Dividend policy
Based on our basic policy of returning profits to shareholders in proportion to our revenue, we have continued to pay stable dividends while comprehensively taking into consideration our business performance and the internal reserves necessary for future business development and the strengthening of our management base, etc. However, in light of the demands of the capital market, we have made the following revisions starting from the 53rd term. However, in consideration of the demands of the capital market, the following revisions have been made starting from the 53rd fiscal year.
- As a prime market listed company, actively engage in a certain level of shareholder return that is not greatly influenced by immediate business performance
- Adopt a dividend policy with a minimum DOE (Dividend on Equity Ratio) of 5% in addition to the payout ratio
We believe that we have accumulated sufficient internal reserves to strengthen our management base. In addition, we intend to continue our medium- to long-term growth path.
The Company's basic policy is to pay Dividends of surplus twice a year, an interim dividend and a year-end dividend. The decision-making body for Dividends of surplus, etc. is the Board of Directors, as the Company's Articles of Incorporation stipulate that "the matters stipulated in each item of Article 459, Paragraph 1 of the Companies Act shall be decided by a resolution of the Board of Directors, not by a resolution of the General Meeting of Shareholders, except as otherwise provided by laws and ordinances. The Company's Articles of Incorporation stipulate that the Board of Directors is the decision-making body for the Company's surplus funds, dividends, and other items.
The annual dividend for the fiscal year ending March 31, 2025 is expected to be 126 yen per share, following the adoption of DOE.
Regarding the use of retained earnings, we intend to invest in growth, such as entering new business fields and expanding existing businesses. We will also consider returning profits to shareholders through the flexible Purchase of treasury shares.
The Company's Articles of Incorporation stipulate that the Company may pay interim dividends.