February 14, 2022

To whom it may concern:
Corporate Name : Nishimoto Co., Ltd.
Representative : Yoshiro Susaki, Chairman & President CEO(Code No.: 9260 First section of Tokyo Stock Exchange)
Contact: Yuji Sasa, Director/CFO (TEL. 03-6870-2015)

Notification Regarding Variance between Earnings Forecast for Fiscal Year Ended
December 2021 and Actual Results and Revision of Dividend Forecasts
Nishimoto Co., Ltd. ("the Company") hereby notifies the occurrence of a variance between its earnings
forecast for the fiscal year ended December 2021, which was released on August 12, 2021, and actualresults announced today as outlined below.
Also, the Company has revised its year-end dividend forecast for the fiscal year ended December 2021,
which was released on August 12, 2021, as outlined below.
1.

Variance between earnings forecast and actual results(1) Variance between earnings forecast for the fiscal year ended December 2021 and actual results(Unit: millions of yen, %)Previous Forecast (A)(Announced on August12, 2021)
Results (B)Variance in Amount(B - A)
Variance in Percentage(%)(Reference)Previous Year Results(Fiscal year ended
December 2020)

Net sales

OperatingincomeOrdinary
incomeProfitattributable toowners of parent

Net income
per share(yen)200,000

5,500

5,100

3,800

264.75

213,248

7,301

7,204

5,028

350.34

13,248

1,801

2,104

1,228

6.6

32.8

41.3

32.3

168,449

1,982

1,715

1,016

70.80

(2) Reason for the varianceIn the fiscal year ended December 2021, as the waves of COVID-19 infection subsided and resurged
repeatedly, vaccination and the relaxation of restrictions on business operations progressed mainlyin Europe and the U.S. Supported by these factors as well as brisk consumption demand, sales torestaurants, our main customers, generally remained on a steady recovery trend. Sales to grocery
stores also continued to be strong, supported by healthy demand for both Ready to Eat meal andhome meals.

Income increased significantly due to the successful implementation of various operating measures,such as the expansion of products for delivery and take-out services and price adjustments to absorb
the rises in product procurement costs, personnel expenses, ocean freight and other logistics
expenses, as well as the recovery in income resulting from the increase in sales. In view of thesedevelopments, the Company announced a revision of consolidated full-year earnings forecasts on
August 12, 2021.
Since the announcement of the revision of forecasts, the effect on sales of the resurgence of COVID19 infection and tightening of restrictions, which were concerns for winter, has been limited, andthe pressure of the rises in procurement costs, logistics expenses, personnel expenses, etc., onincome was not as significant as the levels forecasted at the time of the announcement of the revision.
As a result, both sales and income exceeded the revised consolidated full-year earnings forecasts.
2.

Revision of dividend forecast(1) Dividend forecast for the fiscal year ended December 2021
Annual dividend (yen)Second-quarter end
Year-end
Previous Forecast(Announced on August 12, 2021)
Revised Forecast
Current Year Results(Reference)Previous Year Results(Fiscal year ended December 2020)

Total-

45.00

80.00

35.00

70.00
-

105.00
-

0.00

20.00

20.00

(2) Reason for the revision
The Company has a basic policy of maintaining stable dividends, while securing internal reserves
for future business development and for bolstering its financial position. The Company considers
the dividend payout ratio an important indicator of how appropriate a dividend payment is, andtargets a full-year dividend payout ratio on a consolidated basis of approximately 30% for eachfiscal year.
As announced in “Notification Regarding Variance between Consolidated Earnings Forecasts andActual Results for the Cumulative Second Quarter of the Fiscal Year Ending December 2021,
Revision of Consolidated Earnings Forecasts for the Fiscal Year Ending December 2021, andRevision of Dividend of Surplus (Interim Dividend) and Year-End Dividend Forecast” on August
12, 2021, we forecasted a year-end dividend of 45 yen per share, which would result in an annual
dividend of 80 yen per share.
Our forecast of year-end dividend for the fiscal year ended December 2021 has been revised to 70
yen per share based on the policy mentioned above and the full-year earnings results announced
today.