Communications with Shareholders and Investors_title
Communications with Shareholders and InvestorsCorporate Governance
Communications with Shareholders and Investors_main
- IR Structure
- Various IR Activities and Events to Respond to the Needs of Wide-ranging Shareholders
- Enhancing Shareholder Returns from a Long-term Perspective and Improving Corporate Value through Financial Policies
- Efforts to Increase Employees’ Awareness of Participation in Management
- Disclosing Information on the Website
- The Promotion of Appropriate Information Disclosure
- Vitalizing the Shareholders Meeting and Facilitation of the Exercise of Voting Rights
ROHM has established the Investor Relations (IR) division which oversees of investor relations activities and provides timely corporate information to shareholders and investors worldwide in cooperation with board members and each business department. At the same time, we strive to improve corporate value through proactive dialogue, such as sharing feedback regarding our investors’ needs within the company.
Various IR Activities and Events to Respond to the Needs of Wide-ranging Shareholders
ROHM holds a variety of IR events to respond to diverse needs of shareholders.
Specifically, we hold biannual financial results briefings for analysts, meetings with overseas investors, briefings for securities companies, and company presentations for individual investors. In this way, we communicate with our shareholders and investors in various ways throughout the year.
Since FY2022, the meetings performed face-to-face have gradually increased.
Again, the growing interest in ESG, we have been actively holding ESG meetings focusing on ESG themes.
In FY2022, we conducted more than 400 IR meetings per year in person or online.
TOPICS. Past Activities
Briefings for Individual Investors
We are holding briefings for each securities company, holding company presentations at each branch office, and stepping up IR activities for individual investors. We also participated not only online but also in face-to-face meetings.
Opening Ceremony for New SiC Building
ROHM held the opening ceremony for the new SiC building on June 8, 2022. We were able to further deepen the understanding of our SiC business initiatives among the media who attended the ceremony, as well as analysts and institutional investors who participated online.
Enhancing Shareholder Returns from a Long-term Perspective and Improving Corporate Value through Financial Policies
ROHM’s basic policy for returning profits to shareholders is based on the payment of stable ordinary dividends.
In addition, as part of our mid-term plan, we will work to improve financial efficiency by reducing cash on hand and purchasing treasury stock.
- (1) Aim for a consolidated dividend payout ratio of 30% or more.
- (2) Timely acquisition of treasury stock to improve capital efficiency.
- (3) Reduce cash reserves in stages over five years to below 50% of annual sales in FY2025.
- (4) Invest 600 billion yen over five years for business growth, and actively return profits to shareholders.
|Net Income Per Share
|Dividend Payout Ratio||68%||35%||61%||40%||27%||24%|
|Repurchase of Treasury Stock (100 million yen)||-||100||413||87||-||200|
Efforts to Increase Employees’ Awareness of Participation in Management
ROHM Group has established an employee stock ownership plan. The purpose of this program is to enhance employee benefits and increase their awareness of participation in management. Employees can continually purchase shares from their own monthly salaries and bonuses, starting from a small amount.
In March 2022, the incentive grant rate for the stock ownership plan was increased from 10% to 20% in order to improve employees’ asset building with the company's shares and to increase employees’ engagement further.
This has had the effect of increasing the shareholding association participation rate by more than 30%. In addition, we hold briefings on financial results and employee stock ownership plan every quarter. The content of these meetings is also distributed via the company intranet. In addition, we share information such as the results of analyses by external analysts.
We will continue to take measures that lead to employees' participation in management from the same perspective as that of shareholders, aiming to further enhance our corporate value.
Disclosing Information on the Website
ROHM has created a page for shareholders and investors on our website in order to provide timely updates of the information investors need.
In addition to disclosure documents such as financial summaries, securities reports, and corporate governance reports, the website provides a variety of investment-related information in an easy-to-understand format, including financial results briefing materials, long-term financial data, product introduction pages, and ESG information. Moreover, we have designed a new web page for individual investors for better understanding.
The Promotion of Appropriate Information Disclosure
ROHM has established a Disclosure Policy and strives to provide fair and accurate information in a timely manner.
ROHM has established the Information Disclosure Committee to maintain an appropriate information disclosure system. The committee strives to further strengthen information disclosure by confirming and disclosing material facts as required by law, checking ROHM Group information disclosure system, and conducting educational activities for employees.
Vitalizing the Shareholders Meeting and Facilitation of the Exercise of Voting Rights
ROHM is striving to create an environment that facilitates the exercise of voting rights by posting English-language convocation notices on our website and investor platform website, and accepting votes via the Internet. In addition, we are conducting IR activities and promoting the exercise of voting rights based on surveys to determine the identity of foreign investors.
At our general meeting of shareholders, we not only give required reports and put matters to resolution but also try to provide easy-to-understand explanations. They include the utilization of videos to explain business performance, market trends and management policy, the on-screen presentation of questions and answers to investor FAQ, and the showing of products.