Mid-Term Management Plan for FY2026-28: Roadmap to Achieve Mid- and Long-Term Vision and Enhancing Corporate Value, May 13, 2026

Overview of the Mid-Term Management Plan

Sumitomo Osaka Cement has formulated a Mid-Term Management Plan for FY2026-28. The plan targets an operating profit of 27 billion yen, sales of 255.5 billion yen, ROE above 9%, and ROIC above 6%. The dividend minimum is set at 120 yen, with a goal of maintaining a total shareholder return ratio of over 50% on average over three years. The company will promote transformation of its business portfolio, aiming to stabilize earnings from existing businesses while expanding growth areas and launching new ventures. The company aims to balance revenue contributions equally between the cement business and non-cement businesses.

Shareholder Returns and Financial Strategy

Regarding shareholder return, the company will continue to aim for a total shareholder return ratio of over 50% on average over three years, with a set minimum dividend of 120 yen. The company plans to implement shareholder returns flexibly through share buybacks alongside dividends. Although the recovery of sales of semiconductor manufacturing equipment parts may result in lower-than-planned operating cash flows, investments in facilities and overseas projects will proceed as planned. Investments related to carbon neutrality and maintenance updates will also generally stay on schedule.