Governance Information Disclosure

We established our Basic Policy on Information Disclosure in FY2011, and since then have strived to be a trustworthy company through timely and proper disclosures of important information pertaining to our corporate activities and influential information for investment decisions to our customers, shareholders, business partners, and all other stakeholders.
To coincide with the enforcement of the Fair Disclosure Rule in April 2018, we revised this policy to formulate the Disclosure Policy and are actively working to strengthen our information disclosure system and management of material information.

• Disclosure Policy

Policy on Constructive Dialogue with Shareholders

We recognize that listening to the opinions of our shareholders and taking action accordingly will lead to sustainable growth and enhance our corporate value over the medium and long term. Therefore, we strive to build constructive relationships with our shareholders through dialogue, disclosure of materials, and other means.
Our policy on constructive dialogue with shareholders is as follows.

1. The President and Representative Director is the person in charge of dialogue with shareholders, the CFO or Head of department in charge of IR is the Information Handling Officer, the Public Relations Department Manager is the Timely Information Disclosure Officer, and the Accounting Department Manager is the Securities Report, etc. Representative.
2. Each of the people named above routinely share information and issues at regular meetings and other opportunities, and work together to take appropriate actions.
3. In addition to semiannual financial results briefings, they plan and hold investor briefings and other opportunities for dialogue as appropriate. They also participate in outside events for investors.
4. Directors and executives obtain information directly by attending investor briefings and through dissemination of analyst reports and other means, and also receive reports from the responsible departments on a regular and as-needed basis.
5. In pursuit of preventing insider trading, we ensure thorough compliance with the Financial Instruments and Exchange Act and other relevant laws and regulations as well as Insider Trading Management Rules, which set out provisions for managing inside information and the like. Additionally, when engaging in dialogue, we strive to manage information to avoid raising suspicion that we have communicated insider information, and we disclose information fairly and unselectively. We also set a Quiet Period lasting from the day after the final day of the fiscal period (quarterly and full-year) to the day financial results are published. Furthermore, we provide basic and update training for preventing insider trading.

Measures to Realize Management
With Awareness of Cost of Capital and Stock Price

In order to continuously increase corporate value, the Company has set ROE of approximately 10% as one of the key goal indicators (KGIs) by FY2026 in our 2026 Medium-Term Management Plan, and will pursue improvement of profitability on capital with an awareness of the cost of capital. We are also striving to expand constructive dialogue with shareholders and investors through efforts for shareholder returns as well as SR and IR activities.

Our current analysis, targets, and initiatives to realize management with awareness of cost of capital and stock price are disclosed in our 2026 Medium-Term Management Plan: Step for the FUTURE posted on our website, as well as in our financial results presentation for the second quarter of fiscal year 2023.

(Reference) For details, please refer to URL below.

2026 Medium-Term Management Plan: Step for the FUTURE -Four years to embark for the future-（1.1MB）
p.2, 10-11

Financial results for the second quarter of fiscal year 2023（3.8MB）
p.16

Opportunity for dialogue	Content
Meetings for analysts and institutional investors	Briefing sessions on financial results, management plans, etc. (May and November)
	Individual interviews and small meetings (as appropriate)
IR activities for individual investors	E-mail service for distributing IR information to individual investors (as needed) Publishing Shareholder Reports
Posting IR documentation on the Company’s website	Financial results information, financial results briefing materials, timely disclosure materials, securities reports, quarterly reports, notices of convocation of Ordinary Shareholders Meeting, Shareholder Reports, Corporate Reports, etc.

• Investor Relations

We strive to enhance our corporate value by timely disseminating information about our development of new technologies and products, awards received, and management initiatives through press briefings, invitations for news coverage, press releases, and other means in addition to proactively implementing internal and external PR, for example enhancing our website and Company newsletter.