The Company determines the distribution of surplus, including dividends, by resolution of the Board of Directors in accordance with its Articles of Incorporation. In addition, based on the recognition that returning profits to shareholders is one of the most important management objectives, the Company’s policy is to determine profit allocation through a comprehensive assessment of various factors, including earnings for the period, internal reserves, and overall financial condition.
During the period of the Medium-term Management Strategy covering fiscal years ending March 2027 through 2029, the Company will place emphasis on maintaining stable dividends and will pay dividends with a target DOE of 2.5%. The repurchase of treasury shares will continue to be considered in a flexible manner, taking into account cash flow conditions, share price levels, and financial discipline.