Emphasis on ROE and Operating Margin on Sales
First written in FY2017. 2 of 8 entries say "Reframed", first in FY2024. Latest entry: FY2026.
Daido Metal moved to the "Worse" side of this theme in 2021, 4 years before the typical company in this theme (2025).
The whole theme swung hardest in 2020: 5 of 19 companies on the "Worse" side.
7 other companies' latest entry also says "Advanced".
- FY2026AdvancedAnnual report
「Although higher labor costs and tariff impacts were factors reducing earnings, operating profit increased 18.1% year on year to ¥8,371 million owing to stronger profitability management and progress in appropriate pricing. Operating margin was 5.9%, compared with 5.2% in the previous consolidated fiscal year.」
Operating margin improved from 5.2% to 5.9%, and ROE improved from 3.8% to 5.7%. The company had not yet achieved the new medium-term management plan’s fiscal 2030 targets of an operating margin of at least 10% and ROE of at least 9%. - 2026-05-12Cited as achievedEarnings
「In fiscal 2025, the first year of the medium-term management plan, the core Powertrain business progressed as planned.」
The company cited the core business's progress as planned in the first year of the new medium-term management plan. - FY2025ReframedAnnual report
「Under the new medium-term management plan, the interim targets for fiscal 2027, the 3rd year of the latter 3-year period, are sales of ¥150 billion, operating profit of ¥12 billion, an operating margin of at least 8%, and ROE of at least 8%. We aim to achieve an operating margin of at least 10% and ROE of at least 9% in fiscal 2030, the final year.」
The target framework was reorganized from the previous fiscal 2023 ROE target to operating margin and ROE targets under the new medium-term management plan, with fiscal 2027 and fiscal 2030 as the target years. - FY2024ReframedAnnual report
「Going forward, we will aim to achieve ROE above the cost of equity and are considering incorporating a growth strategy to achieve this into the next medium-term management plan.」
The ROE target changed from the previous numerical target of 9.0% for fiscal 2023 to achieving ROE above the cost of equity and incorporating a growth strategy into the next medium-term management plan. - FY2021SoftenedAnnual report
「For operating margin, we aim to achieve 8.0% in fiscal 2023 by ensuring that the various measures implemented during the first 3 years produce results during the latter 3 years. For ROE, while continuing to pay stable dividends to shareholders and taking the cost of equity into consideration, we aim to achieve 9.0% in fiscal 2023.」
The fiscal 2023 targets were lowered from the previous operating margin target of 10.0% and ROE target of 10.0% to an operating margin target of 8.0% and an ROE target of 9.0%. - FY2020ROE target variance quantifiedAnnual report
「While continuing to pay stable dividends to shareholders, we aim to achieve ROE of 10.0% in fiscal 2023 with due consideration for the cost of equity. We will also pursue further cash flow improvements through more efficient management of working capital and a review of ordinary capital expenditures, among other measures.」
While the fiscal 2023 ROE target of 10.0% was maintained, actual ROE for the current fiscal year was 4.9%, indicating a gap from the target. - FY2018RaisedAnnual report
「While continuing to pay stable dividends to shareholders, we aim to achieve ROE of 10.0% in fiscal 2023 with due consideration for the cost of equity. We will also pursue further cash flow improvements through more efficient management of working capital and a review of ordinary capital expenditures, among other measures.」
The policy of emphasizing ROE and operating margin was translated into a numerical ROE target of 10.0% for fiscal 2023 under the new medium-term management plan and measures to improve cash flow. - FY2017First statedAnnual report
「In formulating management strategies, our group strives to use management resources flexibly and efficiently and places importance on return on equity (ROE), operating margin and other indicators in order to maintain highly profitable and financially sound management.」
ROE and operating margin were explicitly identified independently for the first time as management indicators emphasized to maintain profitability and financial soundness.