Seika Industries Shareholder Return Policy Change | May 13, 2026

Change in Shareholder Return Policy

Seika Industries will, based on guidance from the Tokyo Stock Exchange, shift from the previous profit distribution policy targeting a total payout ratio of 45% to a future policy centered on dividends aiming for a consolidated payout ratio of 45%. As a backdrop, improved underlying earnings power resulting from strategic business investments, along with considerations of capital efficiency and capital costs, will lead to the appropriate implementation of share buybacks. This change will be effective from the interim dividend for the fiscal year ending March 2027.

Future Shareholder Return and Capital Policy

Under the new policy, stable dividends will remain the baseline, with the option of share buybacks depending on improvements in capital efficiency and changes in the business environment. This aims to enhance shareholder returns while maintaining financial flexibility. The background to this change includes strengthened underlying earnings power and ongoing strategic investments.