KOBAYASHI PHARMACEUTICAL CO.,LTD.
4967・Prime Market・Chemicals
Governance
Company with a Board of Corporate Auditors (scheduled to transition to a company with an Audit and Supervisory Committee on March 27, 2026). The Board of Directors consists of 10 members in total (directors only), comprising 4 internal and 6 outside directors, with outside directors holding a majority. The company has established three voluntary advisory committees—the Nomination Committee, the Compensation Advisory Committee, and the Corporate Governance Committee—each chaired by an outside director. Fundamental corporate governance reforms are underway in the wake of the Benikoji incident.
Risk Management
The Risk & Compliance Committee is responsible for identifying, assessing, and overseeing countermeasures for risks, with results escalated to the Management Executive Committee and the Board of Directors. Risk management is implemented using monthly "Monthly Reports" prepared by department heads, and direct reporting lines to the Board of Directors have been established from both the Quality & Safety Committee and the Risk & Compliance Committee. Following the beni-koji (red yeast rice) incident, the company established the "Quality & Safety Emergency Meeting Regulations" and rebuilt its crisis management system.
Shareholder Returns
The company's basic policy is stable dividends, aiming to improve shareholder returns in line with consolidated results. For FY2025 (ending December 2025), the dividend was ¥104 per share (interim ¥44, year-end ¥60). For FY2026 (ending December 2026), the company forecasts ¥106 per share (interim ¥45, year-end ¥61), planning a ¥2 increase from the previous period. No share buyback has been announced.
Dividend Policy
The basic policy is to pay stable dividends while reflecting consolidated results, aiming to improve shareholder returns. Dividends are paid twice a year, as an interim dividend and a year-end dividend. The actual dividend for FY2025 (ending December 2025) was ¥104 per share (interim ¥44, year-end ¥60). The forecast for FY2026 (ending December 2026) is ¥106 per share (interim ¥45, year-end ¥61). There has been no revision from the most recently announced dividend forecast.
ESG
As part of its climate change response, the company conducts scenario analysis based on TCFD recommendations, targeting a 51% reduction in Scope 1 and 2 GHG emissions by 2030 compared to 2018 levels (SBT certification already obtained), with carbon neutrality targeted by 2050. Actual results for 2025 showed a combined Scope 1 and 2 reduction of 13.8% compared to 2018. On the human capital front, in response to the Benikoji (red yeast rice) incident, the company is promoting quality and safety education for all employees, a revamp of its personnel evaluation system, and an organizational culture reform project, setting a 2028 target for employee engagement metrics (70% or more employees expressing pride in the company). The company has newly established eight materiality items, including "Pursuit of Quality," "Fundamental Reform of Corporate Governance," "Realization of Decarbonization," and "Realization of Circular Products."
Last updated: March 25, 2026