To All Stakeholders:
May 11, 2018
Name of Company:
Stock Exchange
Listing:
Stock Code:
Representative
Contact Person
Phone:

Asanuma Corporation
Tokyo Stock Exchange,
First Section
1852
Title: Representative President
Name: Kenichi Asanuma
Title: Accountants Manager andIR Manager
Name: Yoshimichi Yagi
+81-(0)6-6585-5500

Notice Regarding Our Three-Year Medium-Term Plan (FY2018~FY2020)
Details of the numerical and other targets for the Three-year Medium-Term Plan(FY2018~FY2020) approved on April 2, 2018 are as follows:
1. Numerical targets (consolidated)
FY2017(Actual)

FY2018(Plan)

FY2019(Plan)FY2020(Plan)

Orders received¥138.7bn¥130.0bn¥133.0bn¥136.0bn

Net sales¥143.4bn¥129.5bn¥136.6bn¥138.9bn¥142.1bn¥128.3bn¥135.4bn¥135.7bn¥1.2bn¥1.2bn¥1.2bn¥3.2bn¥7.9bn¥4.9bn¥6.2bn¥7.2bnRatio of operating income to sales

5.5%

3.8%

4.6%

5.2%

Return on Invested capital (ROIC)

11.4%

7.0%

8.4%

9.2%

Profit attributable to owners of parent¥5.2bn¥3.2bn¥4.0bn¥4.7bnReturn on Equity (ROE)16.0%

9.0%

10.6%

11.4%

Equity ratio

33.9%

36.0%

41.0%

47.0%

Cost of capital

5.0%

Completed construction contracts
Other
Operating income

5.0% Compared to the previous fiscal year, the amount of completed construction contracts
are expected to decline in FY2018 as major construction projects associated withreconstruction in the Tohoku region and major warehouse construction projects werecompleted in FY2017
 The ratio of operating income to sales is projected to exceed 5% in FY 2020. The returnon invested capital (ROIC) is projected to exceed the cost of capital in all the threeyears of the plan period.
 Return on equity is forecast at higher than10.0% in FY2020
 Equity ratio is to be maintained at the 40% level in order to assure a stable financialbase.

Note2. Capital injection
We plan to actively invest 20 billion yen over the three-year plan period in order to realize theideal company image we envision and for funding requirements.
Investment breakdown by major investment categories:
 Investment plan Technology and research, information communications¥5.0bntechnology (ICT) and backbone systems
 Reinforcement of concession and overseas business (including¥5.0bnM&A)* Aim at achieving return on investment exceeding the cost of capital for theCompany■ Application of funds (plan) Switch to cash payments to subcontractors to strengthen¥10.0bn
partnership* The above represents an active response to requests from government authorities
and the funds are for switching to cash payments to subcontractors
3. Shareholder return
Providing returns to our shareholders is one of our most important management goals. Ourbasic dividend policy is to provide stable and appropriate dividends linked to performance toshareholders while improving our financial position and maintaining sufficient retained
earnings for future requirements. We are aiming at consolidated dividend payout ratio of
more than 30% in FY2020, the final year of the three-year plan.
dividend payout ratio（％）

Dividend per share（¥/share)

40

40

31.7

35
26.0

30

26.8

30

25

25

20

15

10.5

100

20

25.6

15
535

5.4

5.7

¥2.0

No dividend¥2.0
FY2013（actual）

FY2014（actual）

Dividend per share(125th foundingyear commemorative dividend)¥5.0
FY2015（actual）

¥16.0
¥10.0

¥8.0
FY2016（actual）

Dividend per share(regular)

FY2017（plan）

Dividend payout ratio

FY2018（plan）¥13.0
FY2019（plan）¥17.0

105

FY2020（plan）

0Plan for the three-year plan period* FY 2017 Dividend amount: To be approved at the General Shareholders Meeting scheduled
for June 2018
* FY 2018 Dividend amount: As per forecast released on May 11* FY2019 and FY2020 dividend amount: Estimate based on profit attributable to owners ofparent forecast in “1. Numerical targets (consolidated basis).”