improve the profitability and efficiency of capital for each business and promoted business portfolio management. As a result, return on equity (ROE), a management indicator used to assess progress toward management targets, was 14.7%, up 1.0 percentage point from the previous consolidated fiscal year, due to higher net income. The Company’s cost of equity as of the end of March 2026 was 10.45%, and WACC, calculated based on this figure, was 10.38%.」
The Company continues to operate the Business Portfolio Committee regularly and conduct ROIC evaluations, and disclosed ROE of 14.7%, a cost of equity of 10.45% and WACC of 10.38%. - FY2025First statedAnnual report
「To achieve management that is conscious of the cost of capital and share price, the Company established a Business Portfolio Committee in April 2024. Based on evaluations using ROIC, it has worked to improve the profitability and efficiency of capital by business and promoted business portfolio management.」
The Company established the Business Portfolio Committee and is pursuing improvements in capital profitability and efficiency by business based on ROIC evaluations.