Notice Regarding Dividends of Surplus

For Immediate Release

May 22, 2025

Company name: Fuji Seal International, Inc. Representative: Shigeko Okazaki, President and CEO Stock code: 7864 TSE Prime

Contact: Fumitaka Goto, IR Division Manager TEL: +81-6-6350-1080

Notice Regarding Dividends of Surplus

Fuji Seal International, Inc. (the "Company") hereby announces that it has resolved, at a meeting of the Board of Directors held today, to pay dividends of surplus with a record date of March 31, 2025. Details are as follows. The Articles of Incorporation of the Company stipulates that matters related to dividends of surplus provided in the paragraph 1 of Article 459 in the Companies Act shall be subject to resolution by the Board of Directors.

1. Details of dividend

   	Resolved year-end dividend	Most recent dividend forecast （Announced on May 13, 2025）	Result for the fiscal year ended March 31, 2024
   Record date	March 31, 2025	March 31, 2025	March 31, 2024
   Dividend per share	38 yen	38 yen	43 yen
   Total dividend	2,055 million yen	-	2,356 million yen
   Effective date	June 9, 2025	-	June 4, 2024
   Source of Dividends	Retained earnings	-	Retained earnings

2. Reason

We believe that the most important management issue is to return profits to shareholders in accordance with the consolidated business performance for each fiscal year, and to do so in a continuous and stable manner. For this reason, our basic policy regarding profit distribution is as follows.

① Invest in continued growth (technology development, human capital development, capital expenditures, M&A)

② While targeting a consolidated dividend payout ratio of 30% in principle, referring to DOE ratio and variation of business environment comprehensibly, also increase the dividend per share in a stable and sustained manner

③ Build a stable financial base prepared for emergencies and flexibly acquire and dispose of treasury stock (increase capital efficiency)

In the consolidated financial results for the fiscal year ended March 2025, net profits exceeded the initial forecast, thanks to the contribution of profitability improvement measures that have been continuously implemented in each region. In light of this situation and the dividend policy described above, we decided to pay a year-end dividend of 38 yen per share for the fiscal year ended March 31, 2025. As a result, the annual dividend, including the interim dividend (30 yen per share), will be 68 yen per share, and the consolidated dividend payout ratio will be 30.2%. Payments shall commerce on June 9, 2025.

(Reference) Break down of Annual Dividend