（執筆：フィスコ客員アナリスト 岡本 弘）Shareholder return strategy: No. 1<3562> changed its shareholder return policy along with the publication of the new mid-term management plan "Evolution 2027" and showed the direction of significantly strengthening shareholder return. So far, we have aimed for stable dividends (30% dividend payout ratio as a guide), but in the future, we plan to implement stable and continuous shareholder dividends based on a policy of aiming for a 30% dividend payout ratio, regardless of changes in annual performance. A notable feature is that we have set a minimum dividend of the previous year's annual dividend per share and will continue to increase dividends, which is a significant enhancement of shareholder return and can also be evaluated as a expression of confidence in profit growth. Moreover, we have a policy of "flexibly implementing under financial discipline" for acquiring our own shares, showing a more proactive stance.* *Considering the gap between our own perception of the stock price and the market evaluation, ROE, capital efficiency, and CF level, we have a policy of implementing it flexibly. Dividends for the fiscal year ending February 2024 will increase by 1 yen from the previous year, as expected at the beginning of the period, to 33 yen per share (mid-term dividend of 16.5 yen and year-end dividend of 16.5 yen). We also acquired 340,000 shares of our own stock (with a purchase price of 397 million yen). Despite the anticipated decline in profits for the fiscal year ending February 2025, we are expected to follow the policy of increasing dividends every period and issue a dividend of 1 yen per share (a commemorative dividend for the 35th anniversary of our founding), with an expected increase of 2 yen from the previous year to 35 yen per share (mid-term dividend of 17.5 yen and year-end dividend of 17.5 yen).
On September 13, 2023, Todaisei Co., Ltd. <4100> determined that shareholders should not take risks in order to ensure that they can hold and trade the company's shares with greater peace of mind, and chose to transition from the Prime market to the Standard market based on the progress report (revised) and selection application and compliance status for maintaining the listing standards on the Prime market. There is no change to the plan to increase enterprise value through the promotion of the medium-term management plan.
Since paying a dividend of 40 yen in the fiscal year ending March 2019, the company has continued to have no dividend due to poor performance. The company expects to continue to have no dividend in the fiscal year ending March 2025, as the level of the projected turnaround to profit is low. The company is aiming to secure the necessary retained earnings for future business development and management strengthening while aiming for an early resumption of dividends, but it will still take some time for the dividends to resume for the time being.
(Written by FISCO Guest Analyst Hiroshi Okamoto)
