Dilution of equity value through stock options
First written in FY2023. 2 of 4 entries say "Materialised", first in FY2024-Q1. Latest entry: FY2024.
The whole theme swung hardest in 2017: 37 of 68 companies on the "Worse" side.
- FY2024WorsenedAnnual report
「As of the end of the consolidated fiscal year, potential shares from stock acquisition rights totaled 597,600, equivalent to 9.78% of the 6,107,493 issued shares.」
Potential shares increased from 299,730, or 4.95%, at the end of December 2023 to 597,600, or 9.78%, while 57,493 shares were issued through exercises during 2024. - FY2024-H1MaterialisedAnnual report
「The increase resulted from the exercise of stock acquisition rights.」
The exercise of stock acquisition rights increased shares by 3,493 from January through June 2024, bringing total issued shares to 6,053,493 and further materializing the dilution risk. - FY2024-Q1MaterialisedAnnual report
「(Note) Increase due to exercise of stock acquisition rights.」
The exercise of stock acquisition rights increased shares by 969 in the first quarter, bringing total issued shares to 6,050,969 and increasing capital stock and capital reserves by ¥155 thousand each. This shows the dilution risk materializing. - FY2023First statedAnnual report
「We expect a certain proportion of the currently granted stock acquisition rights to be exercised in the short to medium term, causing this risk to materialize. As of the filing date, the potential shares from stock acquisition rights totaled 299,730, equivalent to 4.95% of the 6,050,000 issued shares.」
The exercise of stock acquisition rights may dilute existing shareholders’ share value and voting percentages. The Company disclosed 299,730 potential shares, or 4.95%.