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).
CRI Middleware <3698> believes that expanding business and enhancing corporate value is the greatest benefit for Shareholders. Regarding the payment of dividends from surplus funds, the policy is to determine the amount while comprehensively considering the balance between growth investments and shareholder returns, using a consolidated dividend payout ratio of 30% as a guideline. Additionally, based on the provisions of Article 459, Paragraph 1 of the Company Act, unless otherwise stipulated by laws and regulations, dividends of surplus funds can be distributed by a resolution of the Board of Directors, with the record date for year-end dividends set as September 30 each year and for interim dividends as March 31 each year, as stipulated in the articles of incorporation. Based on the above policy and performance, the dividend per share for the period ending September 2024 is set to increase by 5.0 yen from the initial estimate to 20.0 yen per share. The dividend per share for the period ending September 2025 is expected to be 20.0 yen.
(Author: FISCO guest analyst Nobumitsu Miyata)
