Source disclosure: February 20, 2026
Showa Sangyo Co.,Ltd. [2004.T]
TOKYO, Feb 20 (Pulse News Wire) -- Showa Sangyo Co., Ltd. (2004.T), led by President and CEO Eigo Tsukikoshi, announced significant changes to its corporate philosophy, long-term vision, and dividend policy during a board meeting held on February 20, 2026. The company unveiled its new long-term vision, titled “SHOWA VISION 2035,” which aims to expand the potential of grains across all sectors by 2035. Additionally, it introduced a four-year mid-term business plan named “Mid-Term Business Plan 26-29.”
The revised corporate philosophy emphasizes expanding value from individual possibilities to create daily happiness together. This shift reflects the changing environment surrounding the company and its commitment to sustainable growth and increased corporate value. Showa Sangyo's origins lie in grains and people’s infinite potential, and the company will align itself with societal needs while fostering future happiness.
Under the new long-term vision, Showa Sangyo set quantitative key performance indicators (KPIs). By 2035, the company targets a Return on Equity (ROE) of over 9.0%, a Return on Invested Capital (ROIC) of more than 8.0%, and operating income exceeding ¥20 billion. These KPIs aim to guide the company towards achieving its strategic goals over the next decade.
In conjunction with this long-term vision, Showa Sangyo has formulated the Mid-Term Business Plan 26-29, focusing on strengthening revenue structures through high-value-added products in core fields, cost reduction, and enhancing cross-sector business foundations. The plan also includes an intensified push into growth areas such as overseas expansion and new industries. For the period ending March 2029, Showa Sangyo projects an ROE increase from 6.8% to 8.0%, an ROIC rise from 4.7% to 6.0%, and a jump in operating income from ¥110 billion to ¥140 billion.
Regarding dividends, Showa Sangyo is now prioritizing shareholder returns as a critical aspect of its operations. Starting from the fiscal year ending March 2027, the company will adopt a higher payout ratio of either 40% earnings per share or a Dividend Outflow Efficiency (DOE) rate of 3.0%, whichever is greater, subject to investment progress and funding conditions. This change underscores the company's dedication to long-term stable dividend payments and improved capital efficiency, aiming to enhance shareholder value continuously.
These strategic shifts reflect Showa Sangyo's ongoing efforts to adapt to evolving market dynamics and strengthen its competitive position globally, ensuring sustained growth and profitability well into the future.
AI-translated content. 🟡 Confidence: Standard See terms • Original filing