Improving Consolidated ROE
First written in FY2017. 3 of 10 entries say "Achieved", first in FY2021. Latest entry: FY2026.
The whole theme swung hardest in 2020: 27 of 113 companies on the "Worse" side.
- FY2026AchievedAnnual report
「For the fiscal year under review, ROE was 9.2%, compared with a cost of capital of 8.9%.」
ROE of 9.2% exceeded the cost of capital of 8.9%, achieving the previous objective of exceeding the cost of capital. It also exceeded the 8% ROE target. - 2026-04-24AchievedEarnings
「Return on equity Fiscal year ending March 2026 9.2 Fiscal year ended March 2025 8.4」
Consolidated ROE rose from 8.4% to 9.2%, exceeding the 8% ROE target set in the medium-term business plan presented for FY2025. - FY2025ROE target of 8% explicitly statedAnnual report
「While steadily executing the medium-term business plan, we will strengthen our Group’s unique business model and work to improve earnings power, with the goal of achieving ROE of 8%.」
In addition to the previous objective of achieving ROE and ROIC above the cost of capital, the Company has explicitly stated an ROE target of 8% under its medium-term business plan for 2024 through 2026. ROE for the fiscal year under review was 8.4%, below the cost of capital of 8.6%. - FY2023ROIC below the cost of capitalAnnual report
「For the fiscal year under review, the Group's cost of capital comprised a cost of equity of 2.3% and a weighted average cost of capital of 1.9%. The Group aims for ROE and ROIC to exceed its cost of capital. For the fiscal year under review, ROE was 2.5% and ROIC was negative 0.5%.」
ROE of 2.5% exceeded the cost of equity of 2.3%, while ROIC was negative 0.5%, below the weighted average cost of capital of 1.9%. - FY2022ROIC shortfall against target explicitly statedAnnual report
「For the fiscal year under review, ROE was 4.6% and ROIC was 1.6%, with ROIC below target.」
Although ROE of 4.6% exceeded the cost of equity of 3.3%, ROIC of 1.6% was below WACC of 2.7%, marking a change from achieving both targets in the previous fiscal year to falling short on ROIC. - FY2021AchievedAnnual report
「For the fiscal year ended March 2021, ROE was 7.0% and ROIC was 4.7%, exceeding the cost of capital.」
ROE of 7.0% and ROIC of 4.7% exceeded the cost of equity of approximately 4.1% and WACC of approximately 3.4%, respectively, marking a shift from failing to meet the targets in the previous fiscal year to achieving them. - FY2020Shortfall against target explicitly statedAnnual report
「The Group's cost of capital comprises a cost of equity of approximately 5.3% and a weighted average cost of capital of approximately 4.4%. The Group aims for the Company's return on equity (ROE) and return on invested capital (ROIC) to exceed its cost of capital. For the fiscal year ended March 2020, ROE was negative 1.3% and ROIC was negative 1.5%, below the targets.」
The stated cost of capital increased from approximately 3.8% and 3.1% in the previous fiscal year to approximately 5.3% and 4.4%, respectively, and the Company disclosed for the first time that ROE of negative 1.3% and ROIC of negative 1.5% were below target. - FY2019ReframedAnnual report
「The Group's cost of capital comprises a cost of equity of approximately 3.8% and a weighted average cost of capital of approximately 3.1%. The Group aims for the Company's return on equity (ROE) and return on invested capital (ROIC) to exceed its cost of capital.」
The previous objective of improving consolidated ROE has been made more specific as a capital-efficiency objective of achieving ROE and ROIC above the cost of equity and weighted average cost of capital. - FY2018RestatedAnnual report
「The Group's basic management policy is to pursue stable, sustainable growth by diversifying its earnings structure and pursuing new earnings opportunities that accurately reflect changes in the business environment. We will continue working to improve our performance and raise consolidated ROE (return on equity) amid the changing business environment.」
The Company has reaffirmed its objective of raising consolidated ROE through diversification of its earnings structure and initiatives in new earnings fields. No specific ROE target or deadline has been provided. - FY2017First statedAnnual report
「The Group's basic management policy is to pursue stable, sustainable growth by diversifying its earnings structure and pursuing new earnings opportunities that accurately reflect changes in the business environment. We will continue working to improve our performance and raise consolidated ROE (return on equity) amid the changing business environment.」
As a target management metric, the Company has for the first time stated independently its policy of raising consolidated ROE through diversification of its earnings structure and initiatives in new earnings fields, without specifying a numerical target.