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Disclosure6798SMK CorporationElectrical Equipment and Precision Instruments

Notice Regarding the Reversal of General Reserve

The Company has decided to submit to the Annual General Meeting of Shareholders a proposal to withdraw ¥2 billion from the general reserve and transfer the same amount to retained earnings brought forward. Subject to approval at the General Meeting of Shareholders, the withdrawal and transfer are scheduled to take effect on 23 June 2026.

Worth reading
66In focus
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Neutral
Direction inferred from the company’s description.
Scale
2000000000
¥
Wording
Conditional
How definitive the wording is.

Decision and Details

Resolution under Article 370 of the Companies Act (written resolution in lieu of a resolution at a meeting of the Board of Directors)

Reversal of the general reserve

Decision25 May 2026
Implementation23 June 2026 (scheduled, subject to approval at the 104th Annual General Meeting of Shareholders scheduled to be held on 23 June 2026)
Going forwardThe proposal will be submitted to the 104th Annual General Meeting of Shareholders scheduled to be held on 23 June 2026 for approval. Subject to approval, the withdrawal and transfer are scheduled to take effect on the same date.
AmountDecrease in general reserve: ¥2,000,000,000; increase in retained earnings brought forward: ¥2,000,000,000
Reason

To enable the Company to pay stable dividends to shareholders.

Impact on Business Performance

As this is a transfer between accounts within net assets, there will be no change in total net assets and no impact on financial results.

Decision and Details
ItemDetails
Matter CoveredReversal of the general reserve
Decision-Making BodyResolution under Article 370 of the Companies Act (written resolution in lieu of a resolution at a meeting of the Board of Directors)
Decision Date25 May 2026
Implementation Date23 June 2026 (scheduled, subject to approval at the 104th Annual General Meeting of Shareholders scheduled to be held on 23 June 2026)
AmountDecrease in general reserve: ¥2,000,000,000; increase in retained earnings brought forward: ¥2,000,000,000
Impact on Business PerformanceAs this is a transfer between accounts within net assets, there will be no change in total net assets and no impact on financial results.
ReasonTo enable the Company to pay stable dividends to shareholders.
Governing RuleArticle 370 of the Companies Act
Future plansThe proposal will be submitted to the 104th Annual General Meeting of Shareholders scheduled to be held on 23 June 2026 for approval. Subject to approval, the withdrawal and transfer are scheduled to take effect on the same date.
Items this document does not state (3)
Period CoveredQuantity / scaleRelated previous disclosures

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

To enable the Company to pay stable dividends to shareholders.

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Notice Regarding the Reversal of General Reserve | SMK Corporation (6798) timely disclosure | Komori