Shin-Etsu Chemical Co., Ltd.
4063・Prime Market・Chemicals
Governance
The company employs a corporate auditor system, comprising 9 directors (5 outside) and 5 corporate auditors (3 outside). An Executive Compensation Committee chaired by an outside director handles compensation review and nomination deliberations, and all directors attended all 13 Board of Directors meetings, reflecting an effective oversight structure.
Risk Management
The Risk Management Committee, chaired by the President, works in cooperation with cross-divisional teams to manage business risks—including climate change risk—on a cross-organizational basis. A system has been established to report important matters to the Board of Directors, the Executive Committee, and the Board of Corporate Auditors in a timely manner.
Shareholder Returns
Stable dividends are paid with a mid-to-long-term target payout ratio of around 40%. The annual dividend for FY2026 (ending March 2026) is ¥106 per share (unchanged from the previous period), with a payout ratio of 41.9%. In April 2025, a share buyback with an upper limit of 200 million shares / ¥499,999 million was announced, and a total of 105,193,300 shares were acquired during the period. At the time of the earnings announcement, a new share buyback of ¥250.0 billion was announced.
Dividend Policy
The basic policy is to strive to expand business profits with financial discipline and to appropriately and stably return the results to shareholders. The company aims for stable dividends with a mid-to-long-term target payout ratio of around 40%. Dividends are paid twice a year, as an interim dividend and a year-end dividend. Share buybacks are conducted flexibly in light of stock price levels and other circumstances.
ESG
The company has set a carbon neutrality target for 2050 (net zero Scope 1 and Scope 2 emissions), disclosing Scope 1 emissions of 2,318 thousand CO2-t and Scope 2 emissions of 4,501 thousand CO2-t for fiscal 2025. On the human capital front, initiatives include developing "T-shaped talent," a male employee childcare leave uptake rate of 88.1%, and a female manager ratio of 12.3% (target: 30%), among other diversity promotion efforts.
Last updated: June 19, 2026