AXELL CORPORATION

<h3>3. Dividend Policy</h3>
<p style="margin-left: 24px; line-height: 17.333333333333333333333333333px; text-align: justify; text-justify: inter-ideograph; text-indent: 12px">Our shareholder return policy aims to maximize returns to shareholders by balancing "the return of periodic earnings to shareholders" with "internal reserves necessary to enable flexible management." Based on this policy, we principally set dividend payments at 50% of net income for the period (a 50% dividend payout ratio). If the dividend amount calculated at a 50% payout ratio falls below the prior year's dividend, we will consider the dividend amount while securing appropriate internal reserves and taking into account the previous dividend level. The dividend payout ratio is calculated on a consolidated basis.</p>
<p style="margin-left: 24px; line-height: 17.333333333333333333333333333px; text-align: justify; text-justify: inter-ideograph; text-indent: 12px">We maintain internal reserves at an appropriate level corresponding to our business scale, targeting three years' worth of selling, general and administrative expenses. We also place importance on capital-efficient management from the perspective of enhancing corporate value. We implement capital policies that carefully balance both considerations. Internal reserve funds are utilized primarily for research and development and necessary capital for new business initiatives based on our medium- to long-term growth strategy, as we work to continuously enhance corporate value.</p>
<p style="margin-left: 24px; line-height: 17.333333333333333333333333333px; text-align: justify; text-justify: inter-ideograph; text-indent: 12px">Our articles of incorporation provide that the Board of Directors may resolve to pay interim dividends with a record date of September 30 each year. The decision-making bodies for these dividends are the Board of Directors for interim dividends and the shareholders' meeting for year-end dividends.</p>
<p style="margin-left: 24px; line-height: 17.333333333333333333333333333px; text-align: justify; text-justify: inter-ideograph; text-indent: 12px">For the current fiscal year, in accordance with the basic policy above, we plan a dividend of 45 yen per share. The consolidated dividend payout ratio will be 50.4%.</p>
<p style="margin-left: 12px; margin-bottom: 6px; text-align: left; text-indent: 12px">The dividend of surplus for the current fiscal year is as follows.</p>
<div style="margin-left: 30px">
<table style="table-layout: fixed; width: 396px" cellpadding="0" cellspacing="0">
<colgroup>
<col style="width: 156px"/>
<col style="width: 120px"/>
<col style="width: 120px"/>
</colgroup>
<tbody>
<tr style="height: 40px">
<td style="vertical-align: middle; width: 156px; padding-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; border-left: 1px solid #000000; border-top: 1px solid #000000; border-right: 1px solid #000000; border-bottom: 1px solid #000000">
<p style="line-height: 13.333333333333333333333333333px; text-align: center">Date of Resolution</p>
</td>
<td style="vertical-align: middle; width: 120px; padding-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; border-left: 1px solid #000000; border-top: 1px solid #000000; border-right: 1px solid #000000; border-bottom: 1px solid #000000">
<p style="line-height: 13.333333333333333333333333333px; text-align: center">Total Dividend Amount</p>
<p style="line-height: 13.333333333333333333333333333px; text-align: center">(Million Yen)</p>
</td>
<td style="vertical-align: middle; width: 120px; padding-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; border-left: 1px solid #000000; border-top: 1px solid #000000; border-right: 1px solid #000000; border-bottom: 1px solid #000000">
<p style="line-height: 13.333333333333333333333333333px; text-align: center">Dividend per Share</p>
<p style="line-height: 13.333333333333333333333333333px; text-align: center">(Yen)</p>
</td>
</tr>
<tr style="height: 26.67px">
<td style="vertical-align: middle; width: 156px; padding-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; border-left: 1px solid #000000; border-top: 1px solid #000000; border-right: 1px solid #000000; border-bottom: 0px none ">
<p style="text-align: center">
<ix:nonNumeric name="jpcrp_cor:DateOfResolutionDividendsOfSurplus" contextRef="FilingDateInstant_Row1Member" format="ixt:dateyearmonthdaycjk">June 19, 2025</ix:nonNumeric>
</p>
</td>
<td style="vertical-align: middle; width: 120px; padding-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; border-left: 0px none #000000; border-top: 1px solid #000000; border-right: 1px solid #000000; border-bottom: 1px solid #000000" rowspan="2">
<p style="margin-right: 6px; text-align: right">
<ix:nonFraction name="jpcrp_cor:TotalAmountOfDividendsDividendsOfSurplus" contextRef="FilingDateInstant_Row1Member" unitRef="JPY" decimals="-6" scale="6" format="ixt:numdotdecimal">493</ix:nonFraction>
</p>
</td>
<td style="vertical-align: middle; width: 120px; padding-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; border-left: 0px none #000000; border-top: 1px solid #000000; border-right: 1px solid #000000; border-bottom: 1px solid #000000" rowspan="2">
<p style="margin-right: 6px; text-align: right">
<ix:nonFraction name="jpcrp_cor:DividendPerShareDividendsOfSurplus" contextRef="FilingDateInstant_Row1Member" unitRef="JPYPerShares" decimals="0" scale="0" format="ixt:numdotdecimal">45</ix:nonFraction>
</p>
</td>
</tr>
<tr style="height: 26.67px">
<td style="vertical-align: middle; width: 156px; padding-top: 0px; padding-bottom: 0px; padding-left: 0px; padding-right: 0px; border-left: 1px solid #000000; border-top: 0px none ; border-right: 1px solid #000000; border-bottom: 1px solid #000000">
<p style="text-align: center">
<ix:nonNumeric name="jpcrp_cor:ResolutionDividendsOfSurplus" contextRef="FilingDateInstant_Row1Member" escape="false">Ordinary General Meeting of Shareholders (Planned)</ix:nonNumeric>
</p>
</td>
</tr>
</tbody>
</table>
</div>
<p style="margin-left: 24px; line-height: 17.333333333333333333333333333px; text-align: justify; text-justify: inter-ideograph; text-indent: 12px"> </p>
<p style="line-height: 12px; text-align: left"> </p>

<p>Our basic dividend policy is to maintain a dividend payout ratio of 50%, while considering the previous year's dividend level if the calculated dividend would be lower. Our articles of incorporation allow for interim dividends. We allocate retained earnings to fund research and development and new business initiatives, with the aim of continuously enhancing corporate value.</p>

Fiscal Year	Type	Interim	Year-End	Total	Payout Ratio
FY2026	Revision(2025/11/06)	0	49	49	-
	Revision(2025/09/22)	0	33	49	-
	Forecast(2025/05/09)	0	33	33	49.6%
FY2025	Actual(2025/05/09)	0	45	45	50.4%
	Revision(2024/11/06)	0	41	41	-
	Forecast(2024/05/09)	0	35	35	49.7%
FY2024	Actual(2024/05/09)	0	81	81	49.9%
	Revision(2023/11/08)	0	72	72	-
	Forecast(2023/05/09)	0	51	51	50.5%
FY2023	Actual(2023/05/09)	0	78	78	62.5%
	Revision(2023/03/22)	-	76	76	-
	Revision(2022/11/08)	0	63	63	-
	Revision(2022/09/21)	-	63	63	-
	Forecast(2022/05/10)	0	40	40	86.6%
FY2022	Actual(2022/05/10)	0	40	40	50.0%
	Revision(2022/02/08)	0	35	35	-
	Revision(2021/12/09)	0	21	0	-
	Forecast(2021/05/12)	0	21	21	51.5%
FY2021	Actual(2021/05/12)	0	31	31	51.1%
	Forecast(2020/11/10)	0	11	11	-
FY2020	Actual(2020/11/10)	0	21	21	-

AXELL CORPORATION (6730) Dividends

Dividend Policy

Dividend per Share

Payout Ratio

Dividend Yield

Dividend History (Forecasts, Revisions, Actuals)