Japanese Firms Reduce Share Buybacks for First Time Since 2020

Japanese firms announced fewer share buyback programs in the fiscal year ended Tuesday, marking the first decline since 2020.

Listed Japanese companies announced 1,365 buybacks in the year ended March 31, down slightly from 1,399 a year earlier, according to data compiled by Bloomberg. Uncertainty over US tariff policy under the Trump administration likely made companies more inclined to hold onto cash, while a sharp rise in share prices increased caution about buying back stock at elevated valuations.

Growing fears over the Iran war may further curb buybacks, said Yoshiki Nagata, chief investment officer at EnTorch Capital Partners. ...