Shareholder return strategy: No. 1<3562> changed its shareholder return policy along with the publication of the new mid-term management plan "Evolution 2027" and showed the direction of significantly strengthening shareholder return. So far, we have aimed for stable dividends (30% dividend payout ratio as a guide), but in the future, we plan to implement stable and continuous shareholder dividends based on a policy of aiming for a 30% dividend payout ratio, regardless of changes in annual performance. A notable feature is that we have set a minimum dividend of the previous year's annual dividend per share and will continue to increase dividends, which is a significant enhancement of shareholder return and can also be evaluated as a expression of confidence in profit growth. Moreover, we have a policy of "flexibly implementing under financial discipline" for acquiring our own shares, showing a more proactive stance.* *Considering the gap between our own perception of the stock price and the market evaluation, ROE, capital efficiency, and CF level, we have a policy of implementing it flexibly. Dividends for the fiscal year ending February 2024 will increase by 1 yen from the previous year, as expected at the beginning of the period, to 33 yen per share (mid-term dividend of 16.5 yen and year-end dividend of 16.5 yen). We also acquired 340,000 shares of our own stock (with a purchase price of 397 million yen). Despite the anticipated decline in profits for the fiscal year ending February 2025, we are expected to follow the policy of increasing dividends every period and issue a dividend of 1 yen per share (a commemorative dividend for the 35th anniversary of our founding), with an expected increase of 2 yen from the previous year to 35 yen per share (mid-term dividend of 17.5 yen and year-end dividend of 17.5 yen).

1. Dividend policy 2. Shareholder Benefits Nissan Tokyo Sales Holdings <8291> recognizes that returning profits to shareholders is one of the important management issues and has set a target of maintaining a dividend payout ratio in the 30% range while considering internal reserves to ensure growth. In addition, the company's basic policy is to enhance shareholder returns by taking flexible measures in response to performance, etc. Therefore, because the operating profit exceeded the plan and special profit will be recorded, the annual dividend for the fiscal year ending March 2024 will be increased by 9 yen to 24 yen (interim dividend 9 yen, year-end dividend 13 yen, and special year-end dividend 2 yen). The annual dividend for the fiscal year ending March 2025 is expected to be maintained at 24 yen (interim dividend of 12 yen and year-end dividend of 12 yen) even though there will be no special dividend. On the other hand, the company has introduced a shareholder benefit scheme in order to thank shareholders for their support and to enhance the investment attractiveness of the company's shares, thereby encouraging more shareholders to hold the company's shares in the medium to long term. The eligible shareholders for the shareholder benefit scheme are those who hold 5 units (500 shares) or more of the company's shares recorded or registered on the shareholder list as of the cutoff date (March 31). The shareholder benefit is an original QUO card designed after the company's popular car model, which is presented as follows: Shareholders who hold 500 or more and less than 1,000 shares are given a 1,000 yen card, those who hold 1,000 or more and less than 5,000 shares are given a 2,000 yen card, and those who hold 5,000 or more shares are given a 3,000 yen card if the holding period is less than 2 years and a 5,000 yen card if the holding period is 2 years or more. The presentation is scheduled to be made once a year after the company's regular shareholders' meeting (around late June).

Chuosei Co., Ltd. <5941> considers returning profits to shareholders as one of its important management issues, while also emphasizing the expansion of its business in the long-term and building a stable management foundation through the strengthening of its corporate structure. Therefore, considering financial conditions, period performance, and future business development, the company is considering not only continuing sustainable dividends with a dividend payout ratio target of 30%, but also introducing other shareholder return policies. As for retained earnings, the policy is to use them as funds to functionally respond to changes in the business environment, and also to further enhance the management structure and utilize them for the development of new technologies and equipment investment in the future. The company's basic policy is to pay year-end dividends on the surplus once a year based on the resolution of the shareholders' meeting, and the articles of incorporation stipulate that interim dividends can also be paid based on the resolution of the board of directors. Therefore, the dividend per share for the fiscal year ending March 2024 was set at 73 yen. In consideration of the dividend payout ratio, the company plans to set the dividend per share for the fiscal year ending March 2025 at 66 yen.

Presenting the original design "Mac Card" as a gift.

2. Shareholder Benefits See above

In order to respond to the daily support of shareholders and to encourage more shareholders to hold shares in the medium to long term, the company has adopted a shareholder preferential treatment system. Every year on March 31st as the "reference date," the company presents the original design "Mac Card" corresponding to the preferential class as a gift to shareholders who are listed on the same shareholder list with the same shareholder number as of the "reference date," depending on the number of shares held and the holding period. The preferential classes are divided into Bronze (worth 1,000 yen, with two 500 yen vouchers), Silver (worth 2,000 yen, with four 500 yen vouchers), Gold (worth 3,000 yen, with six 500 yen vouchers), and Platinum (worth 5,000 yen, with ten 500 yen vouchers). The timing of the gift presentation is once a year, and it will be shipped in late June after the regular shareholders' meeting of the company.

(Author: FISCO guest analyst Nobumitsu Miyata)