Worth reading
45Recurring
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Mixed performance
Direction inferred from the company’s description.Scale
—
Displayed only when the document provides numerical figures.Wording
Conditional
How definitive the wording is.Items stated in the management plan
Partially revisedROE+1.0pt
基準 2,026Target2,027％
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).
Investment amount by sectorField Growth Investment / Amount Not disclosed, Field Capital Expenditure / Amount Not disclosed
Statements about the use of capital
Payout ratio / DOE policyTotal payout ratio of 40% or more. Began specific consideration of raising the target level for shareholder returns.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 policyAcquisition and cancellation of treasury shares, with an upper limit of ¥10 billion. Approved by the Board of Directors at its meeting held on 23 October 2026.
Cost of capitalThe cost of equity is recognized at approximately 6% to 7%. Previously, WACC was recognized at approximately the high-4% to mid-5% range.The cost of capital is the minimum rate of return expected by shareholders and banks from the company.
Self-assessment of PBR and share pricePBR is currently around 1.0x, while it remained below 1.0x for the past several years. It was 0.92x at the end of the fiscal year ending March 2026.PBR is a measure of how many times the share price is the book value per share.
Key initiatives
01Strengthening profitability and growth potential
02Establishing a framework for rigorous evaluation and verification of business investments
03Enhancing shareholder returns and capital allocation
Plan assumptionsReview the cost of capital periodically in light of changes in market conditions, including interest rate trends., The cost of capital calculated using CAPM is approximately in the mid-5% range., The market's expected return, as identified through dialogue with shareholders and investors, is at a level exceeding the CAPM-based figure.
Non-financial targetsIndicator name Meetings with overseas investors / Target value Meetings with 10-plus companies / Timing Second half of FY2026
Reason for revision or withdrawal
The company reanalyzed and reassessed its current position in light of the continued PBR level of around 1.0x, and reviewed its recognition of the cost of capital based on the market's expected return identified through dialogue with shareholders and investors. It also took into account the difference between the CAPM-based figure and the market's expected return resulting from the impact of rising interest rates.
| Item | Details |
|---|---|
| Plan name | Next Management Vision |
| Progress against the plan | Partially revised |
| ROE target | Fiscal year ending March 2026: 6.7% (actual) → A level that consistently exceeds the cost of capital. ROE is expected to exceed 8% in the fiscal year ending March 2027. |
| Payout ratio / DOE policy | Total payout ratio of 40% or more. Began specific consideration of raising the target level for shareholder returns. |
| Treasury share acquisition policy | Acquisition and cancellation of treasury shares, with an upper limit of ¥10 billion. Approved by the Board of Directors at its meeting held on 23 October 2026. |
| Cost of capital | The cost of equity is recognized at approximately 6% to 7%. Previously, WACC was recognized at approximately the high-4% to mid-5% range. |
| Self-assessment of PBR and share price | PBR is currently around 1.0x, while it remained below 1.0x for the past several years. It was 0.92x at the end of the fiscal year ending March 2026. |
| Investment amount by sector | Field Growth Investment / Amount Not disclosed, Field Capital Expenditure / Amount Not disclosed |
| Non-financial targets | Indicator name Meetings with overseas investors / Target value Meetings with 10-plus companies / Timing Second half of FY2026 |
| Plan assumptions | Review the cost of capital periodically in light of changes in market conditions, including interest rate trends., The cost of capital calculated using CAPM is approximately in the mid-5% range., The market's expected return, as identified through dialogue with shareholders and investors, is at a level exceeding the CAPM-based figure. |
| Key initiatives | Strengthening profitability and growth potential, Establishing a framework for rigorous evaluation and verification of business investments, Enhancing shareholder returns and capital allocation |
| Reason for revision or withdrawal | The company reanalyzed and reassessed its current position in light of the continued PBR level of around 1.0x, and reviewed its recognition of the cost of capital based on the market's expected return identified through dialogue with shareholders and investors. It also took into account the difference between the CAPM-based figure and the market's expected return resulting from the impact of rising interest rates. |
| Date of board resolution | 5 November 2026 |
| Publication date | 5 November 2026 |
Items this document does not state (11)
Plan periodSales TargetOperating profit targetOperating profit margin targetNet income targetROIC targetTotal investment planSegment targetResults under the previous planSize of the Target MarketRisks identified
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 addition to the continued PBR level of around 1.0x, the company reviewed its recognition of the cost of capital based on the fact that the market's expected return, as identified through dialogue with shareholders and investors, exceeds the cost of capital calculated using CAPM.
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.