Message to Our Shareholders and Investors

Working toward Sustainable Growth and Evolution

Naohiro Takao
President and Representative Director

We would like to express our sincere appreciation for the continued support of our shareholders and investors.

The automotive industry is undergoing an unprecedented transformation, driven by electrification, advances in vehicle intelligence, and shorter vehicle development cycles. As the industry changes, the value customers expect from suppliers is changing as well. It is no longer enough to supply individual body parts. Companies are now expected to offer more advanced and integrated solutions to remain the supplier of choice and an indispensable partner for our customers.

We see this transformation as an opportunity for growth. As a vehicle system supplier responsible for every stage from development through mass production, we are committed to remaining the supplier of choice for our customers. To achieve this, we will continue strengthening our development capabilities, technological expertise, and business foundation, while building a resilient organization that can continue to grow regardless of changes in the business environment.

By the fiscal year ending March 31, 2031, we aim to achieve consolidated net sales of ¥400.0 billion, operating profit of ¥28.0 billion, and an operating profit margin of at least 7%. We have also added a new target of achieving a return on equity (ROE) of 10% or more. With our price-to-book ratio (PBR) remaining below 1.0, this target is intended to clearly demonstrate our commitment to managing the Company with a greater focus on capital efficiency. We regard the three-year period through the fiscal year ending March 31, 2029 as an important time to strengthen our earnings capacity and business foundation, laying the groundwork for achieving these goals.

We will continue to provide stable dividends over the long term, targeting a dividend payout ratio of at least 30% while maintaining an appropriate balance with growth investment. We also aim to achieve dividend on equity (DOE) of 3.0% by the fiscal year ending March 31, 2031.

We are also strengthening our investor relations activities to enhance corporate value. In addition to continuing to hold presentations for individual investors and engage in dialogue with institutional investors, we plan to hold a new business briefing for existing shareholders. We are working to enhance both the quality and quantity of our disclosures, including by improving the G-TEKT Report (Integrated Report) and other communications. Through these initiatives, we aim to communicate our management policies and growth strategy more proactively and increase transparency, with the goal of earning an appropriate market valuation and improve our PBR.

We will continue to move forward as one team toward the further growth of G-TEKT, and we sincerely ask for your continued support.

June 2026

Naohiro Takao
President and Representative Director