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TOMEN DEVICES surges in afternoon trading on plans for significant dividend increase and profit growth
TOMEN DEVICES CORPORATION <2737> surged in afternoon trading on the 24th. The company disclosed its earnings forecast for the fiscal year ending March 2027 at 1:00 p.m. on the 24th, alongside the announcement of its consolidated financial results for the fiscal year ended March 2026. TOMEN DEVICES projects sales of 750.0 billion yen for the current fiscal year, up 18.4% from the previous year, and net profit of 11.0 billion yen, up 9.8%. The company set its annual dividend forecast at 600 yen, an increase of 60 yen from the previous year. The stock appears to have been positively received due to the significant dividend increase plan and the forecast for net profit to reach a record high for the second consecutive year.
In the memory segment, sales are expected to expand for servers, storage, and automotive applications. However, the company noted that uncertainty remains due to tight supply conditions. Under its three-year medium-term management plan starting this fiscal year, TOMEN DEVICES targets net profit of 13.0 billion yen. Regarding shareholder returns, the company set a dividend floor of 300 yen and established a target dividend payout ratio of 40% for the fiscal year ending March 2029.
For the fiscal year ended March 2026, sales increased 50.3% year-on-year to 633.668 billion yen, and net profit rose 79.2% to 10.015 billion yen.
Source: MINKABU PRESS
*Translated by generative AI. Click here for the original article.
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