Taki Chemical (TYO:4025) updated its policies on capital and share price-conscious management as it seeks sustainable growth and higher corporate value, according to a Monday filing on the Tokyo Stock Exchange.

The chemicals maker said profits hit a record high in the year ended December 2025, with ordinary profit rising to 3.78 billion yen and return on equity climbing to 8.1%, supported by stronger volumes of fertilizer and water treatment chemicals and recovering demand for high-purity tantalum oxide. Despite the earnings improvement, its price-to-book ratio has remained below 1 since September 2024.

Under its revised Medium-Term Management Plan 2028, Taki Chemical raised final-year targets to consolidated net sales of 44.0 billion yen, operating profit of 3.5 billion yen and ROE of 7% or higher, from earlier goals.

The company also said it will step up shareholder returns, forecasting dividends of 80 yen a share for the year ending December 2026, up from 75 yen for fiscal 2025, while maintaining a payout ratio of at least 30%.

Taki Chemical added that it plans to cut cross-shareholdings to less than 20% of consolidated net assets by fiscal 2030 and redeploy capital into growth investments and shareholder returns to improve capital efficiency.