Konishi Co (4956) Investor presentation summary

Capital cost, profitability, and market valuation

• Current cost of shareholders' equity and WACC is 7.1%, with ROE and ROIC exceeding these levels in recent years.

• ROE has generally trended upward due to equity reduction and profit growth, though FY March 2026 saw a decline from increased equity.

• Stock price has remained stable despite market challenges, but PBR remains below 1, indicating undervaluation.

• Market capitalization and stock price have fluctuated, with PBR at 0.90 for FY March 2026.

Medium-term management plan and financial targets

• Medium-Term Management Plan 2027 targets record-high net sales of ¥150 billion and operating profit of ¥11.5 billion by FY March 2027.

• Segment strategies include expanding non-residential and infrastructure construction, and strengthening sales to automotive and electronics sectors.

• EBITDA target is ¥14.5 billion (+17.0%), with capital policies focused on improving capital efficiency.

Cash allocation and shareholder returns

• Cash allocation plan (FY Mar. 2025–2027): ¥30 billion operating cash flow, ¥15 billion capex, ¥12 billion shareholder returns.

• Major investments include production/logistics upgrades and DX initiatives; treasury share repurchases exceeded plan.

• Dividend payout ratio set at 30%, with total dividends of ¥4.9 billion over two years.