Shareholder Return Policy

Shareholder Return Policy

  • Aim at attractive shareholder return through stable dividend and flexible share buyback, taking into account dividend yield or DPS growth, etc.
  • Our medium-term target for total shareholder return ratio*1 is at a level of around 50% of adjusted consolidated profit*2.
  1. Total shareholder return ratio = (total dividend + total stock buybacks) / adjusted consolidated profit
  2. The adjusted consolidated profit shall be the total amount of profit on an adjusted base of the Sompo Holdings Group. The calculation method for the adjusted profit and definition of each business are as follows.
Business Definition of Business in the Calculation of Adjusted Profit Calculation Method for Adjusted Profit
Domestic P&C Insurance Total of Sompo Japan Nipponkoa,
Saison Automobile & Fire,
Sonpo 24,
Sompo Japan Nipponkoa Insurance Services,
,DC Securities and Sompo Risk Management & Healthcare

Net income

+ Provisions for catastrophic loss reserve (after tax)

+ Provisions for reserve for price fluctuation (after tax)

— Gains/losses on sales of securities and impairment losses on securities (after tax)

— Special factors (e.g. dividend from subsidiaries)

Domestic Life Insurance Sompo Japan Nipponkoa Himawari Life

Net income

+ Provision of capital reserve (after tax)

+ Adjustment of underwriting reserve (after tax)

+ Deferral of acquisition cost (after tax)

— Depreciation of acquisition cost (after tax)

Nursing care & healthcare, etc. Total of Sompo Care Message,
Sompo Care Next,
Cedar,
Sompo Japan Nipponkoa Asset Management,
Prime Assistance,
Sompo Warranty,
and FRESHHOUSE
Net income
Overseas Insurance Overseas insurance subsidiaries

Net income (including major non-consolidated subsidiaries)
Adjusted profit of Sompo International (Endurance) is operating income*

  • Adjusted profit of Sompo International (Endurance) is defined as operating income, which excludes one-time factors (operating income = net income - net foreign exchange gains/losses - net realized and unrealized gains/ losses - net impairment losses recognized in earnings, etc.)

About Shareholder Returns

  • We reduced our dividend for the fiscal year ended March 31, 2013 from 80 yen per share to 60 yen per share. Meanwhile, we bought back our own stock amounting 8.3 billion yen during. (Augaust 12, 2013 – September 2, 2013)
  • We pay dividends twice a year, interim dividend and year-end dividend, from the fiscal year ending March 31, 2014.
  • We returned profits to shareholders by conducting share buybacks of 10.0 billion yen, reflecting our fiscal 2013 performance. (May 21, 2014 - June 9, 2014)
  • We have revised our year-end dividend per share of fiscal year 2014 to 40 yen, an increase by 10 yen. As the result, the annual dividend per share was 70 yen.
  • We returned profits to shareholders by conducting share buybacks of 17.0 billion yen, reflecting our fiscal 2014 performance. (May 21, 2015 - June 11, 2015)
  • The annual dividend per share for the fiscal year 2015 was 80 yen, totaling of interim devidend of 40 yen and year-end devidend of 40 yen.
  • We returned profits to shareholders by conducting share buybacks of 33.4 billion yen, reflecting our fiscal 2015 performance. (July 19, 2016 - August 23, 2016)
  • We have revised our year-end dividend per share of fiscal year 2016 to 50 yen, an increase by 10 yen. As the result, the annual dividend per share was 90 yen.
  • We returned profits to shareholders by conducting share buybacks of 56.2 billion yen, reflecting our fiscal 2016 performance. (September 8, 2017 - October 11, 2017)
  • The annual dividend per share for the fiscal year 2017 is expected to be 110 yen, totaling of interim devidend of 55 yen and year-end devidend of 55 yen.

Dividends

  Interim Year-end Annual
Year ended March 31, 2011 - 20.00yen 20.00yen
Year ended March 31, 2012 - 80.00yen 80.00yen
Year ended March 31, 2013 - 60.00yen 60.00yen
Year ended March 31, 2014 30.00yen 30.00yen 60.00yen
Year ended March 31, 2015 30.00yen 40.00yen 70.00yen
Year ending March 31, 2016 40.00yen 40.00yen 80.00yen
Year ending March 31, 2017 40.00yen 50.00yen 90.00yen
Year ending March 31, 2018(Forecast) 55.00yen 55.00yen 110.00yen

(Sompo Holdings, Inc. carried out a reverse split of stocks to combine common stocks at a ratio of four shares to one share on October 1, 2011. The amount of year-end dividend per share for the fiscal year ended March 31, 2011 represents the result of dividend payments made before the execution of the reverse split of stocks.)