ENVALITH
荒川化学工業株式会社 logo

ARAKAWA CHEMICAL INDUSTRIES, LTD.

4968Prime MarketChemicals

荒川化学工業株式会社 logo
ARAKAWA CHEMICAL INDUSTRIES, LTD.4968

Governance

As a company with an Audit and Supervisory Committee, the company has elected 9 directors (4 of whom are outside directors). It has established a voluntary Nomination Advisory Committee and Compensation Advisory Committee to enhance transparency and objectivity, while also promoting ESG management through the Sustainability Committee.

Nomination Committee

Established

Compensation Committee

Established

Risk Management

The company has established a Risk & Compliance Committee as a subordinate body of the Board of Directors, under which a Risk Management Subcommittee has been set up to list priority risks and manage the progress of countermeasures. The Audit Office, Safety & Environment Office, and Quality Assurance Office audit the risk management status of each department and report to the Board of Directors on a regular basis.

Shareholder Returns

During the 6th Medium-Term Management Plan period, the company will in principle maintain progressive dividends and has raised its target payout ratio to 50%. The annual dividend for FY2026 (ending March 2026) is ¥50 per share (interim ¥25 + year-end ¥25), with total dividends of ¥991 million and a payout ratio of 45.1%. For FY2027 (ending March 2027), the company plans an annual dividend of ¥55, consisting of an ordinary dividend of ¥52 plus a special commemorative dividend of ¥3 for the company's 150th anniversary.

Dividend Policy

The basic policy is to maintain stable and continuous dividends while actively returning value to shareholders. During the 6th Medium-Term 5-Year Management Execution Plan (FY2026-FY2030), the company will in principle maintain progressive dividends and has raised its target payout ratio to 50%. The annual dividend for FY2026 (ending March 2026) is ¥50 per share (interim ¥25 + year-end ¥25), with total dividends of ¥991 million and a payout ratio of 45.1%. For FY2027 (ending March 2027), the company plans an annual dividend of ¥55, consisting of an ordinary dividend of ¥52 plus a special commemorative dividend of ¥3 for the company's 150th anniversary (projected payout ratio of 48.5%). Dividends are paid twice a year, as interim and year-end dividends.

Dividend

Paying

Share Buyback

None

Shareholder Benefits

None

ESG

With the goal of achieving net-zero CO2 emissions by 2050, the company expects Scope 1 and 2 emissions in FY2025 to decrease by 55.9% compared to FY2015. It is responding to the TCFD and TNFD recommendations, utilizing sustainability-linked bonds, and managing progress through various KIZUNA indicators for human capital, including a male childcare leave take-up rate of 122.2% and a 16.5% increase in value-added labor productivity.

Last updated: June 23, 2026