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We sincerely appreciate your continued support.
In May 2025, the Sanrio Group announced its 10-year long-term vision, "Lighting the Way to Bring Smiles to All—Roadmap to a World of Smiles". Grounded in our founding philosophy of “Minna Nakayoku” (Getting Along Together), this long-term strategy aims to realize our vision of "One World, Connecting Smiles" by bringing smiles to as many people as possible and expanding the circle of happiness even further afield.
Guided by this long-term vision, we delivered strong results in the fiscal year ended March 2026, the first year of the plan. Sales reached a record high for the first time in 27 fiscal years, while operating profit set a new record for the third consecutive fiscal year. These results would not have been possible without the support of our stakeholders, for which I’m sincerely grateful.
Looking ahead, we will continue to strengthen our global branding strategy to further enhance the recognition and appeal of our characters worldwide. To introduce our characters to even more people, we plan to expand our channels for engagement while pursuing new business opportunities. In the digital space, we launched Virtual Sanrio Puroland, a virtual reality theme park, in December 2025. On the experiential front, we announced our vision to transform Harmonyland, our Sanrio character theme park in Oita Prefecture, into an entertainment resort. Through this initiative, we will develop a destination resort where guests can immerse themselves more deeply in the worlds of our characters. In addition, we plan to release Sanrio Party Land, the first title under our in-house game label Sanrio Games, in October 2026. Through these initiatives, we remain committed to bringing our characters closer to even more people around the world and sharing smiles wherever they go.
In addition to these initiatives, we also hope to broaden our shareholder base. With this in mind, we implemented a 5-for-1 stock split, effective April 1, 2026. Returning value to our shareholders remains one of our key management priorities. Guided by our basic policy of maintaining a dividend payout ratio of 30% or higher, we increased the annual dividend per share from 53 yen for the fiscal year ended March 2025 to 69 yen for the fiscal year ended March 2026, reflecting the effect of the stock split.
At the same time, I would like to express my deepest apologies to our shareholders, investors, business partners, and all other stakeholders for the concern and inconvenience caused by the inappropriate compensation received by a former managing director of the Company. We take this matter extremely seriously. Going forward, we are committed to restoring trust by thoroughly implementing measures to prevent recurrence across the Sanrio Group and further strengthening our corporate governance.
As we continue our efforts to become a truly global entertainment company, we remain committed to our founding philosophy of Minna Nakayoku and to realizing our vision of "One World, Connecting Smiles." We will continue working to bring smiles to as many people as possible and expand the circle of happiness further afield. In doing so, we will strive to live up to the expectations of our shareholders and society as a whole.
We sincerely appreciate your continued support.
June 2026
President and CEO
