OMRON Corporation: Determination of Dividends (Interim Dividend) and Revision of Year-End Dividend Forecast

Kyoto (pta019/26.10.2022/17:34 UTC+2)

October 26, 2022

Determination of Dividends (Interim Dividend) and Revision of Year-End Dividend Forecast

KYOTO, Japan – At a meeting held today (October 26, 2022) the OMRON Corporation (TOKYO: 6645; ADR: OMRNY) board of directors resolved to approve a dividend from surplus (interim dividend) with a record date of September 30, 2022. The board also resolved to revise the year-end dividend forecast for the fiscal year ending March 31, 2023.

1. Determination of Dividends (Interim Dividend)

2. Revision of Year-End Dividend Forecast

3. Reasons for Revision

In line with our cash allocation policy and shareholder return policy, the annual dividend forecast will remain unchanged from the initial forecast of 98.00 yen. Our forecasts of interim dividends and year-end dividends are 49.00 yen per share, respectively, each representing half of our full-year dividend forecast. These amounts are a 3.00 yen per share increase year on year.

Cash Allocation Policy

(1) Aiming to maximize corporate value through the realization of the long-term vision, OMRON prioritizes the necessary investment to create new value from a medium- and long-term perspective. During SF 1st Stage, priority will be placed on investments in human resources and R&D to solve social issues and innovate driven by social needs; capital investments in production capacity increases and digital transformation (DX); investment in growth initiatives such as M&A&A (merger, acquisition, and alliance); and investment in sustainability initiatives such as decarbonization, reduction of environmental impacts, and respect for human rights in the value chain. On this basis, OMRON will return profits to shareholders in a stable and sustainable manner.

(2) Such investment for value creation and shareholder returns will be, in principle, sourced from internal reserves and operating cash flows that are generated continually, with appropriate financing facilities used as necessary. We will maintain a degree of financial soundness that allows us to seek financing regardless of the current financial situation.

Shareholder Return Policy

(1) With priority being placed on the investment necessary for value creation over the medium and long term, annual dividends will be based on "dividends on equity (DOE) of around 3%." Taking past dividend payments also into account, we intend to ensure stable and sustainable shareholder returns.

(2) After making the above investments and distributing profit to shareholders, OMRON will distribute retained earnings accumulated over the long term to its shareholders through strategic share buybacks and other measures.

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Emitter:	OMRON Corporation Shiokoji Horikawa, Shimogyo-ku 600-8530 Kyoto Japan
Contact Person:	Jan Hutterer
Phone:	+49 172 3462831
E-Mail:	jan.hutterer@kirchhoff.de
Website:	www.omron.com
ISIN(s):	DE0008647488 (Share) JP3197800000 (Share)
Stock Exchange(s):	Regulated Market in Frankfurt; Free Market in Berlin, Hannover, Stuttgart
Other Stock Exchanges:	NASDAQ, Tokio