Items stated in the management plan
Partially revisedEach 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).
In light of progress in recent years in building a foundation for repeatable growth through improved earnings power and rigorous capital discipline, as well as the expectation that the adoption of IFRS will enable the Company to disclose profit levels that more accurately reflect underlying business conditions going forward, we determined that it was appropriate to review once again the shareholder return policy and capital efficiency targets.
| Item | Details |
|---|---|
| Progress against the plan | Partially revised |
| ROE target | 25% or higher → At least 30% |
| Payout ratio / DOE policy | Before the change, the policy was to provide stable and consistent dividends based on a payout ratio of approximately 40% to 50%. Following the change, the basic policy is to provide progressive dividends, with the previous fiscal year's annual dividend serving as the floor, while continuing to pay stable and consistent dividends. Applicable from the fiscal year ending March 2027. |
| Treasury share acquisition policy | Regarding surplus funds retained over the long term, we will flexibly consider whether to repurchase shares based on market conditions and our financial position, taking into account shareholder returns, consideration for M&A transactions, talent acquisition and employee incentives, among other factors, and return the funds to shareholders. |
| Plan assumptions | We aim to adopt IFRS in the fiscal year ending March 2028, with the fiscal years ending March 2026 and March 2027 serving as the preparation period. |
| Key initiatives | Investment strategy, including M&A, based on the use of financial leverage, Strengthening the foundation for repeatable earnings, Rigorous capital discipline |
| Reason for revision or withdrawal | In light of progress in recent years in building a foundation for repeatable growth through improved earnings power and rigorous capital discipline, as well as the expectation that the adoption of IFRS will enable the Company to disclose profit levels that more accurately reflect underlying business conditions going forward, we determined that it was appropriate to review once again the shareholder return policy and capital efficiency targets. |
| Date of board resolution | 14 May 2026 |
| Publication date | 14 May 2026 |
Items this document does not state (16)
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.In light of progress in building a foundation for repeatable growth through improved earnings power and rigorous capital discipline, as well as the expectation that the adoption of IFRS will result in the disclosure of profit levels that more accurately reflect underlying business conditions, we determined that it was appropriate to review the shareholder return policy and capital efficiency targets. We will clarify and further strengthen our capital policy in pursuit of higher capital efficiency and sustained growth in corporate value.