ITOCHU (8001) investor relations material

Executive summary

• Consolidated net profit for FY2025 reached ¥900.3 billion, up 2.3% year-over-year, marking a record high for the second consecutive year, with over 93% of group companies reporting profits.

• Core profit increased by ¥11.5 billion year-over-year to ¥781.5 billion, with strong recovery in the second half after early setbacks.

• Comprehensive income attributable to shareholders increased 76% year-over-year to ¥1,301.9 billion, driven by strong segment performance and favorable currency translation.

• FY2026 management plan targets consolidated net profit of ¥950.0 billion, aiming for a third consecutive record year and sustainable EPS growth.

• Aggressive growth investments and enhanced shareholder returns are central to the strategy, with a total payout ratio forecast at 64%.

Financial highlights

• FY2025 revenue reached ¥14,823.1 billion, up ¥98.9 billion year-over-year; gross trading profit rose to ¥2,480.5 billion.

• Core operating cash flows hit a record ¥940.0 billion; free cash flow improved to ¥743.0 billion.

• Dividend per share increased to ¥42 (post-split), marking 11 consecutive years of increases; share buybacks totaled ¥170.0 billion.

• Total assets grew to ¥16,732.8 billion as of March 2026; shareholders’ equity ratio improved to 39.4%.

• EPS increased to ¥128; ROE remained high at approximately 15%.

Outlook and guidance

• FY2026 targets consolidated net profit of ¥950.0 billion, up 5.5% year-over-year, with EPS guidance at ¥137.

• Growth investments planned at a record ¥1.5 trillion, including ¥300 billion annual CapEx and proactive asset replacement.

• Dividend per share planned to rise to ¥44 or higher, with share buybacks exceeding ¥300.0 billion and a total payout ratio of 64%.

• All business segments expected to achieve year-on-year profit growth.

• Loss buffer of ¥40 billion incorporated to address risk scenarios.