Executive Officer Compensation Linked to Operating Profit Margin and Earnings per Share
First written in FY2019. 4 of 7 entries say "Advanced", first in FY2020. Latest entry: FY2025.
The whole theme swung hardest in 2020: 4 of 31 companies on the "Worse" side.
17 other companies' latest entry also says "Other".
- FY2025No performance-linked compensation due to failure to meet the ROE thresholdAnnual report
「The Compensation Committee at its meeting held on 10 January 2025 decided that, because the current fiscal year did not meet the above criteria, executive officers would receive fixed compensation only and no performance-linked compensation would be paid.」
No performance-linked compensation requiring ROE of 10% or higher was paid for the current fiscal year because the threshold was not met, and executive officers received fixed compensation only. - FY2024AdvancedAnnual report
「As provisional ROE used in b) was 13.7% for the current fiscal year, the Compensation Committee at its meeting held on 13 February 2024 determined, based on the calculation formula for performance-linked compensation for executive officers, to make the payment.」
With respect to performance-linked compensation based on ROE above 10%, the Compensation Committee decided to make the payment in light of provisional ROE of 13.7% for the current fiscal year. It also resolved to continue using the same calculation formula for the fiscal year ending January 2025. - FY2023AdvancedAnnual report
「As provisional ROE used in b) was 16.1% for the current fiscal year, the Compensation Committee at its meeting held on 20 February 2023 determined, based on the calculation formula for performance-linked compensation for executive officers, to make the payment.」
Under the new performance-linked compensation scheme based on ROE, the Compensation Committee decided to make the payment for the fiscal year ended January 2023, taking provisional ROE of 16.1% into account. - FY2022ReframedAnnual report
「For the fiscal year ended January 2022, following deliberations by the Compensation Committee at its meeting held on 10 February 2022, it resolved not to pay performance-linked compensation to executive officers because the current fiscal year's performance did not reach the target metric, an operating profit margin of 10%.」
No performance-linked compensation based on the former 10% operating profit margin was paid for the current fiscal year, and from the fiscal year ending January 2023 the calculation method was changed to one requiring ROE above 10% for payment. - FY2021AdvancedAnnual report
「In the current fiscal year, following deliberations by the Compensation Committee at its meeting held on 8 March 2021 in accordance with the calculation methods set out in a) through c) above, it was decided on the same day to pay performance-linked compensation with an uncertain amount, totalling ¥9.06 million, to 4 executive officers, and the payment was made.」
A total of ¥9.06 million in performance-linked compensation based on operating profit margin and other metrics was actually paid to 4 executive officers during the current fiscal year. - FY2020AdvancedAnnual report
「Payment will be made when consolidated operating margin for the full fiscal year is 10% or more and standalone net income per share exceeds ¥50.」
For performance-linked compensation, the company has set an operating margin of 10% and standalone earnings per share of ¥50 as payment conditions, and specified a tiered calculation method ranging from an operating margin in the 10% range to 12% or more. - FY2019First statedAnnual report
「Payment will be made when consolidated operating margin for the full fiscal year is 10% or more and standalone net income per share exceeds ¥50.」
The company has established a policy under which executive officers' performance-linked compensation is conditioned on consolidated operating margin and standalone earnings per share.