Source disclosure: February 09, 2026
Sumitomo Metal Mining Co.,Ltd. [5713.T]
TOKYO, Feb 9 (Pulse News Wire) -- Sumitomo Metal Mining Co., Ltd. (5713.T), led by President Shunhiro Matsubara, announced changes to its basic financial strategy and shareholder return policy as well as revisions to its dividend forecast for the fiscal year ending March 2026. The company's board of directors made these decisions during a meeting held on February 9th.
The revised financial strategy aims to maintain a consolidated equity ratio exceeding 50%, while also positioning an appropriate level at 55% to promote capital-efficient management. Sumitomo Metal Mining plans to strengthen shareholder returns and target a consolidated equity ratio of 58% by March 2028. Previously, the company had aimed to keep the consolidated equity ratio above 50%.
Regarding the shareholder return policy, the company will continue to prioritize dividends based on a principle of a minimum payout ratio of 35%. However, when the consolidated equity ratio exceeds the targeted 55%, the lower limit indicator will be adjusted to 3.5% Dividend Outflow Ratio (DOE). Additionally, the company will implement more flexible share buybacks based on its performance and financial condition, considering investment opportunities and capital levels comprehensively.
Sumitomo Metal Mining also updated its dividend forecast for the current fiscal year. The new interim dividend per share is set at ¥118, marking a ¥52 increase from the previous estimate of ¥66. The final dividend remains unchanged at ¥183 per share, resulting in a total annual dividend of ¥183. This compares to the previous guidance of ¥131 per share, bringing the overall dividend up to ¥183 from the earlier projection of ¥131. For reference, the actual dividends paid out in the fiscal year ended March 2025 were ¥104 per share, comprising ¥49 for the interim dividend and ¥55 for the final dividend.
These adjustments reflect the company’s commitment to optimizing capital structure and enhancing capital efficiency, aligning with its broader strategic goals. The revised policies will take effect starting from the fiscal year beginning April 2026. Investors should note that the dividend forecasts provided are based on currently available information and may vary due to future uncertainties.
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