NIPPON RIETEC CO.,LTD. [1938.T]
TOKYO, May 18 (Pulse News Wire) – Nippon Rietec CO.,LTD. (1938.T) updated its strategy aimed at enhancing capital efficiency and share price awareness during a board meeting held.
The company acknowledged improvements in various metrics but noted ongoing challenges in meeting shareholder expectations. In the past year, NIPPON RIETEC reported revenue of ¥77.5 billion and operating profit of ¥65 billion. Despite progress in key performance indicators such as return on equity (ROE) and price-to-book ratio (PBR), the company recognizes that further improvement is necessary to reach desired levels. Specifically, while ROE exceeded the cost of capital, it remains below target, and the PBR of 1.03 times falls short of the prime listing average of 1.5.
To address these issues, NIPPON RIETEC plans to intensify efforts towards its four strategic initiatives outlined in its mid-term plan for fiscal 2027. Key actions include securing large-scale contracts, expanding into new fields, strengthening construction capabilities, and improving productivity through technological advancements and digital transformation. Additionally, the company aims to enhance investor relations activities and strengthen dividend payouts to improve stock liquidity and shareholder returns. Going forward, NIPPON RIETEC will continue to focus on solving existing challenges to meet shareholder expectations and maintain competitiveness in the market.
🔴 Confidence: Review recommended AI-translated content.