NICIGAS’ Policy on Return to Shareholders
As of November 30th, 2021
NICIGAS focuses on Return to Shareholders and it is strengthening the returns with the cash generating from the initiative to shift asset to “high profit generating asset” such as LP Gas and ICT from “low profit generating asset” such as cash and head office, in order to enhance return on asset without expanding total asset size. In addition, under the policy of “enhancing return to shareholders without holding unnecessary shareholders’ equity”, NICIGAS has set 45-50% of capital-to-asset ratio as an appropriate level, and will increase dividend per share as well as repurchase of treasury stocks.
For the FYE 03/22, NICIGAS forecasts ¥9.5B of total shareholders return. The breakdown is 1) ¥6.0B of dividend (+¥1.0B YoY) and 2) ¥3.5B(actual result) of repurchase of treasury stocks (While original forecast was ¥4.0B, it completed at ¥3.5B (flat YoY), as the number of stocks reached the maximum). Dividend per share(*) will increase by ¥8.3 (YoY) to ¥50.0. With regards to the balance between dividend amount and that of repurchase of treasury stocks, NICIGAS will focus on dividend, based on the continuous profit growth. Total return ratio is forecasted to be 90% (Original forecast was 100%. The gap is due to upward revision of Net Income forecast from ¥10.0B to ¥10.5B (as of July 29th, 2021), as well as completing the repurchase of treasury stocks at ¥3.5B, not ¥4.0B).
(*) After the stock split (NICIGAS split its ordinary share three-for-one on April 1st, 2021)
Trend of dividend (after stock split)
*Record date for interim dividends is September 30th and that for year-end dividends is March 31st, respectively.