HIROSE ELECTRIC CO.,LTD.
6806・Prime Market・Electric Appliances
Governance
Company with an Audit and Supervisory Committee (transitioned in June 2021). The Board of Directors comprises 15 members in total: 11 directors excluding Audit and Supervisory Committee members (of which 4 are outside directors) and 4 Audit and Supervisory Committee members (of which 3 are outside directors), with 7 independent outside directors invited to serve. A voluntary Nomination and Compensation Committee has been established as an advisory body to the Board of Directors on matters of nomination and compensation, chaired by an independent outside director.
Risk Management
The CSR & Risk Management Committee, chaired by the Representative Director and President, meets quarterly and conducts risk assessments annually. Regarding climate change, the company has conducted scenario analyses under 1.5°C/4°C scenarios, identifying risks from customer GHG reduction requirements (high impact: approximately ¥20 billion) and opportunities from EV adoption (approximately ¥20 billion). Based on its BCP, the company has taken measures such as diversifying inventory, establishing multi-site production capabilities, and relocating factories in high-risk regions to elevated ground.
Shareholder Returns
Continuing the DOE 5% target, the annual dividend for FY2026 (ending March 2026) was raised to ¥505 (interim ¥245 + year-end ¥260). A share buyback policy with an upper limit of ¥600 million was set for FY2025–FY2028, and ¥20,351 million was acquired during the current fiscal year.
Dividend Policy
The basic policy is to continue stable dividends, with DOE (dividend on equity) of 5% set as a medium-term target. The annual dividend for FY2026 (ending March 2026) is ¥505 per share (interim ¥245, year-end ¥260), with total dividends of ¥16,566 million and a payout ratio of 50.9%. For FY2027 (ending March 2027), an annual dividend of ¥520 (¥260 interim and ¥260 year-end) is planned, with a payout ratio of 50.0% expected. The policy is to allocate 40–50% of cumulative operating cash flow from FY2026 to FY2029 to shareholder returns (dividends and share buybacks).
ESG
The company has set a target of carbon neutrality by 2050, aiming to reduce Scope 1 and 2 emissions by 60% by FY2027 (compared to FY2021). It obtained SBTi certification in December 2025, and 6 of its 8 plants have achieved 100% renewable energy usage. In terms of human capital, it has set targets of a 15% ratio of female managers and a 30% ratio of female employees by FY2034, and is promoting measures such as next-generation leader development, engagement surveys, and DX promotion.
Last updated: June 24, 2026