Share Dilution from Stock Options
First written in FY2016. 9 of 28 entries say "Restated". Latest entry: FY2026.
Drecom moved to the "Worse" side of this theme in 2021, 1 year after the typical company in this theme (2020).
The whole theme swung hardest in 2017: 37 of 68 companies on the "Worse" side.
69 other companies' latest entry also says "Materialised".
- FY2026MaterialisedAnnual report
「Of the 106,000-share increase in the total number of issued common shares, 20,000 shares resulted from the issuance of new shares upon the exercise of stock acquisition rights, while 86,000 shares resulted from the issuance of restricted stock to employees and others.」
During the period, 20,000 shares were issued through the exercise of stock acquisition rights and 86,000 restricted shares were issued, meaning that part of the potential dilution factors had materialized as an actual increase in shares. - FY2026-H1MaterialisedAnnual report
「Between 1 October 2025 and 31 October 2025, the number of shares increased by 100,000 through the exercise of share acquisition rights (stock options), and by 86,000 through an in-kind contribution made as stock-based compensation with a total of ¥40.592 million in monetary compensation receivables as the contribution.」
By the filing date, 100,000 shares had been issued through the exercise of stock acquisition rights, meaning that part of the potential dilution risk had materialized as actual share issuance. - FY2025-H1MaterialisedAnnual report
「19 April 2024 (Note) 1 20,000 (Note) 1: Increase resulting from the exercise of share acquisition rights.」
The number of shares issued and outstanding increased by 20,000 on 19 April 2024 through the exercise of share acquisition rights. Part of the potential dilution risk materialized as an actual share issuance. - FY2024-Q1Change in the number of shares used to calculate diluted EPSAnnual report
「Increase in common shares (shares) 20,224 Overview of potential shares that were not included in the calculation of diluted quarterly net income per share because they had no dilutive effect, but underwent a material change from the end of the previous consolidated fiscal year —」
The increase in common shares used in the calculation of diluted EPS was 205,847, but diluted EPS is not presented because the Company reported a quarterly net loss. The Company states that there was no new material change. - FY2023RestatedAnnual report
「The increase in common shares used in the calculation of diluted EPS was 51,138.」
Potential dilution from share acquisition rights continues to be disclosed. At the end of the fiscal year, unexercised balances were 70,000 shares for the 16th issue and 75,000 shares for the 17th issue, but no exercise during the fiscal year is reported. - FY2023-Q3Change in the number of diluted sharesAnnual report
「Increase in common shares (shares): 48,307. Overview of potential shares that were not included in the calculation of diluted quarterly net income per share because they had no dilutive effect, but underwent a material change from the end of the previous consolidated fiscal year: —」
The increase in common shares used in the calculation of diluted quarterly EPS was 48,307. The Company states that there was no material change from the end of the previous consolidated fiscal year in potential shares excluded from the calculation. - FY2023-Q2Change in the number of diluted sharesAnnual report
「Increase in common shares (shares) 40,374 Overview of potential shares that were not included in the calculation of diluted quarterly net income per share because they had no dilutive effect, but underwent a material change from the end of the previous consolidated fiscal year —」
The increase in common shares used in the calculation of diluted quarterly EPS was 40,374. The Company states that there were no potential shares excluded from the calculation that underwent a material change from the end of the previous consolidated fiscal year. - FY2023-Q1Change in the number of diluted sharesAnnual report
「Increase in common shares (shares) 20,224 Overview of potential shares that were not included in the calculation of diluted quarterly net income per share because they had no dilutive effect, but underwent a material change from the end of the previous consolidated fiscal year —」
The increase in common shares used in the calculation of diluted quarterly EPS was 20,224, compared with 58,542 in the first quarter of the previous fiscal year. The Company states that there were no potential shares with a material change from the end of the previous consolidated fiscal year. - FY2022MaterialisedAnnual report
「Exercised: 15,000, 10,000 Forfeited: —, 10,000 Unexercised balance: 70,000, 75,000」
For the 16th and 17th stock options, a total of 25,000 shares were exercised during the period. Part of the potential dilution risk materialized as an actual share issuance. - FY2022-Q2MaterialisedAnnual report
「1 July 2021–12 August 2021 (Note) 1 20,000」
The exercise of share acquisition rights resulted in the issuance of 20,000 shares during the second quarter, with part of the potential share dilution risk materializing as an actual share issuance. - FY2022-Q1MaterialisedAnnual report
「1 April 2021–30 June 2021 (Note) 5,000」
The exercise of share acquisition rights resulted in the issuance of 5,000 shares during the first quarter, with part of the potential share dilution risk materializing as an actual share issuance. - FY2021MaterialisedAnnual report
「After vesting (shares) End of previous consolidated fiscal year — — Vested 110,000 — Exercised 25,000 — Forfeited — — Unexercised balance 85,000 —」
For the 16th stock option, 25,000 shares were exercised after vesting, leaving an unexercised balance of 85,000 shares. Part of the potential dilution risk materialized as an actual share issuance. - FY2021-Q3MaterialisedAnnual report
「1 October 2020–31 December 2020 (Note) 20,000」
The number of shares issued and outstanding increased by 20,000 during the third quarter and by a further 5,000 in January 2021 through the exercise of share acquisition rights. Actual exercise relating to the potential dilution risk is disclosed. - FY2021-Q2Change in the number of potential sharesAnnual report
「Overview of potential shares that were not included in the calculation of diluted quarterly net income per share because they had no dilutive effect, but underwent a material change from the end of the previous consolidated fiscal year: Number of stock options, 115,000 shares Share acquisition rights granted pursuant to a resolution of the Board of Directors dated 27 July 2016, based on a resolution of the annual general meeting of shareholders dated 23 June 2016 Number of stock options: 95,000 shares」
The calculation of diluted EPS reflected 51,773 common shares, while 115,000 shares and 95,000 shares were reported as stock options excluded from the calculation. - FY2021-Q1Change in the number of potential sharesAnnual report
「Increase in common shares (shares) 38,415 Overview of potential shares that were not included in the calculation of diluted quarterly net income per share because they had no dilutive effect, but underwent a material change from the end of the previous consolidated fiscal year Number of stock options: 150,000 shares Share acquisition rights granted pursuant to a resolution of the Board of Directors dated 27 July 2016, based on a resolution of the annual general meeting of shareholders dated 23 June 2016 Number of stock options: 95,000 shares」
The calculation of diluted quarterly EPS reflected 38,415 common shares, while 150,000 shares and 95,000 shares were reported as stock options excluded from the calculation. - FY2020Change in the number of potential sharesAnnual report
「End of previous consolidated fiscal year: 160,000, 150,000 Granted: —, — Forfeited: 50,000, 55,000 Vested: —, — Unvested balance: 110,000, 95,000」
For the 16th and 17th stock options, the unvested balances after forfeitures were 110,000 shares and 95,000 shares, respectively. The calculation of diluted EPS reflected 48,182 common shares. - FY2020-Q3Change in the number of potential sharesAnnual report
「Overview of potential shares that were not included in the calculation of diluted quarterly net income per share because they had no dilutive effect, but underwent a material change from the end of the previous consolidated fiscal year: Number of stock options, 105,000 shares」
The calculation of diluted EPS reflected 43,412 common shares, while 105,000 stock options excluded from the calculation were reported. - FY2020-Q2Change in the number of potential sharesAnnual report
「Overview of potential shares that were not included in the calculation of diluted quarterly net income per share because they had no dilutive effect, but underwent a material change from the end of the previous consolidated fiscal year: Number of stock options, 115,000 shares」
The potential dilution risk from stock options continues to be disclosed. While 26,980 common shares were reflected in the calculation of diluted quarterly EPS, 115,000 stock options excluded from the calculation are also reported. - FY2019RestatedAnnual report
「If currently granted or subsequently granted stock options are exercised, the total number of shares issued and outstanding may increase and the value per share may be diluted. This dilution of per-share value may affect the formation of the share price.」
The potential risk of share dilution from the exercise of stock options continues to be disclosed. Unvested balances of 160,000 shares and 150,000 shares, among others, are reported, but no actual exercise is disclosed. - FY2019-Q3RestatedAnnual report
「No amount is presented for diluted quarterly net income per share for the nine-month period under review because, although potential shares existed, the Company reported a quarterly net loss per share.」
Although potential shares existed, diluted EPS is not presented because the Company reported a quarterly net loss. - FY2019-Q1RestatedAnnual report
「No new business or other risks arose during the first quarter of the current consolidated cumulative period. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The Company states that there has been no new occurrence or material change relating to share dilution from stock options. - FY2018-Q3RestatedAnnual report
「(2) Diluted quarterly net income per share ¥2.64 (Basis of calculation) Increase in common shares (shares) 262,917 Overview of potential shares that were not included in the calculation of diluted quarterly net income per share because they had no dilutive effect, but underwent a material change from the end of the previous consolidated fiscal year Number of stock options 205,000 shares」
Dilution from potential shares is presented numerically, with 262,917 shares reflected in the calculation of diluted EPS. No actual exercise of share acquisition rights or dilution is disclosed. - FY2018-Q2RestatedAnnual report
「During the first six months of the current consolidated fiscal year, there were no newly arising business or other risks. In addition, there were no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The Company states that there has been no new occurrence or material change relating to share dilution from stock options. - FY2017RestatedAnnual report
「If currently granted or subsequently granted stock options are exercised, the total number of shares issued and outstanding may increase and the value per share may be diluted. This dilution of per-share value may affect the formation of the share price.」
The potential risk of share dilution resulting from the exercise of stock options continues to be disclosed. - FY2017-Q3RestatedAnnual report
「No amount is presented for diluted quarterly net income per share for the nine-month period under review because no potential shares with a dilutive effect existed.」
No new material change is disclosed regarding the risk of dilution from potential shares. - FY2017-Q2RestatedAnnual report
「Number of stock options: 102,500 shares Share acquisition rights granted pursuant to a resolution of the Board of Directors dated 27 July 2016, based on a resolution of the annual general meeting of shareholders dated 23 June 2016」
The 102,500 shares underlying the share acquisition rights approved for issuance in the previous quarter continue to be disclosed as a potential source of dilution. - FY2017-Q1WorsenedAnnual report
「(2) Eligible recipients for the offering of share acquisition rights: 17 employees of the Company (3) Total number of share acquisition rights: 1,025 (5) Class and number of shares underlying the share acquisition rights: Common shares, 102,500 shares (6) Exercise period for the share acquisition rights: 28 July 2021 to 27 July 2026」
The Company determined the offering terms for share acquisition rights covering 102,500 shares for 17 employees, making the potential share dilution exposure more concrete and larger. No actual exercise or dilution is reported. - FY2016First statedAnnual report
「If currently granted or subsequently granted stock options are exercised, the total number of shares issued and outstanding may increase and the value per share may be diluted. This dilution of per-share value may affect the formation of the share price.」
The increase in shares issued and outstanding and dilution of per-share value resulting from the exercise of stock options are identified as risks.