Link to see PDF ver.

Notice of Determination of Dividends from Retained Earnings and Acquisition of Treasury Stock and Cancellation of Treasury Stock

 

(Translation)

Dear all,

Name of Company: SEGA SAMMY HOLDINGS INC.
Name of Representative: Haruki Satomi,
President and Group CEO, Representative Director
(Code No. 6460, Tokyo Stock Exchange Prime)
Further Inquiry: Genta Atobe,
Managing Director of Corporate Planning Division
(TEL: 03-6864-2400)

 

Notice of Determination of Dividends from Retained Earnings  and Acquisition of Treasury Stock and Cancellation of Treasury Stock

(Acquisition of Treasury Stock Based on Articles of Incorporation Pursuant to Article 165 Paragraph 2 of the Companies Act of Japan and Cancellation of Treasury Stock Pursuant to Article 178 of the Companies Act of Japan)

 

 

SEGA SAMMY HOLDINGS INC. (the Company) hereby notifies that it has decided the dividends from retained earnings (year-end dividends) and the matter related to the acquisition of treasury stock and the cancellation of treasury stock at Board of Directors meeting today as described below.

 

1. Dividends from Retained Earnings (year-end dividends)

 

１）Details of year-end dividends for the fiscal year ended March 2025

	Determined amount	Most recent dividend forecast (Announced on May 10, 2024)	Results for previous fiscal year (Fiscal year ended March 2024)
Record date	March 31, 2025	Same as left	March 31, 2024
Cash dividends per share	27.00 yen	25.00 yen	27.00 yen
Total dividend amount	5,826 million yen	–	5,832 million yen
Effective date	June 4, 2025	–	June 5, 2024
Dividend Source	Retained earnings	–	Retained earnings

Note: Total dividend amount includes 53 million yen dividends to the shares of the Company held by the executive compensation BIP Trust and the stock-granting ESOP Trust.

 

２）Reason for dividends

With the return policy described below, for the dividends from retained earnings for the fiscal year ended March 2025, we have paid the interim dividends for 25 yen per share, and we determined the year-end dividend for 27 yen per share, which is an increase of 2 yen from interim dividends.

 

３）About shareholder return policy

We set DOE (Dividend on equity ratio) 3% or more, or the total return ratio of 50% or more, whichever is higher as the basis for shareholder return and return through dividends or share buybacks. In accordance with this policy, we have decided to pay annual dividend of 52 yen (25 yen for interim and 27 yen for year-end), and in addition, we have decided to acquire our treasury stock with the upper limit of 12.0 billion yen for the fiscal year ended March 2025. As a result, total shareholder returns were approximately 23.2 billion yen (breakdown: approximately 11.2 billion yen for dividends and the upper limit of 12.0 billion yen for acquisition of treasury stock) and a total return ratio was approximately 51.5% for the fiscal year ended March 2025. Also, total shareholder returns excluding dividends to the shares of the Company held by the executive compensation BIP Trust and the stock-granting ESOP Trust were approximately 23.1 billion yen and a total return ratio was approximately 51.3%.

 

Since the initial dividend forecast is provisionally calculated based on a DOE 3%, the annual dividend forecast for the fiscal year ending March 2026 is expected to be 55 yen (27 yen for interim and 28 yen for year-end) which is expected to result in shareholder return amounts of approximate 11.7 billion yen.

 

For reference, if return is calculated with total return ratio of 50%, as the profit attributable to owners of parent in the operating results forecast for the fiscal year ending March 2026 announced today is 37.5 billion yen, the return amount in this case would be approximately 18.7 billion yen.

*The actual amount of shareholder returns and the method of return may change depending on the progress of business performance and other factors.

 

 

2. Acquisition of Treasury Stock and Cancellation of Treasury Stock (Acquisition of Treasury Stock Based on Articles of Incorporation Pursuant to Article 165 Paragraph 2 of the Companies Act of Japan and Cancellation of Treasury Stock Pursuant to Article 178 of the Companies Act of Japan)

 

At the Board of Directors meeting today, the Company has resolved the matter related to the acquisition of treasury stock, pursuant to the provisions of Article 156 of the Companies Act of Japan as applied by replacing the provisions stipulated in Article 165 Paragraph 3 of the same law and cancellation of treasury stock Pursuant to Article 178 of the Companies Act of Japan.

 

１）Reasons for the acquisition and cancellation of treasury stock

We have decided to acquire the treasury stock in addition to the dividends from retained earnings, taking into consideration of overall factors including the future business growth and the recent stock price level of the Company. In addition, we have decided to cancel a certain number of treasury stocks, excluding those necessary for future stock compensation, etc.

 

２）Details of the acquisition of treasury stock

 

(1)	Type of shares to be acquired:	Common shares
(2)	Total number of shares to be acquired:	6 million shares (upper limit) Ratio to total number of shares outstanding (excluding treasury stocks): 2.81%
(3)	Total cost of acquisition:	12.0 billion yen (upper limit)
(4)	Acquisition period:	From May 13, 2025 to December 31, 2025
(5)	Acquisition method:	Market purchase on the Tokyo Stock Exchange

 

 

３）Details of the cancellation of treasury stock

(1)	Type of shares to be cancelled:	Common shares
(2)	Total number of shares to be cancelled:	20 million shares Ratio to total number of shares outstanding (including treasury stocks): 8.29%
(3)	Proposed date of cancellation:	May 23, 2025
(4)	Total number of shares outstanding after the cancellation	221,229,476 shares (including treasury stocks)

 

 

(Reference)

1. Break down of annual shareholder return amounts               (billion yen)

Record date	Total dividends	Amount for share buyback	Amount of shareholder returns	Total return ratio
Results for FY2025/3	11.20	12.00	23.20	51.5%
Results for FY2024/3	10.91	10.00	20.91	63.3%

 

 

2. Number of treasury stocks held as of March 31, 2025

 

Total number of shares outstanding (including treasury stocks)	241,229,476 shares
Total number of treasury stocks	27,418,879 shares

Note: The Company has introduced an executive compensation BIP Trust and a stock-granting ESOP Trust from this consolidated fiscal year, and the Company’s shares held by these trusts are included in the total number of treasury stocks.

 

 

– END –