IMAGICA : Notice of Revisions to Financial Forecast and Dividend Forecast(Dividend Increase)

	December 24, 2021
Company name	IMAGICA GROUP Inc.
Title and Name of	Nobuo Fuse
Representative Director, President
Representative
(Securities code: 6879, TSE 1st Section)
Inquiries	Masakazu Morita
Director, Managing Executive Officer
TEL	[phone]

[Delayed] Notice of Revisions to Financial Forecast and Dividend Forecast

(Dividend Increase)

In view of recent trends in operating results, IMAGICA GROUP Inc. has revised its consolidated full-year financial forecast for the fiscal year ending March 31, 2022 announced on August 3, 2021 and dividend forecast announced on May 13, 2021. Details are as follows.

1. Revisions to consolidated financial forecast for the fiscal year ending March 31, 2022 (April 1, 2021 to March 31, 2022)

		Operating	Ordinary	Net income	Net income
	Net sales	attributable to
	income	income	owners of	per share
				parent
	Million yen	Million yen	Million yen	Million yen	Yen
Previous forecast (A)	75,000	1,500	2,000	2,000	45.06
Revised forecast (B)	77,000	2,000	2,500	2,500	56.32
Change (B-A)	2,000	500	500	500	11.26
Percentage change (%)	2.6%	33.3%	25.0%	25.0%	24.9%
(Ref.) Previous results	86,727	(1,084)	(1,343)	3,454	77.89
(FY3/21)

Reasons for the revision

Net sales are expected to exceed the previous forecast due to the strong performance of our E2E services for video streaming service providers both domestically and overseas, as well as strong orders for music live recording and commercial production.

Operating income, ordinary income, and net income attributable to owners of parent are expected to exceed the previous forecast due to factors such as an increase in gross profit due to favorable orders for E2E services, and the effects of structural reforms in the Production Services are expected to continue from the second quarter onward.

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2. Revisions to dividend forecast

	Annual dividend per share
	End of Q2	Year-end		Total
	Yen	Yen		Yen
Previous forecast (A)	－	5.00		5.00
Revised forecast	－	10.00		10.00
Current results	0.00
(Ref.) Previous results	0.00	0.00		0.00
(FY3/21)

Reasons for the revision

Based on the principle of distributing profits in line with consolidated business performance, the Company has set a target consolidated dividend payout ratio of 30%, aiming to maintain stable dividends and improve the dividend level. In cases where special factors such as extraordinary profit and loss have a significant impact on net income, the Company decides on dividends based on the dividend payout ratio taking into account special factors and comprehensively taking into account stable dividends to shareholders, future business development, and the status of internal reserves.

Based on this basic policy, after comprehensively taking into account the dividend payout ratio after excluding extraordinary factors such as gains on sales of investment securities and gains on sales of shares of subsidiaries and affiliates and transfer-related expenses, we have decided to revise the dividend forecasts announced on May 13, 2021 and to raise the dividend by 5 yen per share from the previous forecast to 10 yen per share.

(Note) The above forecasts are based on information available at the time of publication. Actual results may differ from these forecasts due to various factors that may occur in the future.

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