November 4, 2021
Name of Company
KAGA ELECTRONICS CO., LTD.
Representative
Ryoichi Kado, President & COO(Stock Code: 8154 Tokyo Stock Exchange, First Section)
Eiji Kawamura, Managing Director
Contact
Head of Administration Headquarters
Tel: 03-5657-0111

Notice regarding revision to full-year earnings and dividend forecasts,
and distribution of dividends from surplus
In light of recent earnings trends, Kaga Electronics Co., Ltd. (hereinafter, “the Company”)
has revised its forecasts announced on May 13, 2021, with respect to consolidated full-year
earnings and dividends for the fiscal year ending March 31, 2022. The Company furtherresolved, at a meeting of its Board of Directors held on November 4, 2021, to distributedividends from surplus, with a record date of September 30, 2021. Details are as follows.
１．Revision of earnings forecast
Revision to consolidated earnings forecast for the fiscal year ended March 31, 2022 (fromApril 1, 2021 to March 31, 2022)
Profitattributable to Net income
per shareowners ofparent

Net sales

OperatingincomeOrdinary
incomeMillion yen

Million yen

Million yen

Million yenyen

470,000

13,00012,0008,000291.20

Revised forecast (B)470,000

15,00014,5009,000

336.84

Difference (B) – (A)

－

2,000

2,500

1,000－

Percent change (%)

－

15.4

20.8

12.5

－

422,365

11,467

11,241

11,399415.07

Previous forecast (A)(Announced on May 13, 2021)(Reference)
Results for the fiscal year
ended March 31, 2021

<Reasons for the earnings revision>
In the first half of the fiscal year ending March 31, 2022, sales recovered notably in theElectronic Components business, led by automotive equipment, medical products, andindustrial equipment. Meanwhile, income exceeded the initial plan as a result of an increasein gross profit that reflected higher sales and improved gross profit margin, combined withefforts to curb and reduce expenses through facilitation of remote working, online
conferencing, and other tools.
Regarding the full-year earnings forecast, the previous forecast for net sales is maintained,
in light of the tight supply/demand balance of semiconductors and electronic components.
On the other hand, the operating income forecast has been revised upward to 15 billion
yen, up 2 billion yen from the previous forecast, which factors in the upside given the- 1 -steady earnings progress in the first half and taking into account a certain degree ofdownside risk. In line with this revision, forecasts for ordinary income and profit
attributable to owners of the parent have also been revised upward, to 14.5 billion yen and9 billion yen, respectively.
(Note) The above forecasts are based on the information currently available to the Company on the dateof the release and certain assumptions deemed reasonable. Actual results may vary from theforecast for a variety of reasons.

2. Dividends（１）Revision of dividend forecast
Annual dividends

Previous forecast(Announced on May 13, 2021)

End of 1st half

Year-endTotal

40.00

40.00

80.00

45.00 yen

90.00 yen

Revised forecast(Ordinary dividend 40 yen) (Ordinary dividend 80 yen)
(Extraordinary dividend 5 yen) (Extraordinary dividend 10 yen)

Dividends for thecurrent fiscal year
(Reference)
Dividends for theprevious fiscal year
(Fiscal year ended March 31, 2021）

45.00 yen(Ordinary dividend 40 yen)
(Extraordinary dividend 5 yen)

50.00 yen

30.00 yen

80.00 yen(Ordinary dividend 30 yen) (Ordinary dividend 30 yen) (Ordinary dividend 60 yen)
(Extraordinary dividend 20 yen) (Extraordinary dividend 20 yen)

(2) Distribution of dividends from surplus (interim dividend)
Most recent dividend
Finalized amountforecast(Announced on May 13, 2021)

Dividends paid inprevious fiscal year
ended March 2021
September 30, 2020

Record date

September 30, 2021

Same as left

Dividend per share

45.00 yen(Ordinary dividend 40 yen)

40.00 yen

30.00 yen(Ordinary dividend 30 yen)

(Extraordinary dividend 5 yen)Total dividends

1,180 million yen－

823 million yen

Effective date

December 3, 2021－

December 4, 2020

Source of dividends

Retained earnings－

Retained earnings<Reasons for revision of dividend forecast and distribution of dividends from surplus>
The Company positions the return of profits to shareholders as one of the most importantmanagement policies, and in addition to endeavoring to strengthen its financial position andmanagement foundation with a long-term perspective, has a basic policy of maintaining- 2 -stable and ongoing dividends to all shareholders commensurate with the consolidated results.
As described above, in the income projection for consolidated full-year earnings in the fiscal
year ending March 31, 2022, income is anticipated to exceed the previous forecast.
Accordingly, the Company has revised upward its interim dividend, from the previous forecastof 40 yen to 45 yen per share by paying an extraordinary dividend of 5 yen. Likewise, theforecast for year-end dividend has been revised upward to 45 yen per share, which includes
an extraordinary dividend of 5 yen.
As a result, the annual dividend will be 90 yen per share, an increase of 10 yen from thedividend paid in the previous year.

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