Notice Regarding Recording of Special Gains in the Second Quarter of Fiscal Year Ending March 2027 (Interim), Differences Between Consolidated Forecasts and Results and Revision of Full-Year Consolidated Forecast, and Revision of Retained Earnings Distribution (Interim Dividend – Increase and Year-End Dividend Forecast Revision (Increase))

Overview of Performance

Consolidated results for the second quarter of the fiscal year ending March 2027 progressed solidly due to recording special gains, proactive sales and price revision initiatives, and contributions from M&A. Special gains included negative goodwill arising from the acquisition of Umios Logi shares of 7,392 million yen, negative goodwill arising from the acquisition of Maruun shares of 2,239 million yen, and gain on sale of available-for-sale securities due to Maruun's disposal of policy-held shares of 2,049 million yen. As a result, the full-year forecast was revised upward, and operating revenues, operating income, ordinary income, and net income all exceeded the previous forecasts. The interim dividend was increased to 30 yen, and the year-end dividend forecast was also increased to 30 yen, resulting in an expected annual dividend of 60 yen.

Outlook and Shareholder Returns

Based on the revision to the full-year consolidated forecast, the interim dividend for the fiscal year ending March 2027 was increased from the previous 28 yen to 30 yen, and the year-end dividend was increased from 28 yen to 30 yen, maintaining a policy of an annual dividend of 60 yen. Under the basic policy of securing internal reserves while balancing shareholder returns, the Company incorporates performance linkage into stable dividends and targets a consolidated payout ratio of around 40%.