Medium-Term Management Plan SHIFT 2023


Medium-Term Management Plan SHIFT2023 (PDF)

SHIFT 2023 Overview

Business Portfolio SHIFTClarifying individual business strategies’ position through categorization

  • Clarify positioning of individual strategic business units based on ”market potential” and “our demonstration of strengths,” and set relevant goals.
  • Shift portfolio to potential markets where our strengths can be fully demonstrated in order to increase both profitability and resilience.

Next-generation growth fields

  • Six “next-generation growth fields” have been identified based on market potential and our strengths.
    We will strengthen and cultivate businesses in these fields in the medium to long term throughout the entire organization.

Enhancement of Sustainability ManagementOverview

  • Transform the Sumitomo Corporation Group’s business activities suitable for the realization of sustainable society

Quantitative Plan

  • With the profit improvement from structural reform and the promotion of measures from the medium-term management plan, and aim to achieve ¥300 billion or more and record-high profit in FY2023.
  • With approximately ¥1.4 trillion of cash inflow, inclusive of basic cash flow of ¥640 billion for three-year in total, the Company will make investments and loans of around ¥1.1 trillion, while securing positive post-dividend free cash flow for three-year in total.

Shareholder Return (Dividend Policy)

  • Sumitomo Corporation aims to increase dividends by achieving medium- and long-term earnings growth while adhering to its fundamental policy of paying shareholders a stable dividend over the long term.
  • Under the medium-term management plan (SHIFT2023), we decide the annual dividend based on the status of fundamental earnings capacity, cash flows, and other factors, with a consolidated payout ratio of about 30% as a guideline, maintaining at least ¥70 per share, the same amount as the annual dividend for FY2020.
  • In FY2021, we plan to provide a dividend of ¥70 per share (interim dividend of ¥35 and year-end dividend of ¥35).

Medium-Term Management Plan SHIFT2023 (PDF)

  • Cautionary Statement Concerning Forward-Looking Statements
    This report includes forward-looking statements relating to our future plans, forecasts, objectives, expectations and intentions. The forward-looking statements reflect management's current assumptions and expectations of future events, and accordingly, they are inherently susceptible to uncertainties and changes in circumstances and are not guarantees of future performance. Actual results may differ materially, for a wide range of possible reasons, including general industry and market conditions and general international economic conditions. In light of the many risks and uncertainties, you are advised not to put undue reliance on these statements. The management forecasts included in this report are not projections, and do not represent management’s current estimates of future performance. Rather, they represent forecasts that management strives to achieve through the successful implementation of the Company’s business strategies. The Company may be unsuccessful in implementing its business strategies, and management may fail to achieve its forecasts.
    The Company is under no obligation -- and expressly disclaims any such obligation -- to update or alter its forward-looking statements.
Top