Performance-Based Compensation and Alignment of Interests with Shareholders
First written in FY2020. 1 of 5 entries say "Advanced", first in FY2021. Latest entry: FY2026.
The whole theme swung hardest in 2024: 13 of 118 companies on the "Worse" side.
- FY2026Performance targets not achievedAnnual report
「For the fiscal year ended February 2026, consolidated operating revenue was ¥384.951 billion and consolidated ordinary profit was ¥13.771 billion, and neither reached the performance target.」
The company stated that actual results for the period fell short of the performance targets for both consolidated operating revenue and consolidated ordinary profit, the quantitative assessment indicators for performance-linked compensation. - FY2025ReframedAnnual report
「The quantitative assessment criteria are consolidated operating revenue and consolidated ordinary profit.」
The quantitative assessment criteria for performance-linked compensation were expanded from consolidated ordinary profit to 2 indicators: consolidated operating revenue and consolidated ordinary profit. Achievement of priority initiatives continues to be used for qualitative assessment. - FY2023RestatedAnnual report
「Of monetary compensation, performance-based compensation is paid after comprehensively considering both quantitative and qualitative assessments of each director’s contribution to management. Consolidated ordinary profit is used as the quantitative assessment criterion.」
The company continues to use a performance-linked compensation system combining quantitative assessment based on consolidated ordinary profit with qualitative assessment based on the achievement of priority initiatives. - FY2021AdvancedAnnual report
「Of monetary compensation, performance-based compensation is paid after comprehensively considering both quantitative and qualitative assessments of each director’s contribution to management. Consolidated ordinary profit is used as the quantitative assessment criterion.」
The performance-linked compensation system has been defined in detail as combining quantitative assessment based on consolidated ordinary profit with qualitative assessment based on the achievement of priority initiatives. - FY2020First statedAnnual report
「Directors’ compensation consists of basic compensation paid according to each director’s responsibilities and position, and performance-linked compensation paid according to the company’s performance and each director’s contribution to management.」
The company disclosed that directors’ compensation consists of basic compensation and performance-linked compensation, and that actual consolidated ordinary profit of ¥6.955 billion reached the target, against an evaluation benchmark of ¥6.856 billion. The purchase of the company’s shares through the officers’ shareholding association was also described as a means of aligning interests with shareholders.