Notice Regarding Update to Medium-Term Management Plan

Outlook for Fiscal Year Ending March 2026 Performance and Medium-Term Management Plan

Structural reforms in the energy business are being carried out to minimize risks, while the real estate business is progressing as initially planned, with operating income expected to reach a record high. DOE (Dividend on Equity) is newly introduced and the dividend level will be maintained. The business plan from the fiscal year ending March 2027 onward remains unchanged.

Redefinition of Growth Strategy and Update to Management Structure

Aiming for a steady transition to Phase 3, capital allocation to growth businesses and business strategy renewal are being implemented. This includes active investment in newly built detached housing sales and renovation resale businesses, optimization of the business portfolio in response to environmental changes, and restructuring of capital allocation. Through group reorganization, Leben Home Build and Leben Zestock will be made wholly owned subsidiaries, strengthening capital and governance.

Fundamental Strengthening of Shareholder Return Measures

A total return of approximately 4 billion yen is planned for the fiscal year ending March 2027. By reviewing the ratio of annual dividends, smoothing interim and year-end dividends will be implemented, and DOE of 3.5% will be introduced as a new dividend benchmark. This improves the predictability of shareholder returns and establishes a sustainable return model.

Strengthening ESG and Non-Financial Strategies

Key initiatives include addressing climate change, promoting renewable energy, enhancing employee health and diversity, and strengthening risk management, promoting ESG management linked with corporate strategy. Emphasis is also placed on strengthening and optimizing human capital allocation.