#Japan #Tokyo #Financial Growth #Dividend Proposal #information sector

Financial Performance Overview

As of March 2025, the parent company's consolidated financial report highlights significant achievements for the fiscal year. Total revenues reached an impressive ¥979.4 billion, marking a 22.5% increase compared to the previous year. Operating profit soared to ¥135.5 billion, reflecting a remarkable 95% increase. Furthermore, recurring profit and net profit attributable to the parent company's shareholders also surged, recording ¥137.2 billion and ¥91.1 billion respectively, illustrating growth rates of 96.8% and 78.6%.

The total assets at the end of this fiscal year amounted to ¥830.3 billion, showcasing an increase of ¥106.4 billion from the prior year. This uplift was primarily driven by heightened demand in the information and communications business sector. The surge in current assets, particularly accounts receivable and inventory, significantly contributed to this overall growth.

Conversely, liabilities also witnessed an increase of ¥37.7 billion, totaling ¥395.0 billion. This rise correlates with the increased accounts payable, further impacted by the heightened demands in the information communications sector.

Faced with positive net asset growth of ¥68.7 billion which brought total net assets to ¥435.3 billion, the company’s net profit directly attributable to the equity holders served as a major factor behind this financial success.

Forecast for Fiscal Year Ending March 2026

Looking ahead to the fiscal year ending March 2026, the company's forecasts signal a slight decline in financial performance with anticipated revenues of ¥957.0 billion, representing a 2.3% decrease from the previous fiscal year. In terms of profits, operating profit is expected to be ¥122.0 billion (10% reduction), recurring profit at ¥126.0 billion (8.2% decrease), and net profit attributable to parent shareholders projected at ¥90.0 billion (1.2% drop).

Despite potential pressures from foreign exchange rates and U.S. tariff policies, the company is optimistic about continuing growth, particularly in the data center segment which is expected to keep thriving.

For more detailed information, interested parties can consult the official press release linked here.

Dividend Proposal Decision

In a separate yet equally important announcement, the board of directors convened today to propose a final dividend for the fiscal year ending March 2025 during the upcoming shareholders' meeting scheduled for June 27, 2025. The proposed dividend is detailed as follows:

• - Record Date: March 31, 2025
• - Dividend per Share: ¥66.50 (this marks an increase from the previous year's dividend of ¥32.50)
• - Total Dividend Amount: ¥18.381 billion, a significant growth from last year’s ¥8.983 billion
• - Effective Payment Date: June 30, 2025

The proposed payout reflects the company's commitment to maintaining a balance between profit retention and shareholder returns, adhering to a policy aiming for a 30% payout ratio. The total dividend in 2025 is projected to sum up to ¥100 per share, consisting of an interim dividend of ¥33.50 and the proposed final dividend.

The full details regarding the dividend proposal can be found in the press release here.

Stock Market Participation Initiatives

Recognizing the necessity of reducing investment units to facilitate broader investor participation, the company is actively evaluating strategies to lower stock investment units. These measures are seen as crucial for invigorating the stock market and expanding its investor base. However, at this time, no specific actions or timelines for stock splits or similar initiatives have been determined, as they continue to monitor market trends and share price dynamics.

Further updates will be made available through official announcements linked here.