■ Growth Strategy of Ailic Corporation <7325>

2. Shareholder return plan

With regard to shareholder returns, the company's basic policy is to continue profit distribution with high linkage to performance while balancing the necessary internal reserves for strengthening financial health and preparing for future business expansion, taking into comprehensive consideration the performance trends, financial situation, future business, and investment plans. From the perspective of fair profit distribution to shareholders, the company abolished the shareholder benefit system starting from the fiscal year ending June 2023 and switched to dividend payments. Based on this basic policy, the company set the dividend per share for the fiscal year ending June 2024 at 20.00 yen, a 5.00 yen increase compared to the previous year (year-end lump sum). The dividend payout ratio is 46.7%. Additionally, the company plans to maintain the dividend per share for the fiscal year ending June 2025 at 20.00 yen (year-end lump sum), with an estimated dividend payout ratio of 38.9%. Further, aiming to improve capital efficiency and return profits to shareholders, the company has been conducting share buybacks. From February 15, 2023, to August 14, 2023, the company repurchased 300,300 shares of its own stock, and additionally from August 21, 2023, to February 16, 2024, the company repurchased 200,000 shares of its own stock.

3. Sustainability Management

The company conducts its business activities aiming to achieve the coexistence of benefits among customers, insurance companies, and agents, 'creating a virtuous cycle' in insurance distribution and conducting business activities to protect the interests of customers. At the same time, the company acknowledges that its business activities influence the global environment and local communities, therefore providing services that contribute to solving social issues and promoting initiatives towards achieving sustainability.

Examples of the company's initiatives include providing assurance through insurance sales, supporting Cliniclown activities, supporting children's future support funds, improving the convenience of insurance distribution through service provision utilizing IT, creating a work environment and employment environment where female employees can play an active role, promoting energy saving through the introduction of LED lighting in directly operated stores, support for the Eco-Cap Movement, holding baseball classes for elementary school students, participating in local cleanup activities, and more. In May 2024, the company ranked 5th in the 'Top 50 Companies with High Proportion of Female Department Heads' published by Toyo Keizai Online ('The percentage of female department heads in the company is 57.1%, while the overall average is 5.1%'). Furthermore, the company maintains a return rate after maternity leave of the nurses in the 90% range due to the enhancement of employee benefits.

(Authored by FISCO guest analyst Masanobu Mizuta)