Tokyo Gas announces share buyback, dividend hike, boosting shareholder returns

Tokyo Gas announced a resolution to acquire up to 20 million shares of its common stock, representing 5.4% of outstanding shares, for up to 80 billion yen, between November 10, 2025, and March 31, 2026. This share buyback aims to improve capital efficiency and control equity, aligning with its updated capital policy.

Concurrently, the company revised its dividend forecast, raising the interim dividend for the fiscal year ending March 31, 2026, to 50.00 yen per share from the previously projected 40.00 yen. The full-year dividend forecast also increased to 100.00 yen per share from 80.00 yen. This adjustment reflects recent profit growth, reduced outstanding shares due to buybacks, and an updated shareholder return policy emphasizing progressive dividends.

The revised shareholder return policy, effective from the interim dividend for FY2025 (ending March 2026), centers on increasing dividends in line with medium- to long-term earnings per share (EPS) growth and optimizing surplus cash allocation between strategic growth investments and share buybacks to enhance capital efficiency. These changes are part of the "Tokyo Gas Group FY2026-2028 Medium-term Management Plan," targeting over 200 billion yen in shareholder returns and an EPS-driven dividend increase to 140 yen per share by FY2028.