Our basic policy is to redistribute profits based on performance in reasonable amounts on a stable and continuous basis, while retaining an appropriate amount of internal reserves for future business development and structural reinforcement.
Based on our basic policy and taking into account our financial situation, results, etc. in the fiscal year under review, we have decided that the year-end dividend for the fiscal year 2017 will be 70 yen per share, the same amount as in the previous fiscal year after conversion with the percentage of the consolidation of common shares conducted on October 1, 2017.
Amid rapid changes in the surrounding business environment, we will effectively invest our internal reserve funds in further bolstering our cost competitiveness, strengthening our research, development and production systems to better meet market needs, and in executing our global strategies. We will also seek to improve our financial standing and to reduce our interest bearing debt.
As for the distribution of surplus in and after the next fiscal year, we will aim to pay dividends at a consolidated dividend on equity ratio (DOE) of approximately 2.5%, with the aim of returning profit based on a consolidated dividend payout ratio of approximately 20%, in addition to the above basic policy, while focusing on continuous and stable dividend distribution.
We will revise our shareholder return policy according to the progress of strengthening our management base and improving our financial standing.
*The Company implemented a one-for-ten consolidation of its common shares on October 1, 2017. The above table shows the changes in dividends assuming that the consolidation of common shares was conducted during the fiscal year ended March 2015.
Mitsui Kinzoku has no intentions of providing shareholder benefits because we believe our shareholders deserve the highest return on their investment. This can only come through continual improvement in our bottom line.