Dividend Policy
The Company’s basic policy is to maintain a sufficient level of shareholders’ equity necessary to ensure the timely
and reliable seizure of business opportunities, with the aim of achieving sustainable growth and increasing the
corporate value of the Group. During the 2022–2024 Medium-Term Management Plan, retained earnings were
allocated to investment for growth, including human resource development and investment, strengthening of
existing business fields, entry into growing and new business fields, and capital and business alliances. Overseas
sales account for a large percentage of consolidated net sales, and revenue may change significantly due to exchange
rates and economic trends. We believe that we should not directly reflect changes in revenue in the distribution of
profits. After careful consideration of the impact of external factors, the Company has taken up a basic dividend
policy of aiming to achieve a dividend payout ratio of 30% or higher in 2024 as an appropriate level of returns
while continuing to pay stable dividends in principle.
The Company’s Articles of Incorporation provide that unless otherwise stipulated, the matters set forth in each item
of Article 459, Paragraph 1 of the Companies Act, such as dividends of surplus, shall be determined by resolution
of the Board of Directors, not by resolution of the general meeting of shareholders. In principle the Company pays
dividends twice each year: interim and year-end dividends.
The basic policy set out in the 2025–2027 Medium-Term Management Plan is to make consistent dividend payments
and flexibly repurchase treasury shares, targeting a total payout ratio of 50% or more.