Menicon : Notice of Revisions to Financial Forecasts and Dividend Forecasts

August 11, 2020

Menicon Co., Ltd.

President and CEO: Hidenari Tanaka

Securities Code: 7780

TSE, 1st section, NSE, 1st section

Contact:

Motonari Watanabe

Senior Executive Officer,

Corporate Management, CFO

Phone:[phone]

Notice of Revisions to Financial Forecasts and Dividend Forecasts

Menicon Co., Ltd. hereby announces that it has revised the full-year consolidated financial forecasts and dividend forecasts for the fiscal year ending March 31, 2021, which were announced as undetermined on May 28, 2020.

For details, please refer to the follows.

1-1. Revised consolidated financial forecasts for the full fiscal year ending March 31, 2021.

(April 1, 2020 to March 31, 2021)				(Million yen)
				Profit	Basic
		Operating	Ordinary	attributable
	Net sales	earnings per
	profit	profit	to owners of
		share
				parent
Previous forecast A	－	－	－	－	－
Revised forecast B	84,839	6,838	6,821	4,256	JPY 112.78
Difference B－A	－	－	－	－	－
Percentage change	－	－	－	－	－
(％)
(Reference) Results
of the previous year	84,519	7,033	6,554	4,060	JPY 112.25
(Fiscal year ending
March 31, 2020)

1-2. Reason

As we were unable to predict the future spread of COVID-19 and the timing of its containment, forecast of consolidated business results for the fiscal year ending March 31, 2021 was undetermined due to the difficulty of reasonably forecasting the impact of COVID-19. However, we have calculated the forecast of consolidated business results based on the information and estimates currently available to the Company. The calculations are based on the assumption that social restrictions, including the declaration of another state of emergency, will not be enforced.

With the lifting of the state of emergency in Japan and the removal of restrictions on going out in regions overseas, the Group has resumed normal business, and sales are in a recovery trend. In the second half (the third and fourth quarters of the fiscal year under review), we will engage in sales promotion activities and business activities aimed at future business expansion, and expect that sales growth compared with the same period of the previous year will return to same level as usual years and that business results in the full year will be similar to the previous year's. Since MELS Plan is a membership system, we anticipate that sales will increase steadily from the previous year in line with the increase in membership. As a result of taking the above assumptions into account with the actual results for the first quarter of the fiscal year under review, the consolidated business results forecast for the full year ending March 31, 2021 is for net sales of ¥84,839 million, operating profit of ¥6,838 million, ordinary profit of ¥6,821 million, and profit attributable to owners of parent of ¥4,256 million.

The above business results forecast is based on information currently available to the Company as of the date of publication of these materials and actual results may differ from forecasts due to various factors including the timing of the containment of the COVID-19 outbreak.

2-1. Revised consolidated dividend forecasts for the full fiscal year ending March 31, 2021.

			Annual dividends
	1st	2nd		3rd		Year-end	Total
	quarter-end	quarter-end		quarter-end
Previous dividend forecasts	Yen	Yen		Yen		Yen	Yen
-	-		-		-	-
(Announced on May 28, 2020)
Revised forecasts	-	-		-		28.00	28.00
Previous period result	-	-		-		28.00	28.00
(Fiscal year ending March 31, 2020)

2-2. Reason

With regard to dividends, the Company recognizes that the continuous return of profits to shareholders is one of our most important management objectives, and our basic policy is to make continuous and stable dividend payments. The forecast of dividends for the fiscal year ending March 31, 2021 was undetermined due to the difficulty of forecasting consolidated business results for the fiscal year ending March 31, 2021; however, based on the above consolidated business results forecast and the above basic policy, we forecast a dividend payment of ¥28 per share.

End