Linkage between performance-based compensation and management performance indicators
First written in FY2019. 3 of 12 entries say "Advanced", first in FY2020. Latest entry: FY2026.
19 other companies' latest entry also says "Other".
- FY2026Updated the plan and actual results for performance-based compensationAnnual report
「The initial plans for the fiscal year for these indicators were consolidated operating income of ¥3,000 million and consolidated net income of ¥2,300 million, respectively. Actual results were consolidated operating income of ¥3,637 million, consolidated net income of ¥3,161 million and consolidated ROE of 6.0%.」
The company updated the planned and actual figures for operating income, net income and ROE used in performance-based compensation. Both operating income and net income exceeded plan. - FY2025Updated the plan and actual results for performance-based compensationAnnual report
「The initial plans for the fiscal year for these indicators were consolidated operating income of ¥3,500 million and consolidated net income of ¥2,300 million, respectively. Actual results were consolidated operating income of ¥2,619 million, consolidated net income of ¥1,908 million and consolidated ROE of 3.7%.」
The company updated the planned and actual figures for operating income, net income and ROE used in performance-based compensation. Both operating income and net income fell short of plan. - FY2024Updated the plan and actual results for performance-based compensationAnnual report
「The plans for the fiscal year for these indicators were consolidated operating income of ¥4,800 million and consolidated net income of ¥3,300 million, respectively. Actual results were consolidated operating income of ¥3,894 million, consolidated net income of ¥3,295 million and consolidated ROE of 6.4%.」
For the indicators used in performance-based compensation, the company reports that operating income fell short of plan, net income was approximately in line with plan, and actual ROE was 6.4%. - FY2024-Q3Updated the balance of shares held by the trustAnnual report
「At the end of the third quarter of the current consolidated fiscal year, the carrying amount and number of these treasury shares were ¥106 million and 47,170 shares, respectively.」
The company continues to describe the trust-type stock compensation plan and reports that, at the end of the quarter, its own shares remaining in the trust had a carrying amount of ¥106 million and totaled 47,170 shares. - FY2024-Q2RestatedAnnual report
「The company has introduced a trust-type stock compensation plan for directors, excluding directors who are Audit and Supervisory Committee members and outside directors, with the aim of clarifying the linkage between directors’ compensation and the company’s share value and raising directors’ awareness of contributing to improved medium- to long-term performance and increased corporate value by sharing with shareholders the benefits and risks arising from changes in the share price. The trust established to introduce the plan is referred to as the “Trust.”」
The company continues to describe its policy of using a trust-type stock compensation plan to link directors’ compensation to share value and share benefits and risks with shareholders. - FY2024-Q1RestatedAnnual report
「Since the previous consolidated fiscal year, the company has operated a trust-type stock compensation plan for directors, excluding directors who are Audit and Supervisory Committee members and outside directors.」
The company continues to describe in the notes the introduction and operation of a trust-type stock compensation plan for directors. - FY2023AdvancedAnnual report
「The company records its own shares remaining in the trust as treasury shares under net assets at their carrying amount in the trust, excluding related expenses. At the end of the current consolidated fiscal year, the carrying amount and number of these treasury shares were ¥110 million and 44,700 shares, respectively.」
The company reports that the trust-type stock compensation plan linking directors’ compensation to share value resulted in 44,700 shares held by the trust being recorded at a carrying amount of ¥110 million. - FY2023-Q3RestatedAnnual report
「The company has introduced a trust-type stock compensation plan for directors, excluding directors who are Audit and Supervisory Committee members and outside directors, with the aim of clarifying the linkage between directors’ compensation and the company’s share value and raising directors’ awareness of contributing to improved medium- to long-term performance and increased corporate value by sharing with shareholders the benefits and risks arising from changes in the share price. The trust established to introduce the plan is referred to as the “Trust.”」
The company continues to describe its policy of using a trust-type stock compensation plan to link directors’ compensation to share value and share benefits and risks with shareholders. - FY2023-Q2AdvancedAnnual report
「The company has introduced a trust-type stock compensation plan for directors, excluding directors who are Audit and Supervisory Committee members and outside directors, with the aim of clarifying the linkage between directors’ compensation and the company’s share value and raising directors’ awareness of contributing to improved medium- to long-term performance and increased corporate value by sharing with shareholders the benefits and risks arising from changes in the share price. The trust established to introduce the plan is referred to as the “Trust.”」
For the trust-type stock compensation plan whose introduction was described in FY2022, the company provides specific details on its introduction and operation from the second quarter of the 81st fiscal year, its linkage to share value and its purpose of sharing benefits and risks with shareholders. - FY2022Changed the composition of performance-based compensation and the body responsible for determining compensationAnnual report
「Compensation for directors other than those serving as Audit and Supervisory Committee members consists of fixed basic compensation of 50% and performance-based compensation of 50%, calculated based on the results of the fiscal year. The latter comprises 20% based on the achievement rate for the consolidated net income plan, 20% based on the year-on-year change in consolidated operating income, 5% based on the achievement rate for the consolidated operating margin plan, 3% based on the year-on-year change in consolidated ROE, and 2% in stock acquisition compensation.」
The compensation structure has been reorganized from the previous 50% basic compensation, 48% performance-based compensation and 2% stock acquisition compensation to include the 2% stock acquisition compensation within the 50% performance-based compensation. The company also states that it established a Nomination and Compensation Advisory Committee and introduced a trust-type stock compensation plan capped at ¥125 million over 5 fiscal years. - FY2020AdvancedAnnual report
「The plans for the fiscal year for these indicators were consolidated revenue of ¥47,500 million, consolidated operating income of ¥4,950 million and consolidated net income of ¥3,400 million, respectively. Actual results were consolidated revenue of ¥44,991 million, consolidated operating income of ¥5,357 million, consolidated net income of ¥3,944 million and consolidated ROE of 11.7%.」
The company provides specific planned and actual figures for the management performance indicators used in performance-based compensation. Revenue fell short of plan, while operating income and net income exceeded plan. - FY2019First statedAnnual report
「Directors’ compensation consists of fixed basic compensation of 50%, performance-based compensation of 48% calculated based on the results of the fiscal year, and stock acquisition compensation of 2%. This compensation is paid as monthly compensation and an annual bonus. Monthly compensation is a fixed amount determined according to the director’s position, while performance-based compensation is linked to short-term performance. When annual bonuses are paid to executive directors only, adjustments are made based on indicators including the achievement rate for the consolidated net income plan, year-on-year change in consolidated operating income, achievement rate for the consolidated operating margin plan, and year-on-year change in consolidated return on equity (ROE).」
The company is covering in a thread for the first time its policy of structuring executive compensation as fixed compensation of 50%, performance-based compensation of 48% and stock acquisition compensation of 2%, with performance-based compensation linked to management performance indicators including consolidated net income, operating income, operating margin and ROE.