K&O Energy Group Inc.
1663・Prime Market・Mining
Governance
A company with a Board of Corporate Auditors system. The Board of Directors consists of 9 directors (including 5 outside directors and 4 independent officers), and the Board of Corporate Auditors consists of 4 corporate auditors (including 2 outside corporate auditors). A Nomination Committee and a Compensation Committee, each composed of independent outside directors and the President and Executive Officer, have been established to ensure objectivity and transparency in officer nominations and compensation decisions. The Board of Directors met 14 times during the fiscal year under review, with all members attending all meetings or all meetings since their respective appointments.
Risk Management
Under the Basic Policy on the Development of Systems to Ensure Appropriate Business Operations established by the Board of Directors, the company thoroughly promotes information gathering and communication through the Management Committee and the Group Management Executive Committee. It identifies, evaluates, and analyzes risks across its overall business operations, reflecting them in the medium-term management plan, while also establishing a group-wide safety system to prepare for safety risks such as large-scale earthquakes, as befits a lifeline services provider. The company has established a Compliance Committee and a Sustainability Committee to promote legal compliance and address sustainability issues.
Shareholder Returns
For FY2026 (ending December 2026), the company forecasts an annual dividend of ¥60 per share (pre-split basis). A 1-for-2 stock split is planned effective July 1, 2026. The second-quarter-end dividend is ¥30 (pre-split) and the year-end dividend is ¥15 (post-split). Actual results for FY2025 (ended December 2025) were an annual dividend of ¥54 (interim ¥24 + year-end ¥30).
Dividend Policy
The basic policy is to enhance shareholder returns through continuous and stable dividends, taking into comprehensive account medium- to long-term consolidated business results and free cash flow, among other factors. Under the Medium-Term Management Plan 2027, a "progressive dividend" policy has been introduced, with a shareholder return target of "DOE (dividend on equity ratio) of 1.5%" set for the final year of the plan. Dividends are paid in principle twice a year (interim and year-end). Actual results for FY2025 (ended December 2025) were an annual dividend of ¥54 per share (interim ¥24 + year-end ¥30). For FY2026 (ending December 2026), a stock split at a ratio of 2 shares for every 1 common share is planned to take effect on July 1, 2026, and the company forecasts a second-quarter-end dividend of ¥30 (pre-split) and a year-end dividend of ¥15 (post-split). On a pre-split basis, the forecasted annual dividend is ¥60 per share.
ESG
Materiality items identified include "contribution to climate change countermeasures" and "conservation of the natural environment." The company is promoting warming mitigation through stable supply of clean natural gas produced in Chiba Prefecture, geothermal and renewable energy development (targeting ¥10.0–15.0 billion in renewable energy investment by 2030), and carbon-neutrality measures such as CCS, forest conservation, and methanation. Regarding human capital, the company has set a target of raising the proportion of female hires to 30% or more (FY2027 target; FY2025 actual: 12.0%), and is promoting diverse talent utilization and investment in employee education. The Sustainability Committee examines and proposes policies across the group.
Last updated: March 27, 2026