Performance-linked compensation based on consolidated net income
First written in FY2019. 2 of 8 entries say "Reframed", first in FY2021. Latest entry: FY2026.
The whole theme swung hardest in 2017: 2 of 15 companies on the "Worse" side.
45 other companies' latest entry also says "Other".
- FY2026Update to the actual total payout ratioAnnual report
「The actual result for the fiscal year under review was consolidated net income of ¥53,427 million. In addition, the metric for stock-based compensation attributable to the fiscal year under review was total payout ratio. The target for the fiscal year under review was 30%, as stated in c. above, and the actual result was 31.24%.」
Actual consolidated net income for the bonus metric was ¥53,427 million, while total payout ratio for the stock-based compensation metric was 31.24% against a target of 30%. - FY2025Update to the actual total payout ratioAnnual report
「The actual result for the relevant metric in the fiscal year under review was consolidated net income of ¥81,153 million. In addition, the metric for stock-based compensation attributable to the fiscal year under review was total payout ratio. The target for the fiscal year under review was 30%, as stated in h. below, and the actual result was 30.25%.」
Consolidated net income, the bonus metric, was ¥81,153 million, while total payout ratio, the stock-based compensation metric, was 30.25% against a target of 30%. - FY2024Disclosure of actual total payout ratioAnnual report
「The actual result for the relevant metric in the fiscal year under review was consolidated net income of ¥53,661 million. In addition, the metric for stock-based compensation attributable to the fiscal year under review was total payout ratio. The target for the fiscal year under review was 30%, as stated in h. below, and the actual result was 44.77%.」
The Company disclosed consolidated net income of ¥53,661 million as the bonus metric, and a target total payout ratio of 30% and actual result of 44.77% as the stock-based compensation metric. - FY2023ReframedAnnual report
「Of performance-linked compensation, stock-based compensation consists of a number of the Company's shares and cash equivalent to the market value of the Company's shares, in amounts corresponding to the number of points granted according to position, performance and other factors under the officer stock benefit rules approved by the Board of Directors and within the compensation amount approved at the General Meeting of Shareholders. In principle, these benefits are provided when directors retire. Because the Company recognizes the return of profits to shareholders as an important management issue, total payout ratio is generally used as the performance evaluation metric.」
The performance evaluation metric for stock-based compensation was changed from annual dividend payments through fiscal 2022 to total payout ratio from fiscal 2023 onward, with a target of 30%. - FY2022AdvancedAnnual report
「At a Board of Directors meeting held on 28 March 2022, the Company resolved that, for the bonus payment policy for fiscal years from fiscal 2022 onward, directors' contribution to managing the Company would be evaluated based not only on their contribution to performance but also on the achievement of annual targets and the business plan, including greenhouse gas emissions reduction targets, as well as talent management, leadership and execution capabilities.」
In addition to the previous approach of determining bonuses based on consolidated net income, the Company expressly added annual targets and the business plan, GHG emissions reduction targets, and talent management as evaluation criteria. - FY2021ReframedAnnual report
「For the stock-based component of performance-linked remuneration, directors are generally provided, upon retirement, with the number of Company shares corresponding to the points awarded based on their position and performance, as well as cash equivalent to the market value of those shares, within the remuneration amount approved by the General Meeting of Shareholders and pursuant to the director stock benefit rules approved by the Board of Directors. In principle, annual dividends are used as the performance evaluation indicator in order to maintain the basic policy of stable long-term dividends.」
In addition to bonuses based on consolidated net income, the Company has structured a performance-linked remuneration system incorporating stock-based remuneration tied to annual dividends. - FY2020RestatedAnnual report
「Consolidated net income (¥26,815 million in the current fiscal year) is used as an indicator of contribution to performance during the fiscal year, with dividends, employee bonus levels, each director's contribution to managing the Company in the relevant fiscal year, past performance and payment records, among other factors, taken into comprehensive consideration.」
The Company continues its system of determining performance-linked remuneration based on consolidated net income and disclosed ¥26,815 million as the base indicator for the current fiscal year. No target continues to be set for the indicator. - FY2019First statedAnnual report
「For performance-linked remuneration (bonuses) for directors, the total amount payable is approved by resolution of the General Meeting of Shareholders. For each director, the amount is determined by Representative Director and President Okada Shuichi (岡田 秀一), pursuant to a resolution of the Board of Directors, based on consolidated net income (¥14,770 million in the current fiscal year) as an indicator of contribution to performance during the fiscal year, taking comprehensive account of dividends, employee bonus levels, each director's contribution to managing the Company in the relevant fiscal year, past performance and payment records, among other factors. No target has been set for this performance-linked remuneration indicator.」
For the first time, the Company has disclosed as a standalone topic its system of determining director performance-linked remuneration based on consolidated net income and the fact that no target is set for the indicator.