Notice Concerning the Long-Term Vision and the New Medium-Term Management Plan

TDK Corporation (hereafter, TDK) today announced its long-term vision and new medium-term management plan (FY March 2025-FY March 2027). TDK starts its new medium-term management plan with the long-term vision "TDK Transformation”.

TDK Transformation
～Accelerating transformation for a sustainable future～

・ Contribute to the transition towards a sustainable future by accelerating the transformation of society and advancements in technology enabled by electronic devices developed through leveraging cutting-edge innovation in materials, processes, and software technology.
・ Become the No.1 partner growing alongside our worldwide customers by pursuing continuous “transformation”.

The main initiatives and quantitative targets are shown as follows.

○ Main Initiatives

• Strengthen management focusing on cash flows
• Enhance business portfolio management（Emphasizing ROIC）
• Evolving Ferrite Tree (Strengthen Pre-financial capital*)
  *Non-financial capital which will be converted to future financial value is named “Pre-financial capital” in TDK.

○ Quantitative Targets (FY March 2027)

• Sales 2,500 billion yen (CAGR approximately 5%)
• ROIC 8% or higher
• Operating profit margin 11% or higher

○ Shareholder Return Policy

• Dividend payout ratio 35% (Raised by 5% from our previous medium-term guideline)

Please refer to TDK website.
Materials can be found at:
https://www.tdk.com/en/ir/ir_events/strategy/20240522/index.html