Takashima : Notice Concerning Dividends from Surplus

Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.

	May 9, 2024
To whom it may concern,	Takashima & Co., Ltd.
Company name:
Name of representative:	Koichi Takashima, President and
	Representative Director
Inquiries:	(Securities code: 8007; Prime Market)
Takahisa Tokumoto, General Manager of
	Strategic Planning & Management
	Department
	(Telephone: [phone])

Notice Concerning Dividends from Surplus

Takashima & Co., Ltd. ("the Company") hereby announce that our Board of Directors has resolved at a meeting held on May 9, 2024, to pay dividends from surplus with a record date of March 31, 2024, as follows

1. Dividends

	Amount to be determined	Most recent dividend	Actual result for the previous
	forecast	fiscal year
		(Announced on	（
		December 14, 2023)	Fiscal year ended March 31,
		2023）
Record date	May 31, 2024	Same as on the left	May 31, 2023
Dividend	¥40.00
(Ordinary dividend ¥25.00)	Same as on the left	¥25.00
per share
(Special dividend ¥15.00)
Total	¥692 millions	－	¥444 millions
dividends
Effective date	June 5, 2024	－	June 7, 2023
(Payment start
date)
Dividend	Retained earnings	－	Retained earnings
resource

(Note) The Company conducted a 4-for-1 stock split of shares of common stock, effective October 1, 2023. The results for the previous fiscal year are calculated on the assumption that the stock split was conducted at the beginning of the fiscal year ended March 31, 2023

2. Reason

Aiming to be a "sustainable growth company with strategic investments," our basic policy is to expand investments for growth while being conscious of capital efficiency and implementing shareholder returns. Specifically, we will pay a consolidated dividend payout ratio of 40% or more each fiscal year and flexibly purchase and retire treasury stock with a target total return ratio of 50%. In addition, the minimum amount of total return to shareholders is set at 500 million yen, with a mind to providing a stable return to shareholders.

For the current fiscal year, we plan to pay a dividend of 60 yen per share (including an interim dividend of 20 yen per share, a year-end dividend of 25 yen per share, and a special dividend of 15 yen per share), which would result in a consolidated dividend payout ratio of 22.0% based on profit attributable to owners of parent of 4,832 million yen.

Together with the 99 million yen of treasury stock that was already repurchased in the November 2023 fiscal year, the Company is conducting a tender offer for up to 800 million yen of treasury stock, as described in the "Notice Concerning Determination of Matters Related to Acquisition of Own Shares" dated December 14, 2023. The total return ratio is 40.4% when combined with the annual dividend of 60 yen per share.

This is lower than our basic policy of annual shareholder returns of a consolidated dividend payout ratio of 40% or more and a total return ratio of 50%, but this is due to our viewpoint of further increasing corporate value by allocating funds to business investments aimed at sustainable growth. Specifically, the Company decided to use the earnings from the sale of fixed assets in the fourth quarter to repay the short-term borrowings procured for the acquisition of Gansui Corporation, as disclosed on May 23, 2023, and to make investments for the realization of future growth strategies. The consolidated dividend payout ratio for the interim dividend calculated by subtracting the extraordinary income of the transfer of the fixed assets from the net profit attributable to shareholders of the parent company and the treasury stock and ordinary dividend for which the acquisition was completed as disclosed on November 29, 2023, will be approximately 52.3%, and the total return ratio will be approximately 58.5%.

(Reference) Details of annual dividends

		Dividend per share
Record date	Interim	Year-end	Annual
Actual result for the current fiscal year	¥20.00	¥40.00	¥60.00
Actual result for the previous fiscal year	¥17.50	¥25.00	¥42.50
(Fiscal year ended March, 2023)

(Note) The Company conducted a 4-for-1 stock split of shares of common stock, effective October 1, 2023. Results for the previous fiscal year are calculated based on the assumption that the stock split was conducted at the beginning of the fiscal year ended March 31, 2023.

End.