Medium and Long Term Management Policy
Positioning of the Medium-Term Management Plan
The Sodick Group has formulated its medium-term management plan “Grow Forward 2029” to realize its vision.
This plan is positioned as a four-year transformation period through FY2029, during which the Group will transition from a defensive to a more proactive, growth-oriented management approach.
By strengthening the profitability of its core businesses, the Group aims to establish a solid foundation for sustainable growth.
Slogan for the Medium-Term Management Plan
Under the slogan “Represented × Redesigned × Reignited,” the Group will enhance its competitiveness through the evolution of its technology, organization, and human capital.
Through these initiatives, the Group will promote its transformation into a global company capable of achieving sustainable growth over the next 50 years.
Management Policy and Key Objectives
The plan promotes management reform based on three key pillars:
Business Strategies, Strengthening the Business Administration, and Financial Strategies.
By addressing customer challenges as a starting point, the Group aims to establish a clear competitive advantage and achieve sustainable growth.
Key Financial Targets
Key Metrics by Segment
Machine Tools
Shift to a solution model centered on high-precision machining, integrating processes, operations, and the environment
Industrial Machinery
Shift to a high-profit structure through focus on high-precision niches and solution expansion
Food Machinery
Establish a growth foundation through new market development and global expansion
Others
Accelerate growth through the creation of high-value-added products and expansion into new markets
Capital Allocation
The Group’s basic approach is to generate cash flow through business growth and allocate it appropriately to both growth investments and shareholder returns.
Under this plan, the Group aims to achieve both sustainable growth and enhanced shareholder returns, thereby maximizing corporate value.
- Generate ¥50.0 billion in operating cash flow through improved business performance
- Allocate ¥20.0 billion to strategic investments (including ¥10.0 billion funded by AP) to drive business growth
- Allocate ¥16.5 billion to shareholder returns
- While achieving business growth and maintaining an appropriate cash balance, interest-bearing debt will be utilized as needed
Shareholder Returns
The Company’s basic policy is to conduct stable and continuous dividend payments while securing the internal reserves necessary for future business expansion and the strengthening of our management structure.
For FY2026, the Company expects to pay a total dividend of ¥35 per share, including a commemorative dividend for the 50th anniversary. From FY2027 onward, the Company will position ¥35 per share as the baseline dividend level and will implement progressive dividends that will not fall below this level.
Furthermore, for the four-year period from FY2026 through FY2029, the Company will target a total shareholder return ratio of 70% or more, calculated as the aggregate amount of dividends and share repurchases divided by the total net income for the corresponding period, thereby implementing an active shareholder return policy.
Dividends per share(¥)
*Note: FY2026 commemorative dividend to be incorporated into the base dividend from FY2027.
Shareholder returns trend
For further details on the medium-term management plan “Grow Forward 2029,” please refer to the following materials.