Notice of Dividend of Surplus and Change in Dividend Policy (Introduction of Progressive Dividend)

Establishment and Implementation of Dividend Policy

The Company will pay a dividend for the record date of September 30, 2026 and has decided to introduce a progressive dividend. While maintaining the basic policy of targeting a 50% payout ratio, the Company will, in principle, adopt a progressive dividend (a policy to maintain or increase dividend levels) for the next five years. This aims to ensure stable continuation of dividends in line with business performance while preserving financial soundness. The policy will be applied starting with dividends for the fiscal year ending September 2027. Although upfront costs may occur during the management plan period, priority will be given to enhancing shareholder returns.

Shareholder Returns and Outlook

This policy change aims to balance medium-to-long-term growth investments and financial stability by continuing stable dividends under a progressive dividend framework. Because the management plan period requires investments in education-related capital expenditures, systems, and human resources, single-year profits may fluctuate; however, maximizing shareholder value remains a priority. When formulating the next management plan, the dividend policy will be reassessed taking into account the growth environment, earning power, and financial condition.