Mitsui & Co (8031) investor relations material

Executive summary

• FY March 2026 profit and Core Operating Cash Flow (COCF) exceeded forecasts, with a full-year dividend of JPY 115 per share and completion of JPY 200 billion share repurchases, despite profit declining 7.4% year-on-year to JPY 834 billion.

• Over the MTMP 2026 period, COCF remained at the JPY 1 trillion level for five consecutive years, and base profit increased by JPY 172 billion.

• Comprehensive income surged 158.3% to JPY 1,756.5 billion, driven by gains in financial assets and FX translation.

• MTMP 2029 targets profit of JPY 1.1 trillion, ROE of 12%, and COCF of JPY 1.2 trillion by FY March 2029, with a vision for profit above JPY 1.4 trillion and ROE above 13% by 2030.

Financial highlights

• FY March 2026 COCF was JPY 978.9 billion, down JPY 48.6 billion year-on-year; profit was JPY 834 billion, down JPY 66.3 billion year-on-year; ROE was 10.2%.

• Net interest-bearing debt rose to JPY 4.1 trillion, with total assets at JPY 20.8 trillion and shareholder equity at JPY 8.8 trillion; net D/E ratio stood at 0.47.

• Free cash flow turned negative at -JPY 80.6 billion due to large investments.

• Largest dividend increase in history planned for FY March 2027, with DPS up JPY 25 to JPY 140 per share as the new floor.

• Shareholder returns (dividends + buybacks) exceeded 53% of COCF over MTMP2026.

Outlook and guidance

• FY March 2027 COCF is planned at JPY 1.05 trillion, up JPY 71.1 billion year-on-year; profit is planned at JPY 920 billion, up JPY 86 billion year-on-year; EPS projected at JPY 324.61.

• MTMP 2029 targets cumulative shareholder returns payout ratio at 50% of COCF.

• Key assumptions: oil price at $78/bbl, US gas at $3.50/mmBtu, copper at $9,939/ton, and JPY/USD at 151.