Dividend Policy / Return to Shareholders |
According to its Articles of Incorporation, the Company is authorized to set an interim dividend with a record date of September 30 by resolution of the Board of Directors. Our basic policy on dividends is to distribute surpluses twice annually in the form of interim and final dividends. Decisions concerning the distribution of surpluses are made by the general meeting of shareholders, in the case of the final dividend, and by the Board of Directors, in the case of the interim dividend.
At a meeting held on February 17, 2006, the Board of Directors adopted a performance-linked dividend policy with the aim of giving clearer priority to shareholder returns. At its meeting on February 23, 2011, the Board of Directors adopted a dividend policy designed to provide closer real-time linkage to financial performance. This new policy will be applied from the year ending March 2012.
Hitherto, our target dividend payout ratio has been 20% of consolidated yearly net income. This target has now been changed to 20% of consolidated half-yearly income for each of the interim and final dividends.
| Note: |
The total amount of the interim dividend will consist of 20% of consolidated net income for the first half of the year (April–September), and that of the final dividend, of 20% of consolidated net income for the second half of the year (October–March). |
Irrespective of the level of income, we will maintain a reliable dividend of ¥10 per half-year. This means that the minimum yearly dividend will be ¥20.
Except when there is a loss, if the year-end balance of cash and deposits after payment of dividends and income taxes is greater than projected funding requirements for the acquisition of technology resources (such as through patent purchases and investment in venture businesses, facility expansion, the retirement of interest-bearing debt and other purposes), one-third of that surplus will be added to dividends. The 20% payout ratio stipulated in our stable dividend policy may be reviewed if there are consolidated net losses in three consecutive years.
If the four-year cumulative consolidated ratio of ordinary income to net sales is higher than 20%, a dividend payout ratio of 24% of consolidated net income will be applied. Any difference over the interim dividend will be distributed with the final dividend.
|
(Yen) |
|
|
| |
Annual |
Interim |
Year-end |
Special/memorial |
| FY2010 |
65 |
25 |
40 |
- |
| FY2009 |
20 |
10 |
10 |
- |
| FY2008 |
20 |
10 |
10 |
- |
| FY2007 |
79 |
35 |
44 |
- |
| FY2006 |
75 |
30 |
35 |
10 |
| FY2005 |
50 |
15 |
35 |
- |
| FY2004 |
40 |
15 |
15 |
10 |
| FY2003 |
30 |
15 |
15 |
- |
| FY2002 |
20 |
10 |
10 |
- |
| FY2001 |
20 |
10 |
10 |
- |
| FY2000 |
40 |
15 |
15 |
10 |
| FY1999 |
20 |
10 |
10 |
- |
|
|
|
|
|
